ASTRONOVA, INC., 10-Q filed on 9/8/2022
Quarterly Report
v3.22.2.2
Cover Page - shares
 6 Months Ended
Jul. 30, 2022
Sep. 01, 2022
Cover [Abstract]    
Document Type 10-Q  
Amendment Flag false  
Document Period End Date Jul. 30, 2022  
Document Fiscal Year Focus 2022  
Document Fiscal Period Focus Q2  
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  
Entity Shell Company false  
Trading Symbol ALOT  
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, State or Province RI  
Entity Address, Postal Zip Code 02893  
City Area Code 401  
Local Phone Number 828-4000  
Entity Common Stock, Shares Outstanding   7,346,758
v3.22.2.2
Condensed Consolidated Balance Sheets - USD ($)
$ in Thousands
Jul. 30, 2022
Jan. 31, 2022
CURRENT ASSETS    
Cash and Cash Equivalents $ 4,285 $ 5,276
Accounts Receivable, net 17,382 17,124
Inventories, net 41,727 34,609
Employee Retention Credit Receivable   3,135
Prepaid Expenses and Other Current Assets 4,268 3,634
Total Current Assets 67,662 63,778
Property, Plant and Equipment, net 10,577 11,441
Intangible Assets, net 18,314 19,200
Goodwill 11,501 12,156
Deferred Tax Assets 5,582 5,591
Right of Use Assets 887 1,094
Other Assets 1,775 1,695
TOTAL ASSETS 116,298 114,955
CURRENT LIABILITIES    
Accounts Payable 7,624 8,590
Accrued Compensation 2,437 3,512
Other Liabilities and Accrued Expenses 3,334 4,113
Revolving Line of Credit 4,500  
Current Liability – Royalty Obligation 1,875 2,000
Current Portion of Long-Term Debt 1,000 1,000
Current Liability – Excess Royalty Payment Due 301 235
Income Taxes Payable 1,169 323
Deferred Revenue 281 262
Total Current Liabilities 22,521 20,035
NON CURRENT LIABILITIES    
Long-Term Debt, net of current portion 7,917 8,154
Royalty Obligation, net of current portion 3,611 4,361
Lease Liabilities, net of current portion 627 808
Income Taxes Payable 399 399
Deferred Tax Liabilities 127 186
TOTAL LIABILITIES 35,202 33,943
SHAREHOLDERS' EQUITY    
Common Stock 533 528
Additional Paid-in Capital 60,347 59,692
Retained Earnings 57,523 56,514
Treasury Stock, at Cost (34,223) (33,974)
Accumulated Other Comprehensive Loss, net of tax (3,084) (1,748)
TOTAL SHAREHOLDERS' EQUITY 81,096 81,012
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY $ 116,298 $ 114,955
v3.22.2.2
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares
Jul. 30, 2022
Jan. 31, 2022
Statement of Financial Position [Abstract]    
Common Stock, Par Value $ 0.05 $ 0.05
Common Stock, Shares Authorized 13,000,000 13,000,000
Common Stock, Shares Issued 10,659,491 10,566,404
Treasury Stock, Shares 3,341,030 3,324,280
v3.22.2.2
Condensed Consolidated Statements of Income - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 30, 2022
Jul. 31, 2021
Jul. 30, 2022
Jul. 31, 2021
Income Statement [Abstract]        
Revenue $ 32,259 $ 29,845 $ 63,269 $ 58,923
Cost of Revenue 20,877 17,129 41,158 35,320
Gross Profit 11,382 12,716 22,111 23,603
Operating Expenses:        
Selling and Marketing 5,981 5,061 11,863 11,154
Research and Development 1,595 1,539 3,118 3,255
General and Administrative 2,571 2,664 5,131 5,008
Operating Expenses 10,147 9,264 20,112 19,417
Operating Income 1,235 3,452 1,999 4,186
Other Income (Expense), net:        
Extinguishment of Debt – PPP Loan   4,466   4,466
Interest Expense (210) (171) (385) (392)
Gain (Loss) on Foreign Currency Transactions (241) 50 (377) (114)
Other, net 20 (79) 52 (63)
Other Income (Expense), net (431) 4,266 (710) 3,897
Income Before Income Taxes 804 7,718 1,289 8,083
Income Tax Provision 220 699 280 471
Net Income $ 584 $ 7,019 $ 1,009 $ 7,612
Net Income per Common Share—Basic: $ 0.08 $ 0.97 $ 0.14 $ 1.06
Net Income per Common Share—Diluted: $ 0.08 $ 0.96 $ 0.14 $ 1.04
Weighted Average Number of Common Shares Outstanding:        
Basic 7,309,716 7,208,834 7,286,735 7,176,940
Diluted 7,347,946 7,328,558 7,354,707 7,297,118
v3.22.2.2
Condensed Consolidated Statements of Comprehensive Income - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 30, 2022
Jul. 31, 2021
Jul. 30, 2022
Jul. 31, 2021
Statement of Comprehensive Income [Abstract]        
Net Income $ 584 $ 7,019 $ 1,009 $ 7,612
Other Comprehensive Income (Loss), Net of Taxes:        
Foreign Currency Translation Adjustments (435) (348) (1,368) (429)
Loss from Cash Flow Hedges Reclassified to Income Statement 16 15 32 31
Other Comprehensive Income (Loss) (419) (333) (1,336) (398)
Comprehensive Income (Loss) $ 165 $ 6,686 $ (327) $ 7,214
v3.22.2.2
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, 2021 $ 74,683 $ 521 $ 58,049 $ 50,085 $ (33,588) $ (384)
Beginning Balance, Shares at Jan. 31, 2021   10,425,094        
Share-Based Compensation 478   478      
Employee Option Exercises 52   52      
Employee Option Exercises, Shares   5,746        
Restricted Stock Awards Vested, net (208) $ 3 (3)   (208)  
Restricted Stock Awards Vested, net, Shares   48,299        
Net Income 593     593    
Other Comprehensive Income (Loss) (65)         (65)
Ending Balance at May. 01, 2021 75,533 $ 524 58,576 50,678 (33,796) (449)
Ending Balance, Shares at May. 01, 2021   10,479,139        
Beginning Balance at Jan. 31, 2021 74,683 $ 521 58,049 50,085 (33,588) (384)
Beginning Balance, Shares at Jan. 31, 2021   10,425,094        
Net Income 7,612          
Other Comprehensive Income (Loss) (398)          
Ending Balance at Jul. 31, 2021 82,577 $ 528 59,076 57,697 (33,942) (782)
Ending Balance, Shares at Jul. 31, 2021   10,554,475        
Beginning Balance at May. 01, 2021 75,533 $ 524 58,576 50,678 (33,796) (449)
Beginning Balance, Shares at May. 01, 2021   10,479,139        
Share-Based Compensation 469   469      
Employee Option Exercises 35   35      
Employee Option Exercises, Shares   3,211        
Restricted Stock Awards Vested, net (146) $ 4 (4)   (146)  
Restricted Stock Awards Vested, net, Shares   72,125        
Net Income 7,019     7,019    
Other Comprehensive Income (Loss) (333)         (333)
Ending Balance at Jul. 31, 2021 82,577 $ 528 59,076 57,697 (33,942) (782)
Ending Balance, Shares at Jul. 31, 2021   10,554,475        
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      
Employee Option Exercises, Shares   11,164        
Restricted Stock Awards Vested, net (249) $ 3 (3)   (249)  
Restricted Stock Awards Vested, net, 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, 2022 $ 81,012 $ 528 59,692 56,514 (33,974) (1,748)
Beginning Balance, Shares at Jan. 31, 2022   10,566,404        
Employee Option Exercises, Shares 11,444          
Net Income $ 1,009          
Other Comprehensive Income (Loss) (1,336)         (1,336)
Ending Balance at Jul. 30, 2022 81,096 $ 533 60,347 57,523 (34,223) (3,084)
Ending Balance, Shares at Jul. 30, 2022   10,659,491        
Beginning Balance at Apr. 30, 2022 80,696 $ 532 60,113 56,939 (34,223) (2,665)
Beginning Balance, Shares at Apr. 30, 2022   10,639,081        
Share-Based Compensation 235   235      
Restricted Stock Awards Vested, net   $ 1 (1)      
Restricted Stock Awards Vested, net, Shares   20,410        
Net Income 584     584    
Other Comprehensive Income (Loss) (419)         (419)
Ending Balance at Jul. 30, 2022 $ 81,096 $ 533 $ 60,347 $ 57,523 $ (34,223) $ (3,084)
Ending Balance, Shares at Jul. 30, 2022   10,659,491        
v3.22.2.2
Condensed Consolidated Statements of Cash Flows - USD ($)
$ in Thousands
 6 Months Ended
Jul. 30, 2022
Jul. 31, 2021
Cash Flows from Operating Activities:    
Net Income $ 1,009 $ 7,612
Adjustments to Reconcile Net Income to Net Cash Provided (Used) by Operating Activities:    
Depreciation and Amortization 1,820 2,274
Amortization of Debt Issuance Costs 13 31
Share-Based Compensation 572 947
Loss on Disposal of Assets 6  
Gain on Extinguishment of Debt   (4,466)
Changes in Assets and Liabilities:    
Accounts Receivable (518) 1,777
Other Receivable – Employee Retention Credit Receivable 3,135 (3,135)
Inventories (7,516) 895
Income Taxes 65 (1,241)
Accounts Payable and Accrued Expenses (2,312) 1,282
Other (93) (483)
Net Cash (Used) Provided by Operating Activities (3,819) 5,493
Cash Flows from Investing Activities:    
Additions to Property, Plant and Equipment (163) (1,162)
Net Cash Used for Investing Activities (163) (1,162)
Cash Flows from Financing Activities:    
Net Cash Proceeds from Employee Stock Option Plans 69 43
Net Cash Proceeds from Share Purchases under Employee Stock Purchase Plan 19 44
Net Cash Used for Payment of Taxes Related to Vested Restricted Stock (249) (354)
Borrowings under Revolving Credit Facility 4,500  
Payment of Minimum Guarantee Royalty Obligation (1,000) (1,000)
Proceeds from Long-Term Debt Borrowings   10,000
Payoff of Long-Term Debt   (12,576)
Principal Payments of Long-Term Debt (250) (375)
Net Cash Provided (Used) for Financing Activities 3,089 (4,218)
Effect of Exchange Rate Changes on Cash and Cash Equivalents (98) (163)
Net Decrease in Cash and Cash Equivalents (991) (50)
Cash and Cash Equivalents, Beginning of Period 5,276 11,439
Cash and Cash Equivalents, End of Period 4,285 11,389
Supplemental Disclosures of Cash Flow Information:    
Cash Paid During the Period for Interest 206 209
Cash Paid During the Period for Income Taxes, Net of Refunds $ 126 $ 1,689
v3.22.2.2
Business and Basis of Presentation
 6 Months Ended
Jul. 30, 2022
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 test and measurement data acquisition systems sold under the AstroNova
®
brand name.
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,
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. In the T&M segment, we have a long history of using our technologies to provide networking systems and high-resolution light-weight flight deck and cabin printers, as well as airborne networking hardware 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 and analyzed and then 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 200 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, 2022.
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, in the context of the unknown future impacts of the continuing
COVID-19
pandemic, 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, impairment of long-lived 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 duration, scope, and severity of 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.
v3.22.2.2
Summary of Significant Accounting Policies Update
 6 Months Ended
Jul. 30, 2022
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, 2022.
Recently Adopted Accounting Pronouncements
No new accounting pronouncements, issued or effective during the first six months of the current year, have had or are expected to have a material impact on our consolidated financial statements.
v3.22.2.2
Revenue Recognition
 6 Months Ended
Jul. 30, 2022
Revenue from Contract with Customer [Abstract]  
Revenue Recognition
Note 3 – 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
 
  
Six Months Ended
 
(In thousands)
  
July 30,
2022
 
  
July 31,
2021
 
  
July 30,
2022
 
  
July 31,
2021
 
United States
    $ 19,044      $ 17,181      $ 38,695      $ 33,874  
Europe
      7,883        7,826        15,301        16,425  
Canada
      2,225        1,491        4,080        3,037  
Asia
      1,789        1,964        2,726        3,049  
Central and South America
      1,023        995        1,911        1,756  
Other
      295        388        556        782  
    
 
 
     
 
 
     
 
 
     
 
 
  
Total Revenue
    $ 32,259      $ 29,845      $ 63,269      $ 58,923  
    
 
 
     
 
 
     
 
 
     
 
 
  
Major product
types:
 

 
  
Three Months Ended
 
  
Six Months Ended
 
(In thousands)
  
July 30,
2022
 
  
July 31,
2021
 
  
July 30,
2022
 
  
July 31,
2021
 
Hardware
    $ 8,637      $ 7,878      $ 17,937      $ 15,525  
Supplies
      19,166        18,678        37,111        36,888  
Service and Other
      4,456        3,289        8,221        6,510  
    
 
 
     
 
 
     
 
 
     
 
 
  
Total Revenue
    $ 32,259      $ 29,845      $ 63,269      $ 58,923  
    
 
 
     
 
 
     
 
 
     
 
 
  
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 $281,000 and $262,000 at July 30, 2022, and January 31, 2022, respectively, and are recorded as deferred revenue in the accompanying condensed consolidated balance sheet. The
increase
in the deferred revenue balance during the six months ended July 30, 2022, is due to cash payments received in advance of satisfying performance obligations in the current period, offset by $177,000 of revenue recognized during the period that was included in the deferred revenue balance at January 31, 2022.
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 19 years as of July 30, 2022. The balance of these contract assets at January 31, 2022, was $1.3 million, and in the first quarter of the current year, we incurred an additional $0.1 million in contract costs that will be amortized over 19 years.
During the three and six months ended July 30, 2022, we amortized contract costs of
 
$19,000 and $37,000,
respectively.
The balance of deferred incremental direct costs net of accumulated amortization at
July 30, 2022, was $1.4 million, of which $0.1 million is reported in other current assets and $1.3 million is reported in other assets in the accompanying condensed consolidated balance sheet.
v3.22.2.2
Net Income Per Common Share
 6 Months Ended
Jul. 30, 2022
Earnings Per Share [Abstract]  
Net Income Per Common Share
Note 4 – 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
     
Six Months Ended
  
    
July 30,
2022
     
July 31,
2021
     
July 30,
2022
     
July 31,
2021
  
Weighted Average Common Shares Outstanding – Basic
      7,309,716        7,208,834        7,286,735        7,176,940  
Effect of Dilutive Options, Restricted Stock Awards and Restricted Stock Units
      38,230        119,724        67,972        120,178  
    
 
 
     
 
 
     
 
 
     
 
 
  
Weighted Average Common Shares Outstanding – Diluted
      7,347,946        7,328,558        7,354,707        7,297,118  
    
 
 
     
 
 
     
 
 
     
 
 
  
For the three and six months ended July 30, 2022, the diluted per share amounts do not reflect weighted average common equivalent shares outstanding of 612,116 and 586,084
,
respectively. For
the three and six months ended July 31, 2021, the diluted per share amounts do not reflect weighted average common equivalent shares outstanding of 189,827 and 484,748
,
respectively. These outstanding common equivalent shares were not included due to their anti-dilutive effect.
v3.22.2.2
Intangible Assets
 6 Months Ended
Jul. 30, 2022
Goodwill and Intangible Assets Disclosure [Abstract]  
Intangible Assets
Note 5 – Intangible Assets
Intangible assets are as follows:
 

 
  
July 30, 2022
 
  
January 31, 2022
 
(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      $ (2,646 )    $ —        $ 454      $ 3,100      $ (2,515 )    $ —        $ 585  
RITEC:
                                                                      
Customer Contract Relationships
      2,830        (1,590 )      —          1,240        2,830        (1,557 )      —          1,273  
TrojanLabel:
                                                                      
Existing Technology
      2,327        (1,929 )      73        471        2,327        (1,767 )      127        687  
Distributor Relations
      937        (543 )      5        399        937        (498 )      46        485  
Honeywell:
                                                                      
Customer Contract Relationships
      27,243        (11,493 )      —          15,750        27,243        (11,073 )      —          16,170  
    
 
 
     
 
 
    
 
 
     
 
 
     
 
 
     
 
 
    
 
 
     
 
 
  
Intangible Assets, net
    $ 36,437      $ (18,201 )    $ 78      $ 18,314      $ 36,437      $ (17,410 )    $ 173      $ 19,200  
    
 
 
     
 
 
    
 
 
     
 
 
     
 
 
     
 
 
    
 
 
     
 
 
  
There were no impairments
to intangible assets during the periods ended July 30, 2022, and July 31, 2021.
With respect to the acquired intangibles included in the table above, amortization expense of $0.4 million has been included in the condensed consolidated statements of income for each of the three months ended July 30, 2022, and July 31, 2021. Amortization expense of $0.8 million and $1.4 million related to the above-acquired intangibles has been included in the accompanying condensed consolidated statement of income for the six months ended July 30, 2022, and July 31, 2021, respectively.
Estimated amortization expense for the next five fiscal years is as follows:
 

(In thousands)
  
Remaining
2023
 
  
2024
 
  
2025
 
  
2026
 
  
2027
 
Estimated amortization expense
    $ 792      $ 1,645      $ 997      $ 997      $ 997  
v3.22.2.2
Inventories
 6 Months Ended
Jul. 30, 2022
Inventory Disclosure [Abstract]  
Inventories
Note 6 – Inventories
Inventories are stated at the lower of cost (standard and average methods) and net realizable value and include material, labor, and manufacturing overhead. The components of inventories are as follows:
 

(In thousands)
  
July 30, 2022
 
  
January 31, 2022
 
Materials and Supplies
    $ 27,504      $ 22,709  
Work-In-Process
      1,160        1,489  
Finished Goods
      23,369        19,718  
    
 
 
     
 
 
  
       52,033        43,916  
Inventory Reserve
      (10,306 )       (9,307 ) 
    
 
 
     
 
 
  
     $ 41,727      $ 34,609  
    
 
 
     
 
 
  
v3.22.2.2
Credit Agreement and Debt
 6 Months Ended
Jul. 30, 2022
Debt Disclosure [Abstract]  
Credit Agreement and Debt
Note 7 – Credit Agreement and Debt
On March 24, 2021, we entered into a First Amendment to our Amended & Restated Credit Agreement as of July 30, 2020 (the “Existing Credit Agreement”) with Bank of America, N.A., as lender (the “Lender”), and our subsidiaries, ANI ApS and TrojanLabel. The Amended & Restated Credit Agreement, which we entered into on July 30, 2020, amended and restated the Credit Agreement dated as of February 28, 2017, by and among us, ANI ApS and TrojanLabel and the Lender.
The
Existing
Credit Agreement provides for (i) a term loan in the principal amount of $10.0 million, and (ii) a $22.5 million revolving credit facility available for general corporate purposes. 
The Existing
Credit Agreement requires that the term loan be paid in quarterly installments on the last day of each of our fiscal quarters with the final payment due on September 30, 2025. 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 September 30, 2025, at which time any outstanding revolving loans will be due and payable in full, and the revolving credit facility will terminate. We may reduce or terminate the revolving line of credit at any time, subject to certain thresholds and conditions, without premium or penalty.
The Existing
Credit Agreement includes an uncommitted accordion provision under which the term loan and/or revolving credit facility commitments may be increased in an aggregate principal amount not exceeding $10.0 million, subject to obtaining the agreement of the Lender and the satisfaction of certain other conditions.
The interest rates under the Existing Credit Agreement, as amended by the December 14, 2021 LIBOR Transition Amendment,
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 LIBOR
Amendment (or in the case of revolving credit loans denominated in Pounds Sterling, Euros or another currency other than U.S. Dollars, the SONIA
Rate as defined in the LIBOR
Amendment, EURIBOR
Rate as defined in the LIBOR Amendment, or the applicable quoted rate, respectively), plus a
margin that varies within a range of 1.60% to 2.30% 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, SONIA Rate, EURIBOR Rate or other applicable quoted rate plus 1.00% or (iv) 0.50%, plus a margin that varies within a range of 0.60% to 1.30% 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 0.30% based on our consolidated leverage ratio.
The loans under the Existing 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 continued compliance with the Existing 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 Existing Credit Agreement. The financial covenants under the Existing Credit Agreement consist of a maximum consolidated leverage ratio and a minimum consolidated fixed charge 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 capital stock, to repurchase or to acquire their capital stock, to conduct mergers or acquisitions, to sell assets, to alter our capital structure, to make investments and loans, to change the nature of our business, and to prepay subordinated indebtedness, in each case subject to certain exceptions and thresholds as set forth in the Existing Credit Agreement, certain of which provisions were modified by the First Amendment.
The Lender is entitled to accelerate repayment of the loans and to terminate its revolving credit commitment under the Existing 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 Existing 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, in our wholly-owned German subsidiary AstroNova GmbH, and in our wholly-owned French subsidiary AstroNova SAS), subject to certain exceptions, and by a mortgage on our owned real property in West Warwick, Rhode Island.
Summary of Outstanding Debt
Revolving Credit Facility
During
the first six months of the current year, we borrowed $4.5 million on our revolving line of credit. The balance outstanding under the revolving line of credit bore interest at a weighted average rate of 5.17% and 4.79% for the three and six months ended July 3
0
, 2022, and we incurred $45,000 and $69,000 for interest on this obligation during the three and six months ended July 30, 2022.
Additionally, during the six months ended July 30, 2022, we incurred $20,000 of commitment fees on the undrawn portion of our revolving credit facility. At
July 31, 2021, there was no balance outstanding on the revolving line of credit, and no interest was incurred for the three and six months ended July 31, 2021.
We
incurred $30,000 of commitment fees on the undrawn portion of our revolving credit
facility for the six months ended July 31, 2021.
Both the interest expense and commitment fees are included as interest expense in the accompanying condensed consolidated income statement for all periods presented. At July 30, 2022, there is $18.0 million remaining available for borrowing under the revolving line of credit.
Long-Term Debt
Long-term debt in the accompanying condensed consolidated balance sheets is as follows:
 
(In thousands)
  
July 30, 2022
 
  
January 31, 2022
 
USD Term Loan (3.45% as of July 30, 2022, and
2.35%
as of
January 31, 2022); maturity date of
September 30, 2025
    $ 9,000      $ 9,250  
Debt Issuance Costs, net of accumulated amortization
      (83 )       (96 ) 
Current Portion of Term Loans
      (1,000 )       (1,000 ) 
    
 
 
     
 
 
  
Long-Term Debt
    $ 7,917      $ 8,154  
 
  
 
 
 
  
 
 
 
During the three and six months ended July 30, 2022, we recognized $65,000 and $118,000 of interest expense on debt, respectively, which
is
included in interest expense in the accompanying condensed consolidated income statement. During the three and six months ended July 31, 2021, we recognized $65,000 and $179,000 of interest expense on debt, respectively, which
is
included in interest 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 July 30, 2022, is as follows:
 
(In thousands)
       
Fiscal 2023, remainder
    $ 750  
Fiscal 2024
      1,000  
Fiscal 2025
      1,250  
Fiscal 2026
      6,000  
    
 
 
  
     $ 9,000  
    
 
 
  
v3.22.2.2
Paycheck Protection Program Loan
 6 Months Ended
Jul. 30, 2022
Debt Disclosure [Abstract]  
Paycheck Protection Program Loan
Note 8 – Paycheck Protection Program Loan
On May 6, 2020, we entered into a loan agreement with, and executed a promissory note in favor of Greenwood Credit Union (“Greenwood”) pursuant to which we borrowed $4.4 million (the “PPP Loan”) from Greenwood pursuant to the Paycheck Protection Program (“PPP”) administered by the United States Small Business Administration (the “SBA”) and authorized by the Coronavirus Aid, Relief, and Economic Security Act (the “CARES A
ct”).
 
The PPP Loan, which would have been set to mature on May 6, 2022, was unsecured and bore interest at a rate of 1.0% per annum accruing from the loan date and
would have been
payable monthly. No payments were due on the PPP Loan until the date on which the lender determined the amount of the PPP Loan that was eligible for forgiveness.
On June 15, 2021, Greenwood
notified us that the SBA approved our application for forgiveness of the entire $4.4 million principal balance of our PPP Loan and all accrued interest thereon. As a result, we recorded a $4.5 million gain on extinguishment of debt in the accompanying condensed consolidated income statement for the three and six months ended July 31, 2021.
v3.22.2.2
Derivative Financial Instruments and Risk Management
 6 Months Ended
Jul. 30, 2022
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative Financial Instruments and Risk Management
Note 9 – Derivative Financial Instruments and Risk Management
In 2017, we entered into a cross-currency interest rate swap to manage the interest rate risk and foreign currency exchange risk associated with the floating-rate foreign currency-denominated term loan borrowing by our Danish Subsidiary and an interest rate swap to manage the interest rate risk associated with our variable rate term loan borrowing. Both swaps were designated as cash flow hedges of floating-rate borrowings.
Our cross-currency interest rate swap agreement effectively modified our exposure to interest rate risk and foreign currency exchange rate risk by converting our floating-rate debt denominated in U.S. Dollars on our Danish subsidiary’s books to a fixed-rate debt denominated in Danish Kroner for the term of the loan, thus reducing the impact of interest-rate and foreign currency exchange rate changes on future interest expense and principal repayments. This swap involved the receipt of floating rate amounts in U.S. Dollars in exchange for fixed-rate interest payments in Danish Kroner, as well as exchanges of principal at the inception spot rate, over the life of the term loan.
The interest rate swap agreement effectively modified our exposure to interest rate risk by effectively converting our floating-rate term-loan debt to fixed-rate debt, thus reducing the impact of interest-rate changes on future interest expense. This swap involved the receipt of floating rate amounts in U.S. Dollars in exchange for fixed rate payments in U.S. dollars over the life of the term loan.
On July 30, 2020, we
terminated these two swaps. The terms of the A&R Credit Agreement caused those swaps to cease to be effective hedges of the underlying exposures. The termination of the swaps was contracted immediately prior to the end of the second quarter of fiscal 2021 at a cash cost of approximately $0.7 million which was settled in the third quarter of fiscal 2021. Upon termination, the remaining balance of $58,000 in accumulated other comprehensive loss related to the cross-currency interest rate swap was reclassified into earnings as the forecasted foreign currency interest payments will not occur. The remaining balance in accumulated other comprehensive loss related to the interest rate swap of $
 
0.2 million is being amortized into earnings through the original term of the hedge relationship as the underlying floating interest rate debt still exists.
The following table presents the impact of our derivative instruments in our condensed consolidated financial statements for the three and six months ended July 30, 2022 and July 31, 2021:
 
 
  
Three Months Ended
 
 
  
Amount of Gain (Loss)
Recognized in OCI
on Derivative
 
  
Location of
Gain (Loss)
Reclassified
from Accumulated
OCI into
Income
 
  
Amount of Gain (Loss)
Reclassified from
Accumulated OCI
into Income
 
Cash Flow Hedge
(In thousands)
  
July 30,
2022
 
  
July 31,
2021
 
  
July 30,
2022
 
 
July 31,
2021
 
Swap contracts
    $ —        $ —          Other Expense      $ (20 )    $ (20 ) 
    
 
 
     
 
 
              
 
 
    
 
 
  
 
 
  
Six Months Ended
 
 
  
Amount of Gain (Loss)
Recognized in OCI
on Derivative
 
  
Location of
Gain (Loss)
Reclassified
from Accumulated
OCI into Income
 
  
Amount of Gain (Loss)
Reclassified from
Accumulated OCI
into Income
 
Cash Flow Hedge
(In thousands)
  
July 30,
2022
 
  
July 31,
2021
 
  
July 30,
2022
 
 
July 31,
2021
 
Swap contracts
    $ —        $ —          Other Expense      $ (40 )    $ (40 ) 
    
 
 
     
 
 
              
 
 
    
 
 
  
At July 30, 2022, we expect to reclassify approximately $20,000 of net losses on the frozen OCI balance associated with the terminated interest rate swap from accumulated other comprehensive loss to earnings during the next 12 months due to the payment of variable interest associated with the floating interest rate debt.
v3.22.2.2
Employee Retention Credit
 6 Months Ended
Jul. 30, 2022
Employee Retention Credit Disclosure [Abstract]  
Employee Retention Credit
Note 10 – Employee Retention Credit
The CARES Act provides an employee retention credit (“ERC”) that was a refundable tax credit against certain employer taxes. On December 27, 2020, Congress enacted the Taxpayer Certainty and Disaster Tax Relief Act of 2020, which amended and extended ERC availability under Section 2301 of the CARES Act. Before the enactment of the Taxpayer Certainty and Disaster Tax Relief Act of 2020, we were ineligible for the ERC because we received the PPP Loan. Following the enactment of the Taxpayer Certainty and Disaster Tax Relief Act of 2020, we and other businesses that received loans under that program became retroactively eligible for the ERC.
As a result of the foregoing legislation, we became eligible to claim a refundable tax credit against the employer’s share
of Social Security taxes equal to seventy percent (70%) of the qualified wages that we paid to our employees between December 31, 2020 and June 30, 2021. Qualified
wages were limited
to $10,000 per employee per calendar quarter in 2021 for a maximum ERC per employee of $7,000 per calendar quarter in 2021.
We evaluated our eligibility for the ERC in the second quarter of calendar year 2021. In order to qualify for the ERC, we needed to experience a 20% reduction in gross receipts from either (1) the same quarter in calendar year 2019 or (2) the immediately preceding quarter to the corresponding calendar quarter in 2019. We determined that we qualified for the employee retention credit under the first scenario for wages paid in calendar year 2020 and the first calendar quarter of 2021. In the second quarter of fiscal 2022, we amended certain payroll tax filings and applied for a refund of $3.1 million. Since there is no US GAAP guidance for
for-profit
business entities that receive government assistance that is not in the form of a loan, an income tax credit or revenue from a contract with a customer, we determined the appropriate accounting treatment by analogy to other guidance. We accounted for the employee retention credit by analogy to International Accounting Standards (IAS) 20, Accounting for Government Grants and Disclosure of Government Assistance, of International Financial Reporting Standards (IFRS). Under an IAS 20 analogy, a business entity would recognize the credit on a systematic basis over the periods in which the entity recognizes the payroll expenses for which the grant (i.e., tax credit) is intended to compensate when there is reasonable assurance (i.e., it is probable) that the entity will comply with any conditions attached to the grant and the grant (i.e., tax credit) will be received.
We recorded a $3.1 million receivable in the second quarter of fiscal 2022 for the ERC receivable and recognized a reduction in employer payroll taxes which was allocated to the financial statement captions from which the employee’s taxes were originally incurred. As a result, we recorded a reduction in expenses of $1.7 million in cost of revenue, $0.8 million in selling and marketing, $0.3 million in research and development and $0.3 million in general and administrative in the accompanying condensed consolidated income statement for the three and six month periods ended July 31, 2021. On March 22, 2022, we received payment of the $3.1 million ERC.
v3.22.2.2
Royalty Obligation
 6 Months Ended
Jul. 30, 2022
Royalty Obligation Disclosure [Abstract]  
Royalty Obligation
Note 11 – Royalty Obligation
In fiscal 2018, we entered into an Asset Purchase and License Agreement with Honeywell to acquire an exclusive, perpetual, worldwide 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 using a present value factor of 2.8%, which is based on the estimated
after-tax
cost of debt for similar companies. As of July 30, 2022, we had paid an aggregate of $8.5 million of the guaranteed minimum royalty obligation. At July 30, 2022, the current portion of the outstanding guaranteed minimum royalty obligation of $1.9 million is to be paid over the next twelve months and is reported as a current liability, and the remainder of $3.6 million is reported as a long-term liability on our condensed consolidated balance sheet. For the three and six month periods ended July 30, 2022, we incurred $0.3 million and $0.6 million, respectively, in excess royalty expenses which are included in the cost of revenue in our condensed consolidated statements of income. A total of $0.5 million in excess royalties was paid during the current fiscal year, and there are $0.3 million in excess royalty payables due as a result of this agreement for the period ended July 30, 2022.
v3.22.2.2
Leases
 6 Months Ended
Jul. 30, 2022
Leases [Abstract]  
Leases
Note 12 – 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, some of which include options to extend the lease term for periods of up to five years when it is reasonably certain that we will exercise such options.
Balance sheet and other information related to our leases is as follows:
 
Operating Leases
(In thousands)
  
Balance Sheet Classification
 
  
July 30,
2022
 
  
January 31,
2022
 
                         
                         
                         
Lease Assets
      Right of Use Assets      $ 887      $ 1,094  
Lease Liabilities – Current
      Other Liabilities and Accrued Expenses        302        327  
Lease Liabilities – Long Term
      Lease Liabilities        627        808  
Lease cost information is as follows:
 
           
Three Months Ended
     
Six Months Ended
  
Operating Leases
(In thousands)
   
Statement of Income Classification
     
July 30,
2022
     
July 30,
2022
  
Operating Lease Costs
      General and Administrative Expense      $ 104      $ 200  
       
           
Three Months Ended
     
Six Months Ended
  
Operating Leases
(In thousands)
   
Statement of Income Classification
     
July 31,
2021
     
July 31,
2021
  
Operating Lease Costs
      General and Administrative Expense      $ 124      $ 260  
Maturities of operating lease liabilities are as follows:
 
(In thousands)
   
July 30,
2022
  
Fiscal 2023, remaining
    $ 151  
Fiscal 2024
      293  
Fiscal 2025
      192  
Fiscal 2026
      146  
Fiscal 2027
      140  
Thereafter
      86  
    
 
 
  
Total Lease Payments
      1,008  
Less: Imputed Interest
      (79 ) 
    
 
 
  
Total Lease Liabilities
    $ 929  
    
 
 
  
As of July 30, 2022, the weighted-average remaining lease term and weighted-average discount rate for our operating leases are 4.6 years and 3.85%, 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
     
Six Months Ended
  
(In thousands)
   
July 30,
2022
     
July 30,
2022
  
Cash paid for amounts included in the measurement of lease liabilities:
                  
Operating cash flows for operating leases
    $ 79      $ 162  
 
  
Three Months Ended
 
  
Six Months Ended
 
(In thousands)
  
July 31,
2021
 
  
July 31,
2021
 
Cash paid for amounts included in the measurement of lease liabilities:
                  
Operating cash flows for operating leases
    $ 93      $ 185  
v3.22.2.2
Accumulated Other Comprehensive Loss
 6 Months Ended
Jul. 30, 2022
Equity [Abstract]  
Accumulated Other Comprehensive Loss
Note 13 – 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
     
Cash
Flow
Hedges
     
Total
  
Balance at January 31, 2022
    $ (1,701 )     $ (47 )     $ (1,748 ) 
Other Comprehensive Loss before reclassification
      (1,368 )       —          (1,368 ) 
Amounts reclassified from AOCL to Earnings
      —          32        32  
    
 
 
     
 
 
     
 
 
  
Other Comprehensive Income (Loss)
      (1,368 )       32        (1,336 ) 
    
 
 
     
 
 
     
 
 
  
Balance at July 30, 2022
    $ (3,069 )     $ (15 )     $ (3,084 ) 
    
 
 
     
 
 
     
 
 
  
The amounts presented above in other comprehensive loss are net of taxes except for translation adjustments associated with our German, Danish and Shanghai subsidiaries.
v3.22.2.2
Share-Based Compensation
 6 Months Ended
Jul. 30, 2022
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Share-Based Compensation
Note 14 – 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,
canceled
, 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 129,363 unvested RSUs; 128,793 unvested PSUs; 21,172 unvested RSAs and options to purchase an aggregate of 135,500 shares outstanding as of July 30, 2022.
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 or 2015 plans, but outstanding awards will continue to be governed by those plans. As of July 30, 2022, options to purchase an aggregate of 308,274 shares were outstanding under the 2007 Plan and options to purchase an aggregate of 135,325 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 2023 is $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
     
Six Months Ended
  
(In thousands)
   
July 30,
2022
     
July 31,
2021
     
July 30,
2022
     
July 31,
2021
  
Stock Options
    $ 1      $ 57      $ 7      $ 162  
Restricted Stock Awards and Restricted Stock Units
      234        408        562        778  
Employee Stock Purchase Plan
      —          4        3        7  
    
 
 
     
 
 
     
 
 
     
 
 
  
Total
    $ 235      $ 469      $ 572      $ 947  
    
 
 
     
 
 
     
 
 
     
 
 
  
Stock Options

Aggregated information regarding stock option activity for the six months ended July 30, 2022 is summarized below:
 
    
Number of
Options
     
Weighted Average
Exercise Price
  
Outstanding at January 31, 2022
      598,043      $ 14.67  
Exercised
      (11,444 )       9.51  
Forfeited
      (5,100 )       15.38  
Expired
      (2,400 )       8.09  
    
 
 
     
 
 
  
Outstanding at July 31, 2021
      579,099      $ 14.79  
    
 
 
     
 
 
  
Set forth below is a summary of options outstanding at July 30, 2022:
 
Outstanding
 
  
Exercisable
 
Range of
Exercise prices
  
Number
of
Options
 
  
Weighted-
Average
Exercise
Price
 
  
Weighted-
Average
Remaining
Contractual Life
 
  
Number
of
Options
 
  
Weighted-
Average
Exercise
Price
 
  
Weighted
Average
Remaining
Contractual
Life
 
$5.00-10.00
      25,000      $ 7.91        0.1        25,000      $ 7.91        0.1  
$10.01-15.00
      339,549      $ 13.62        3.4        340,549      $ 13.62        3.4  
$15.01-20.00
      214,550      $ 17.45        5.3        214,550      $ 17.45        5.3  
    
 
 
     
 
 
     
 
 
     
 
 
     
 
 
     
 
 
  
       579,099      $ 14.79        4.0        579,099      $ 14.79        4.0  
    
 
 
     
 
 
     
 
 
     
 
 
     
 
 
     
 
 
  
There were no stock options granted in either fiscal 2022 or during the six months ended July 30, 2022, and as of July 30
,
2022, there was
no
unrecognized compensation expense related to stock options.
Restricted Stock Units (RSUs) and Restricted Stock Awards (RSAs)
Aggregated information regarding RSU and RSA activity for the six months ended July 30, 2022 is summarized below:
 
 
  
RSAs & RSUs
 
  
Weighted Average
Grant Date Fair Value
 
Outstanding at January 31, 2022
      199,342      $ 12.63  
Granted
      163,009        12.77  
Vested
      (81,923 )       13.42  
Forfeited
      (1,100 )       11.77  
    
 
 
     
 
 
  
Outstanding at July 30, 2022
      279,328      $ 12.48  
    
 
 
     
 
 
  
As
of July 30, 2022, there was approximately $1.7 million of unrecognized compensation expense related to RSUs 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 this plan. No shares were purchased under the 2022 ESSP during the six month period ended July 30, 2022. During the six month periods ended July 30, 2022 and July 31, 2021, there
were 1,550 and 3,899
shares, respectively, purchased under the Prior ESPP, and no additional purchases may be made under that plan. As of July 30, 2022
, 40,000 shares
 remain available for purchase under the 2022 ESPP. 
v3.22.2.2
Income Taxes
 6 Months Ended
Jul. 30, 2022
Income Tax Disclosure [Abstract]  
Income Taxes
Note 15 – Income Taxes
Our effective tax rates for the period are as follows:
 
    
Three Months
Ended
    
Six Months
Ended
  
Fiscal 2023
      27.4 %      21.7 % 
Fiscal 2022
      9.1 %      5.8 % 
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 July 30, 2022, we recognized an income tax expense of $
0.2
 
million
. The effective tax rate in this period was directly impacted by our jurisdictional mix of earnings and a $13,000 tax expense relating to a revaluation of deferred taxes. During the three months ended July 31, 2021, we recognized an income tax expense of $0.7 million. The effective tax rate in this period was directly impacted by a $1.1 million tax benefit from the forgiveness of the PPP Loan, a $0.1 million tax benefit arising from a windfall related to our stock compensation and a $32,000 tax benefit related to return to provision adjustments from foreign tax returns filed in the quarter. The PPP Loan forgiveness recognized during the three months ended July 31, 2021, is excluded from federal taxable income under Section 1106(i) of the CARES Act
.
During the six months ended July 30, 2022, we recognized an income tax expense of $
0.3
 
million
. The effective tax rate in this period was directly impacted by our jurisdictional mix of earnings, a $38,000
tax benefit related to the expiration of the statute of limitations on previously uncertain tax positions,
a $21,000
tax benefit arising from windfall tax expense related to our stock, and
a $13,000 tax
expense relating to a revaluation of deferred taxes. During the six months ended July 31, 2021, we recognized an income tax expense
of $0.5 million. The effective tax rate in this period was directly impacted by a $1.1 million tax benefit from the forgiveness of the PPP loan, a $0.3 
million tax benefit related to the expiration of the statute of limitations on previously uncertain tax positions,
a $0.1
million tax benefit arising from windfall tax expense related to our stock, and
a $32,000 
tax benefit related to return to provision adjustments from foreign tax returns filed in the year. The PPP loan forgiveness recognized during the six months ended July 31, 2021, is excluded from taxable income under Section 1106(i) of the CARES Act.
 
v3.22.2.2
Segment Information
 6 Months Ended
Jul. 30, 2022
Segment Reporting [Abstract]  
Segment Information
Note 16 – Segment Information
We report two segments: Product Identification (“PI”) and Test & Measurement (“T&M”). We evaluate segment performance based on the segment profit (loss) before corporate expenses.
Summarized below are the Revenue and Segment Operating Profit for each reporting segment:
 

 
  
Three Months Ended
 
  
Six Months Ended
 
 
  
Revenue
 
  
Segment Operating Profit
 
  
Revenue
 
  
Segment Operating Profit
 
(In thousands)
  
July 30,
2022
 
  
July 31,
2021
 
  
July 30,
2022
 
 
July 31,
2021
 
  
July 30,
2022
 
  
July 31,
2021
 
  
July 30,
2022
 
 
July 31,
2021
 
Product Identification
    $ 23,382      $ 23,492      $ 1,644     $ 4,406      $ 45,106      $ 46,590      $ 3,058     $ 7,134  
T&M
      8,877        6,353        2,162       1,710        18,163        12,333        4,072       2,060  
    
 
 
     
 
 
     
 
 
    
 
 
     
 
 
     
 
 
     
 
 
    
 
 
  
Total
    $ 32,259      $ 29,845        3,806       6,116      $ 63,269      $ 58,923        7,130       9,194  
    
 
 
     
 
 
                      
 
 
     
 
 
                   
Corporate Expenses
               2,571       2,664                 5,131       5,008  
             
 
 
    
 
 
              
 
 
    
 
 
  
Operating Income
               1,235       3,452                 1,999       4,186  
Other Income (Expense), Net
               (431 )      4,266                 (710 )      3,897  
             
 
 
    
 
 
              
 
 
    
 
 
  
Income Before Income Taxes
               804       7,718                 1,289       8,083  
Income Tax Provision
               220       699                 280       471  
             
 
 
    
 
 
              
 
 
    
 
 
  
Net Income
             $ 584     $ 7,019               $ 1,009     $ 7,612  
             
 
 
    
 
 
              
 
 
    
 
 
  
v3.22.2.2
Fair Value
 6 Months Ended
Jul. 30, 2022
Fair Value Disclosures [Abstract]  
Fair Value
Note 17 – 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:
 
    
July 30, 2022
  
    
Fair Value Measurement
         
(In thousands)
   
Level 1
     
Level 2
     
Level 3
     
Total
     
Carrying
Value
  
Long-Term debt and related current maturities
    $ —        $ —        $ 9,011      $ 9,011      $ 9,000  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
January 31, 2022
 
 
  
Fair Value Measurement
 
  
 
 
(In thousands)
  
Level 1
 
  
Level 2
 
  
Level 3
 
  
Total
 
  
Carrying
Value
 
Long-Term debt and related current maturities
    $ —        $ —        $ 9,255      $ 9,255      $ 9,250  
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.
v3.22.2.2
Subsequent Event
 6 Months Ended
Jul. 30, 2022
Subsequent Events [Abstract]  
Subsequent Event
Note 18 – Subsequent Event
On
 
August 
4
,
2022
, we acquired Astro Machine LLC (“Astro Machine”), an Elk Grove Village, Illinois-based manufacturer of printing equipment, including labelers, 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, payable in cash, of $15.6 million. 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.
This
transaction is a business combination and will be accounted for using the acquisition method. The purchase price of Astro Machine will be allocated to the tangible and intangible assets acquired and liabilities assumed based on their fair value at the acquisition date. Any excess of the purchase price over the fair value of the net identified assets acquired and liabilities assumed will be recorded as goodwill. Transaction costs related to the transaction will be expensed as incurred. We are currently preparing the valuations and other procedures necessary to determine the purchase price allocation and will record our initial fair value estimates and the results of operations of Astro Machine since the acquisition date in our condensed consolidated financial statement for the third quarter of fiscal 2023.
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
 mil
lion
. 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.
In connection with the purchase of Astro Machine, on August 4, 2022, we entered into a Second Amendment to Amended and Restated Credit Agreement (the “Second Amendment”) with the Lender. The Second Amendment amended the Existing Credit Agreement (the “Amended Credit Agreement”).
The
 Amended Credit Agreement provides for (i) a new term loan in the principal amount of $6.0 million, which term loan is 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 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. We have since repaid $1.0 million of the amount borrowed under the revolving credit facility.
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. The entire remaining principal balance of the term loan is required to be paid on August 4, 2027.
v3.22.2.2
Summary of Significant Accounting Policies Update (Policies)
 6 Months Ended
Jul. 30, 2022
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 six months of the current year, have had or are expected to have a material impact on our consolidated financial statements.
v3.22.2.2
Revenue Recognition (Tables)
 6 Months Ended
Jul. 30, 2022
Revenue from Contract with Customer [Abstract]  
Summary of Revenues Disaggregated by Primary Geographic Markets and Major Product Type
Primary geographical markets
:
 
 
  
Three Months Ended
 
  
Six Months Ended
 
(In thousands)
  
July 30,
2022
 
  
July 31,
2021
 
  
July 30,
2022
 
  
July 31,
2021
 
United States
    $ 19,044      $ 17,181      $ 38,695      $ 33,874  
Europe
      7,883        7,826        15,301        16,425  
Canada
      2,225        1,491        4,080        3,037  
Asia
      1,789        1,964        2,726        3,049  
Central and South America
      1,023        995        1,911        1,756  
Other
      295        388        556        782  
    
 
 
     
 
 
     
 
 
     
 
 
  
Total Revenue
    $ 32,259      $ 29,845      $ 63,269      $ 58,923  
    
 
 
     
 
 
     
 
 
     
 
 
  
Major product
types:
 

 
  
Three Months Ended
 
  
Six Months Ended
 
(In thousands)
  
July 30,
2022
 
  
July 31,
2021
 
  
July 30,
2022
 
  
July 31,
2021
 
Hardware
    $ 8,637      $ 7,878      $ 17,937      $ 15,525  
Supplies
      19,166        18,678        37,111        36,888  
Service and Other
      4,456        3,289        8,221        6,510  
    
 
 
     
 
 
     
 
 
     
 
 
  
Total Revenue
    $ 32,259      $ 29,845      $ 63,269      $ 58,923  
    
 
 
     
 
 
     
 
 
     
 
 
  
v3.22.2.2
Net Income Per Common Share (Tables)
 6 Months Ended
Jul. 30, 2022
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
     
Six Months Ended
  
    
July 30,
2022
     
July 31,
2021
     
July 30,
2022
     
July 31,
2021
  
Weighted Average Common Shares Outstanding – Basic
      7,309,716        7,208,834        7,286,735        7,176,940  
Effect of Dilutive Options, Restricted Stock Awards and Restricted Stock Units
      38,230        119,724        67,972        120,178  
    
 
 
     
 
 
     
 
 
     
 
 
  
Weighted Average Common Shares Outstanding – Diluted
      7,347,946        7,328,558        7,354,707        7,297,118  
    
 
 
     
 
 
     
 
 
     
 
 
  
v3.22.2.2
Intangible Assets (Tables)
 6 Months Ended
Jul. 30, 2022
Goodwill and Intangible Assets Disclosure [Abstract]  
Fair Value of Acquired Identifiable Intangible Assets and Related Estimated Useful Lives
Intangible assets are as follows:
 

 
  
July 30, 2022
 
  
January 31, 2022
 
(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      $ (2,646 )    $ —        $ 454      $ 3,100      $ (2,515 )    $ —        $ 585  
RITEC:
                                                                      
Customer Contract Relationships
      2,830        (1,590 )      —          1,240        2,830        (1,557 )      —          1,273  
TrojanLabel:
                                                                      
Existing Technology
      2,327        (1,929 )      73        471        2,327        (1,767 )      127        687  
Distributor Relations
      937        (543 )      5        399        937        (498 )      46        485  
Honeywell:
                                                                      
Customer Contract Relationships
      27,243        (11,493 )      —          15,750        27,243        (11,073 )      —          16,170  
    
 
 
     
 
 
    
 
 
     
 
 
     
 
 
     
 
 
    
 
 
     
 
 
  
Intangible Assets, net
    $ 36,437      $ (18,201 )    $ 78      $ 18,314      $ 36,437      $ (17,410 )    $ 173      $ 19,200  
    
 
 
     
 
 
    
 
 
     
 
 
     
 
 
     
 
 
    
 
 
     
 
 
  
Summary of Estimated Amortization Expense
Estimated amortization expense for the next five fiscal years is as follows:
 

(In thousands)
  
Remaining
2023
 
  
2024
 
  
2025
 
  
2026
 
  
2027
 
Estimated amortization expense
    $ 792      $ 1,645      $ 997      $ 997      $ 997  
v3.22.2.2
Inventories (Tables)
 6 Months Ended
Jul. 30, 2022
Inventory Disclosure [Abstract]  
Components of Inventories
Inventories are stated at the lower of cost (standard and average methods) and net realizable value and include material, labor, and manufacturing overhead. The components of inventories are as follows:
 

(In thousands)
  
July 30, 2022
 
  
January 31, 2022
 
Materials and Supplies
    $ 27,504      $ 22,709  
Work-In-Process
      1,160        1,489  
Finished Goods
      23,369        19,718  
    
 
 
     
 
 
  
       52,033        43,916  
Inventory Reserve
      (10,306 )       (9,307 ) 
    
 
 
     
 
 
  
     $ 41,727      $ 34,609  
    
 
 
     
 
 
  
v3.22.2.2
Credit Agreement and Debt (Tables)
 6 Months Ended
Jul. 30, 2022
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)
  
July 30, 2022
 
  
January 31, 2022
 
USD Term Loan (3.45% as of July 30, 2022, and
2.35%
as of
January 31, 2022); maturity date of
September 30, 2025
    $ 9,000      $ 9,250  
Debt Issuance Costs, net of accumulated amortization
      (83 )       (96 ) 
Current Portion of Term Loans
      (1,000 )       (1,000 ) 
    
 
 
     
 
 
  
Long-Term Debt
    $ 7,917      $ 8,154  
 
  
 
 
 
  
 
 
 
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 July 30, 2022, is as follows:
 
(In thousands)
       
Fiscal 2023, remainder
    $ 750  
Fiscal 2024
      1,000  
Fiscal 2025
      1,250  
Fiscal 2026
      6,000  
    
 
 
  
     $ 9,000  
    
 
 
  
v3.22.2.2
Derivative Financial Instruments and Risk Management (Tables)
 6 Months Ended
Jul. 30, 2022
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Impact of the Derivative Instruments in the Condensed Consolidated Financial Statements
The following table presents the impact of our derivative instruments in our condensed consolidated financial statements for the three and six months ended July 30, 2022 and July 31, 2021:
 
 
  
Three Months Ended
 
 
  
Amount of Gain (Loss)
Recognized in OCI
on Derivative
 
  
Location of
Gain (Loss)
Reclassified
from Accumulated
OCI into
Income
 
  
Amount of Gain (Loss)
Reclassified from
Accumulated OCI
into Income
 
Cash Flow Hedge
(In thousands)
  
July 30,
2022
 
  
July 31,
2021
 
  
July 30,
2022
 
 
July 31,
2021
 
Swap contracts
    $ —        $ —          Other Expense      $ (20 )    $ (20 ) 
    
 
 
     
 
 
              
 
 
    
 
 
  
 
 
  
Six Months Ended
 
 
  
Amount of Gain (Loss)
Recognized in OCI
on Derivative
 
  
Location of
Gain (Loss)
Reclassified
from Accumulated
OCI into Income
 
  
Amount of Gain (Loss)
Reclassified from
Accumulated OCI
into Income
 
Cash Flow Hedge
(In thousands)
  
July 30,
2022
 
  
July 31,
2021
 
  
July 30,
2022
 
 
July 31,
2021
 
Swap contracts
    $ —        $ —          Other Expense      $ (40 )    $ (40 ) 
    
 
 
     
 
 
              
 
 
    
 
 
  
v3.22.2.2
Leases (Tables)
 6 Months Ended
Jul. 30, 2022
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
 
  
July 30,
2022
 
  
January 31,
2022
 
                         
                         
                         
Lease Assets
      Right of Use Assets      $ 887      $ 1,094  
Lease Liabilities – Current
      Other Liabilities and Accrued Expenses        302        327  
Lease Liabilities – Long Term
      Lease Liabilities        627        808  
Schedule Lease Cost Information
Lease cost information is as follows:
 
           
Three Months Ended
     
Six Months Ended
  
Operating Leases
(In thousands)
   
Statement of Income Classification
     
July 30,
2022
     
July 30,
2022
  
Operating Lease Costs
      General and Administrative Expense      $ 104      $ 200  
       
           
Three Months Ended
     
Six Months Ended
  
Operating Leases
(In thousands)
   
Statement of Income Classification
     
July 31,
2021
     
July 31,
2021
  
Operating Lease Costs
      General and Administrative Expense      $ 124      $ 260  
Schedule of Maturities Of Lease Liabilities
Maturities of operating lease liabilities are as follows:
 
(In thousands)
   
July 30,
2022
  
Fiscal 2023, remaining
    $ 151  
Fiscal 2024
      293  
Fiscal 2025
      192  
Fiscal 2026
      146  
Fiscal 2027
      140  
Thereafter
      86  
    
 
 
  
Total Lease Payments
      1,008  
Less: Imputed Interest
      (79 ) 
    
 
 
  
Total Lease Liabilities
    $ 929  
    
 
 
  
Supplemental Cash Flow Information Related To Leases
Supplemental cash flow information related to leases is as follows:
 
    
Three Months Ended
     
Six Months Ended
  
(In thousands)
   
July 30,
2022
     
July 30,
2022
  
Cash paid for amounts included in the measurement of lease liabilities:
                  
Operating cash flows for operating leases
    $ 79      $ 162  
 
  
Three Months Ended
 
  
Six Months Ended
 
(In thousands)
  
July 31,
2021
 
  
July 31,
2021
 
Cash paid for amounts included in the measurement of lease liabilities:
                  
Operating cash flows for operating leases
    $ 93      $ 185  
v3.22.2.2
Accumulated Other Comprehensive Loss (Tables)
 6 Months Ended
Jul. 30, 2022
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
     
Cash
Flow
Hedges
     
Total
  
Balance at January 31, 2022
    $ (1,701 )     $ (47 )     $ (1,748 ) 
Other Comprehensive Loss before reclassification
      (1,368 )       —          (1,368 ) 
Amounts reclassified from AOCL to Earnings
      —          32        32  
    
 
 
     
 
 
     
 
 
  
Other Comprehensive Income (Loss)
      (1,368 )       32        (1,336 ) 
    
 
 
     
 
 
     
 
 
  
Balance at July 30, 2022
    $ (3,069 )     $ (15 )     $ (3,084 ) 
    
 
 
     
 
 
     
 
 
  
v3.22.2.2
Share-Based Compensation (Tables)
 6 Months Ended
Jul. 30, 2022
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Share-Based Compensation Expense
Share-based compensation expense was recognized as follows:
 
    
Three Months Ended
     
Six Months Ended
  
(In thousands)
   
July 30,
2022
     
July 31,
2021
     
July 30,
2022
     
July 31,
2021
  
Stock Options
    $ 1      $ 57      $ 7      $ 162  
Restricted Stock Awards and Restricted Stock Units
      234        408        562        778  
Employee Stock Purchase Plan
      —          4        3        7  
    
 
 
     
 
 
     
 
 
     
 
 
  
Total
    $ 235      $ 469      $ 572      $ 947  
    
 
 
     
 
 
     
 
 
     
 
 
  
Aggregated Information Regarding Stock Options Granted
Aggregated information regarding stock option activity for the six months ended July 30, 2022 is summarized below:
 
    
Number of
Options
     
Weighted Average
Exercise Price
  
Outstanding at January 31, 2022
      598,043      $ 14.67  
Exercised
      (11,444 )       9.51  
Forfeited
      (5,100 )       15.38  
Expired
      (2,400 )       8.09  
    
 
 
     
 
 
  
Outstanding at July 31, 2021
      579,099      $ 14.79  
    
 
 
     
 
 
  
Summary of Options Outstanding
Set forth below is a summary of options outstanding at July 30, 2022:
 
Outstanding
 
  
Exercisable
 
Range of
Exercise prices
  
Number
of
Options
 
  
Weighted-
Average
Exercise
Price
 
  
Weighted-
Average
Remaining
Contractual Life
 
  
Number
of
Options
 
  
Weighted-
Average
Exercise
Price
 
  
Weighted
Average
Remaining
Contractual
Life
 
$5.00-10.00
      25,000      $ 7.91        0.1        25,000      $ 7.91        0.1  
$10.01-15.00
      339,549      $ 13.62        3.4        340,549      $ 13.62        3.4  
$15.01-20.00
      214,550      $ 17.45        5.3        214,550      $ 17.45        5.3  
    
 
 
     
 
 
     
 
 
     
 
 
     
 
 
     
 
 
  
       579,099      $ 14.79        4.0        579,099      $ 14.79        4.0  
    
 
 
     
 
 
     
 
 
     
 
 
     
 
 
     
 
 
  
Aggregated Information Regarding RSUs and RSAs Granted
Aggregated information regarding RSU and RSA activity for the six months ended July 30, 2022 is summarized below:
 
 
  
RSAs & RSUs
 
  
Weighted Average
Grant Date Fair Value
 
Outstanding at January 31, 2022
      199,342      $ 12.63  
Granted
      163,009        12.77  
Vested
      (81,923 )       13.42  
Forfeited
      (1,100 )       11.77  
    
 
 
     
 
 
  
Outstanding at July 30, 2022
      279,328      $ 12.48  
    
 
 
     
 
 
  
v3.22.2.2
Income Taxes (Tables)
 6 Months Ended
Jul. 30, 2022
Income Tax Disclosure [Abstract]  
Projected Effective Tax Rate for Periods
Our effective tax rates for the period are as follows:
 
    
Three Months
Ended
    
Six Months
Ended
  
Fiscal 2023
      27.4 %      21.7 % 
Fiscal 2022
      9.1 %      5.8 % 
v3.22.2.2
Segment Information (Tables)
 6 Months Ended
Jul. 30, 2022
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
 
  
Six Months Ended
 
 
  
Revenue
 
  
Segment Operating Profit
 
  
Revenue
 
  
Segment Operating Profit
 
(In thousands)
  
July 30,
2022
 
  
July 31,
2021
 
  
July 30,
2022
 
 
July 31,
2021
 
  
July 30,
2022
 
  
July 31,
2021
 
  
July 30,
2022
 
 
July 31,
2021
 
Product Identification
    $ 23,382      $ 23,492      $ 1,644     $ 4,406      $ 45,106      $ 46,590      $ 3,058     $ 7,134  
T&M
      8,877        6,353        2,162       1,710        18,163        12,333        4,072       2,060  
    
 
 
     
 
 
     
 
 
    
 
 
     
 
 
     
 
 
     
 
 
    
 
 
  
Total
    $ 32,259      $ 29,845        3,806       6,116      $ 63,269      $ 58,923        7,130       9,194  
    
 
 
     
 
 
                      
 
 
     
 
 
                   
Corporate Expenses
               2,571       2,664                 5,131       5,008  
             
 
 
    
 
 
              
 
 
    
 
 
  
Operating Income
               1,235       3,452                 1,999       4,186  
Other Income (Expense), Net
               (431 )      4,266                 (710 )      3,897  
             
 
 
    
 
 
              
 
 
    
 
 
  
Income Before Income Taxes
               804       7,718                 1,289       8,083  
Income Tax Provision
               220       699                 280       471  
             
 
 
    
 
 
              
 
 
    
 
 
  
Net Income
             $ 584     $ 7,019               $ 1,009     $ 7,612  
             
 
 
    
 
 
              
 
 
    
 
 
  
v3.22.2.2
Fair Value (Tables)
 6 Months Ended
Jul. 30, 2022
Fair Value Disclosures [Abstract]  
Summary of Financial Assets and Liabilities Measured 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:
 
    
July 30, 2022
  
    
Fair Value Measurement
         
(In thousands)
   
Level 1
     
Level 2
     
Level 3
     
Total
     
Carrying
Value
  
Long-Term debt and related current maturities
    $ —        $ —        $ 9,011      $ 9,011      $ 9,000  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
January 31, 2022
 
 
  
Fair Value Measurement
 
  
 
 
(In thousands)
  
Level 1
 
  
Level 2
 
  
Level 3
 
  
Total
 
  
Carrying
Value
 
Long-Term debt and related current maturities
    $ —        $ —        $ 9,255      $ 9,255      $ 9,250  
v3.22.2.2
Business and Basis of Presentation - Additional Information (Detail)
 6 Months Ended
Jul. 30, 2022
Segment
Number of Operating Segments 2
v3.22.2.2
Revenue Recognition - Summary of Revenues Disaggregated by Primary Geographic Markets (Detail) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 30, 2022
Jul. 31, 2021
Jul. 30, 2022
Jul. 31, 2021
Disaggregation of Revenue [Line Items]        
Total Revenue $ 32,259 $ 29,845 $ 63,269 $ 58,923
United States [Member]        
Disaggregation of Revenue [Line Items]        
Total Revenue 19,044 17,181 38,695 33,874
Europe [Member]        
Disaggregation of Revenue [Line Items]        
Total Revenue 7,883 7,826 15,301 16,425
Canada [Member]        
Disaggregation of Revenue [Line Items]        
Total Revenue 2,225 1,491 4,080 3,037
Asia [Member]        
Disaggregation of Revenue [Line Items]        
Total Revenue 1,789 1,964 2,726 3,049
Central and South America [Member]        
Disaggregation of Revenue [Line Items]        
Total Revenue 1,023 995 1,911 1,756
Other [Member]        
Disaggregation of Revenue [Line Items]        
Total Revenue $ 295 $ 388 $ 556 $ 782
v3.22.2.2
Revenue Recognition - Summary of Revenues Disaggregated by Primary Product Type (Detail) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 30, 2022
Jul. 31, 2021
Jul. 30, 2022
Jul. 31, 2021
Disaggregation of Revenue [Line Items]        
Total Revenue $ 32,259 $ 29,845 $ 63,269 $ 58,923
Hardware [Member]        
Disaggregation of Revenue [Line Items]        
Total Revenue 8,637 7,878 17,937 15,525
Supplies [Member]        
Disaggregation of Revenue [Line Items]        
Total Revenue 19,166 18,678 37,111 36,888
Service and Other [Member]        
Disaggregation of Revenue [Line Items]        
Total Revenue $ 4,456 $ 3,289 $ 8,221 $ 6,510
v3.22.2.2
Revenue Recognition - Additional Information (Detail) - USD ($)
 3 Months Ended 6 Months Ended
Jul. 30, 2022
Jul. 30, 2022
Jan. 31, 2022
Contract liabilities and extended warranties $ 281,000 $ 281,000 $ 262,000
Contract with customer liability revenue recognized including additions 177,000 177,000  
Contract assets balance 1,300,000 1,300,000 $ 1,300,000
Additional contract costs 100,000 100,000  
Amortization of incremental direct costs 19,000 37,000  
Deferred incremental direct contract costs reported in other current assets 100,000 100,000  
Capitalized contract cost net long term and short term $ 1,400,000 $ 1,400,000  
Capitalized contract costs additional amounts incurred amortization period   19 years  
v3.22.2.2
Net Income Per Common Share - Reconciliation of Shares Used in Calculating Basic and Diluted (Detail) - shares
 3 Months Ended 6 Months Ended
Jul. 30, 2022
Jul. 31, 2021
Jul. 30, 2022
Jul. 31, 2021
Weighted Average Common Shares Outstanding – Basic 7,309,716 7,208,834 7,286,735 7,176,940
Effect of Dilutive Options, Restricted Stock Awards and Restricted Stock Units 38,230 119,724 67,972 120,178
Weighted Average Common Shares Outstanding – Diluted 7,347,946 7,328,558 7,354,707 7,297,118
v3.22.2.2
Net Income Per Common Share - Additional Information (Detail) - shares
 3 Months Ended 6 Months Ended
Jul. 30, 2022
Jul. 31, 2021
Jul. 30, 2022
Jul. 31, 2021
Number of common equivalent shares 612,116 189,827 586,084 484,748
v3.22.2.2
Intangible Assets - Fair Value of Acquired Identifiable Intangible Assets and Related Estimated Useful Lives (Detail) - USD ($)
$ in Thousands
Jul. 30, 2022
Jan. 31, 2022
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Amount $ 36,437 $ 36,437
Accumulated Amortization (18,201) (17,410)
Currency Translation Adjustment 78 173
Net Carrying Amount 18,314 19,200
Customer Contract Relationships [Member] | Honeywell Asset Purchase and License Agreement [Member]    
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Amount 27,243 27,243
Accumulated Amortization (11,493) (11,073)
Net Carrying Amount 15,750 16,170
Customer Contract Relationships [Member] | Miltope [Member]    
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Amount 3,100 3,100
Accumulated Amortization (2,646) (2,515)
Net Carrying Amount 454 585
Customer Contract Relationships [Member] | RITEC [Member]    
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Amount 2,830 2,830
Accumulated Amortization (1,590) (1,557)
Net Carrying Amount 1,240 1,273
Existing Technology [Member] | TrojanLabel ApS [Member]    
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Amount 2,327 2,327
Accumulated Amortization (1,929) (1,767)
Currency Translation Adjustment 73 127
Net Carrying Amount 471 687
Distributor Relations [Member] | TrojanLabel ApS [Member]    
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Amount 937 937
Accumulated Amortization (543) (498)
Currency Translation Adjustment 5 46
Net Carrying Amount $ 399 $ 485
v3.22.2.2
Intangible Assets - Additional Information (Detail) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 30, 2022
Jul. 31, 2021
Jul. 30, 2022
Jul. 31, 2021
Intangible Assets [Line Items]        
Impairments of intangible assets     $ 0 $ 0
Amortization expense $ 400 $ 400 $ 800 $ 1,400
v3.22.2.2
Intangible Assets - Summary of Estimated Amortization Expense (Detail)
$ in Thousands
Jul. 30, 2022
USD ($)
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]  
Remaining 2023 $ 792
2024 1,645
2025 997
2026 997
2027 $ 997
v3.22.2.2
Inventories - Components of Inventories (Detail) - USD ($)
$ in Thousands
Jul. 30, 2022
Jan. 31, 2022
Inventory Disclosure [Abstract]    
Materials and Supplies $ 27,504 $ 22,709
Work-In-Process 1,160 1,489
Finished Goods 23,369 19,718
Inventory, Gross 52,033 43,916
Inventory Reserve (10,306) (9,307)
Inventories $ 41,727 $ 34,609
v3.22.2.2
Credit Agreement and Debt - Schedule of Long Term Debt in the Accompanying Condensed Consolidated Balance Sheets (Detail) - USD ($)
$ in Thousands
Jul. 30, 2022
Jan. 31, 2022
Debt Instrument [Line Items]    
Debt Issuance Costs, net of accumulated amortization $ (83) $ (96)
Current Portion of Term Loans (1,000) (1,000)
Long-Term Debt 7,917 8,154
Term Loan Due September 30, 2025 [Member]    
Debt Instrument [Line Items]    
USD Term Loan $ 9,000 $ 9,250
v3.22.2.2
Credit Agreement and Debt - Schedule of Long Term Debt in the Accompanying Condensed Consolidated Balance Sheets (Parenthetical) (Detail) - Term Loan Due September 30, 2025 [Member]
 6 Months Ended
Jan. 31, 2022
Jul. 30, 2022
Debt Instrument [Line Items]    
Debt instrument, description of variable rate basis   3.45% as of July 30, 2022, and 2.35% as of January 31, 2022); maturity date of September 30, 2025
Interest rate 2.35% 3.45%
Debt instrument, maturity date Sep. 30, 2025 Sep. 30, 2025
v3.22.2.2
Credit Agreement and Debt- Schedule of Required Principal Payments Remaining on Long Term Debt Outstanding (Detail) - Term Loan [Member]
$ in Thousands
Jul. 30, 2022
USD ($)
Debt Instrument [Line Items]  
Fiscal 2023, remainder $ 750
Fiscal 2024 1,000
Fiscal 2025 1,250
Fiscal 2026 6,000
Long-term Debt $ 9,000
v3.22.2.2
Credit Agreement and Debt - Additional Information (Detail) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 30, 2022
Jul. 31, 2021
Jul. 30, 2022
Jul. 31, 2021
Mar. 24, 2021
Debt Instrument [Line Items]          
Revolving loan outstanding $ 4,500 $ 0 $ 4,500 $ 0  
Interest Expense, Debt 65,000 65,000 $ 118,000 179,000  
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     0.30%    
Percentage added to variable rate     1.30%    
Maximum [Member] | LIBOR [Member] | Revolving Credit Facility [Member]          
Debt Instrument [Line Items]          
Interest rate     2.30%    
Bank of America, N.A. [Member] | Term Loan [Member]          
Debt Instrument [Line Items]          
Principal amount of debt         $ 10,000
Term loan, principal amount         10,000
Bank of America, N.A. [Member] | Revolving Credit Facility [Member]          
Debt Instrument [Line Items]          
Maximum borrowing capacity 22,500   $ 22,500    
Line of Credit Facility, Remaining Borrowing Capacity $ 18,000   $ 18,000    
Long term debt weighted average interest rate over a period of time 5.17%   4.79%    
Bank of America, N.A. [Member] | Revolving Credit Facility [Member] | Other Expense [Member]          
Debt Instrument [Line Items]          
Interest Expense, Debt $ 45,000 $ 0 $ 69,000 0  
Line of Credit Facility, Commitment Fee Amount     $ 20,000 $ 30,000  
Bank of America, N.A. [Member] | Maximum [Member] | Term Loan [Member]          
Debt Instrument [Line Items]          
Principal amount of debt         10,000
Term loan, principal amount         $ 10,000
v3.22.2.2
Paycheck Protection Program Loan - Additional information (Detail) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 31, 2021
Jul. 30, 2022
Jul. 31, 2021
May 06, 2020
Extinguishment of Debt – PPP Loan $ 4,466   $ 4,466  
Paycheck Protection Program Loan [Member] | Green wood Credit Union [Member]        
Debt instrument face amount       $ 4,400
Loan, payment terms     The PPP Loan, which would have been set to mature on May 6, 2022, was unsecured and bore interest at a rate of 1.0% per annum accruing from the loan date  
Loan, maturity date     May 06, 2022  
Loan, interest rate 1.00%   1.00%  
Loan, payments due   $ 0    
Amount of PPP loan forgiven     $ 4,400  
Extinguishment of Debt – PPP Loan     $ 4,500  
v3.22.2.2
Derivative Financial Instruments and Risk Management - Additional Information (Detail) - USD ($)
 3 Months Ended 6 Months Ended
Jul. 30, 2020
Aug. 01, 2020
Jul. 30, 2022
Cash Flow Hedging [Member]      
Derivative Instruments and Hedging Activities Disclosures [Line Items]      
Cash paid termination of swaps   $ 700,000  
Cross Currency Interest Rate Contract [Member]      
Derivative Instruments and Hedging Activities Disclosures [Line Items]      
Amount of gain reclassify from Accumulated OCI into loss during next 12 months     $ 20,000
Interest Rate Swap Termination $ 200,000    
Cross Currency Interest Rate Contract [Member] | Cash Flow Hedging [Member]      
Derivative Instruments and Hedging Activities Disclosures [Line Items]      
Amount of Gain Reclassified from Accumulated OCI into Income (Expense)   $ 58,000  
v3.22.2.2
Derivative Financial Instruments and Risk Management - Schedule of Impact of the Derivative Instruments in the Condensed Consolidated Financial Statements (Detail) - Cash Flow Hedge [Member] - Cross Currency Interest Rate Contract [Member] - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 30, 2022
Jul. 31, 2021
Jul. 30, 2022
Jul. 31, 2021
Derivative Instruments and Hedging Activities Disclosures [Line Items]        
Amount of Gain (Loss) Recognized in OCI on Derivative $ 0 $ 0 $ 0 $ 0
Location of Gain Reclassified from Accumulated OCI into Income (Expense) Other Expense   Other Expense  
Amount of Gain (Loss) Reclassified from Accumulated OCI into Income $ (20) $ (20) $ (40) $ (40)
v3.22.2.2
Employee Retention Credit - Additional Information (Detail) - USD ($)
 1 Months Ended 6 Months Ended
Mar. 22, 2022
Jul. 30, 2021
Jul. 31, 2021
Jun. 30, 2021
Jul. 30, 2022
Employee Retention Credit Disclosure [Line Items]          
Erc Receivables $ 3,100       $ 3,100
Cost of Sales [Member]          
Employee Retention Credit Disclosure [Line Items]          
Employee retention credit receivables     $ 1,700,000    
Selling and Marketing Expense [Member]          
Employee Retention Credit Disclosure [Line Items]          
Employee Retention Credit Receivable - selling and marketing     800,000    
Research and Development Expense [Member]          
Employee Retention Credit Disclosure [Line Items]          
Employee Retention Credit Receivable - research and development     300,000    
General and Administrative Expense [Member]          
Employee Retention Credit Disclosure [Line Items]          
Employee Retention Credit Receivable - general and administrative expenses     $ 300,000    
Cares Act [Member]          
Employee Retention Credit Disclosure [Line Items]          
Percentage of refundable tax credit can be claimed of qualified wages       70.00%  
Threshold qualified wages per employee per calendar quarter       $ 10,000,000  
Maximum threshold employee retention credit per employee per calendar quarter       $ 7,000,000  
Percentage of reduction of gross Receipts to qualify for employee retention credit   20.00%      
Cares Act [Member] | Prepaid Expenses and Other Current Assets [Member]          
Employee Retention Credit Disclosure [Line Items]          
Employee retention credit received $ 3,100,000        
v3.22.2.2
Royalty Obligation - Additional Information (Detail) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jan. 31, 2018
Jul. 30, 2022
Jul. 30, 2022
Jan. 31, 2022
Royalty Obligation, Current   $ 1,875 $ 1,875 $ 2,000
Royalty Obligation Non Current   3,611 3,611 $ 4,361
Guaranteed Minimum Royalty Payment     8,500  
Excess Royaltie paid   500 500  
Honeywell Asset Purchase and License Agreement [Member]        
Payment Term Period 10 years      
Minimum Royalty Payment Obligation $ 15,000      
Fair Value Assumption Percentage Of Present Value Factor 2.80%      
Royalty Obligation, Current   1,900 1,900  
Royalty Obligation Non Current   3,600 3,600  
Accrued Royalties, Current, Excess Royalty Payment Due   300 300  
Excess Royalty Payments Incurred   $ 300 $ 600  
v3.22.2.2
Leases - Additional Information (Detail)
Jul. 30, 2022
Operating Lease, Weighted Average Remaining Lease Term 4 years 7 months 6 days
Operating Lease, Weighted Average Discount Rate, Percent 3.85%
v3.22.2.2
Leases - Schedule Of Balance Sheet And Other Information Related To Operating Leases (Detail) - USD ($)
$ in Thousands
Jul. 30, 2022
Jan. 31, 2022
Operating Leases [Abstract]    
Right of Use Assets $ 887 $ 1,094
Other Accrued Expenses 302 327
Lease Liabilities $ 627 $ 808
v3.22.2.2
Leases - Lease Cost Information (Detail) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 30, 2022
Jul. 31, 2021
Jul. 30, 2022
Jul. 31, 2021
General and Administrative Expense [Member]        
Operating Lease Costs $ 104 $ 124 $ 200 $ 260
v3.22.2.2
Leases - Maturities of lease liabilities (Detail)
$ in Thousands
Jul. 30, 2022
USD ($)
Leases [Abstract]  
Fiscal 2023, remaining $ 151
Fiscal 2024 293
Fiscal 2025 192
Fiscal 2026 146
Fiscal 2027 140
Thereafter 86
Total Lease Payments 1,008
Less: Imputed Interest (79)
Total Lease Liabilities $ 929
v3.22.2.2
Leases - Supplemental cash flow information (Detail) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 30, 2022
Jul. 31, 2021
Jul. 30, 2022
Jul. 31, 2021
Cash paid for amounts included in the measurement of lease liabilities [Abstract]        
Operating cash flows for operating leases $ 79 $ 93 $ 162 $ 185
v3.22.2.2
Accumulated Other Comprehensive Loss - Changes in Balance of Accumulated Other Comprehensive Loss (Detail) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 30, 2022
Apr. 30, 2022
Jul. 31, 2021
May 01, 2021
Jul. 30, 2022
Jul. 31, 2021
Schedule of Capitalization, Equity [Line Items]            
Beginning Balance $ 80,696 $ 81,012 $ 75,533 $ 74,683 $ 81,012 $ 74,683
Other Comprehensive Income (Loss) (419) (917) (333) (65) (1,336) (398)
Ending Balance 81,096 80,696 82,577 75,533 81,096 82,577
Foreign Currency Translation Adjustments [Member]            
Schedule of Capitalization, Equity [Line Items]            
Beginning Balance   (1,701)     (1,701)  
Other Comprehensive Loss before reclassification         (1,368)  
Other Comprehensive Income (Loss)         (1,368)  
Ending Balance (3,069)       (3,069)  
Net Unrealized Gain/(Loss) on Cash Flow Hedges [Member]            
Schedule of Capitalization, Equity [Line Items]            
Beginning Balance   (47)     (47)  
Amounts reclassified from AOCL to Earnings         32  
Other Comprehensive Income (Loss)         32  
Ending Balance (15)       (15)  
Accumulated Other Comprehensive Income (Loss) [Member]            
Schedule of Capitalization, Equity [Line Items]            
Beginning Balance (2,665) (1,748) (449) (384) (1,748) (384)
Other Comprehensive Loss before reclassification         (1,368)  
Amounts reclassified from AOCL to Earnings         32  
Other Comprehensive Income (Loss) (419) (917) (333) (65) (1,336)  
Ending Balance $ (3,084) $ (2,665) $ (782) $ (449) $ (3,084) $ (782)
v3.22.2.2
Share-Based Compensation - Additional Information (Detail) - USD ($)
 3 Months Ended 6 Months Ended
Jul. 30, 2022
Jul. 31, 2021
Jul. 30, 2022
Jul. 31, 2021
Jan. 31, 2022
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Number of shares outstanding 579,099   579,099   598,043
Number of options granted 0   0    
Reservation of shares under Stock Purchase Plan     40,000    
Restricted Stock or Unit Expense $ 234,000 $ 408,000 $ 562,000 $ 778,000  
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 308,274   308,274    
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   950,000    
Number of shares outstanding 135,500   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     1,550 3,899  
Shares available for grant under the Plan 40,000   40,000    
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 $ 1,700,000   $ 1,700,000    
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 129,363   129,363    
RSA [Member] | 2015 Equity Incentive Plan [Member]          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Number of shares outstanding 135,325   135,325    
RSA [Member] | 2018 Equity Incentive Plan [Member]          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Number of unvested shares 21,172   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 128,793   128,793    
Restricted Stock Award [Member]          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Restricted Stock or Unit Expense     $ 65,000    
v3.22.2.2
Share-Based Compensation - Share-Based Compensation Expense (Detail) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 30, 2022
Jul. 31, 2021
Jul. 30, 2022
Jul. 31, 2021
Share-based Compensation [Abstract]        
Stock Options $ 1 $ 57 $ 7 $ 162
Restricted Stock Awards and Restricted Stock Units 234 408 562 778
Employee Stock Purchase Plan 0 4 3 7
Total $ 235 $ 469 $ 572 $ 947
v3.22.2.2
Share-Based Compensation - Aggregated Information Regarding Stock Options Granted (Detail)
 6 Months Ended
Jul. 30, 2022
$ / shares
shares
Share-based Compensation [Abstract]  
Beginning balance, Number of Options | shares 598,043
Exercised, Number of Options | shares (11,444)
Forfeited, Number of Options | shares (5,100)
Expired, Number of Options | shares (2,400)
Ending balance, Number of Options | shares 579,099
Beginning balance, Weighted-Average Exercise Price Per Share | $ / shares $ 14.67
Exercised, Weighted-Average Exercise Price Per Share | $ / shares 9.51
Forfeited, Weighted-Average Exercise Price Per Share | $ / shares 15.38
Expired, Weighted-Average Exercise Price Per Share | $ / shares 8.09
Ending balance, Weighted-Average Exercise Price Per Share | $ / shares $ 14.79
v3.22.2.2
Share-Based Compensation - Summary of Options Outstanding (Detail) - $ / shares
 6 Months Ended
Jul. 30, 2022
Jan. 31, 2022
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Number of shares outstanding, total 579,099 598,043
Outstanding, Weighted Average Exercise Price $ 14.79  
Exercisable, Weighted Average Exercise Price $ 14.79  
Outstanding Remaining Contractual Life 4 years  
Number of shares exercisable, total 579,099  
Exercisable Remaining Contractual Life 4 years  
$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 25,000  
Outstanding, Weighted Average Exercise Price $ 7.91  
Exercisable, Weighted Average Exercise Price $ 7.91  
Outstanding Remaining Contractual Life 1 month 6 days  
Exercisable, Number of shares 25,000  
Exercisable Remaining Contractual Life 1 month 6 days  
$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 339,549  
Outstanding, Weighted Average Exercise Price $ 13.62  
Exercisable, Weighted Average Exercise Price $ 13.62  
Outstanding Remaining Contractual Life 3 years 4 months 24 days  
Exercisable, Number of shares 340,549  
Exercisable Remaining Contractual Life 3 years 4 months 24 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 214,550  
Outstanding, Weighted Average Exercise Price $ 17.45  
Exercisable, Weighted Average Exercise Price $ 17.45  
Outstanding Remaining Contractual Life 5 years 3 months 18 days  
Exercisable, Number of shares 214,550  
Exercisable Remaining Contractual Life 5 years 3 months 18 days  
v3.22.2.2
Share-Based Compensation - Aggregated Information Regarding RSUs and RSAs Granted (Detail) - Restricted Stock Award And Restricted Stock Unit [Member]
 6 Months Ended
Jul. 30, 2022
$ / shares
shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Beginning balance, Outstanding Restricted Stock Units and Restricted Stock Awards | shares 199,342
Granted, Restricted Stock Units and Restricted Stock Awards | shares 163,009
Vested, Restricted Stock Units and Restricted Stock Awards | shares (81,923)
Forfeited, Restricted Stock Units and Restricted Stock Awards | shares (1,100)
Ending balance, Outstanding Restricted Stock Units and Restricted Stock Awards | shares 279,328
Beginning balance, Weighted Average Grant Date Fair Value | $ / shares $ 12.63
Granted, Weighted Average Grant Date Fair Value | $ / shares 12.77
Vested, Weighted Average Grant Date Fair Value | $ / shares 13.42
Forfeited, Weighted Average Grant Date Fair Value | $ / shares 11.77
Ending balance, Weighted Average Grant Date Fair Value | $ / shares $ 12.48
v3.22.2.2
Income Taxes - Projected Effective Tax Rate for Periods (Detail)
 3 Months Ended 6 Months Ended
Jul. 30, 2022
Jul. 31, 2021
Jul. 30, 2022
Jul. 31, 2021
Income Tax Disclosure [Abstract]        
Effective tax rates for income from continuing operations 27.40% 9.10% 21.70% 5.80%
v3.22.2.2
Income Taxes - Additional Information (Detail) - USD ($)
 3 Months Ended 6 Months Ended
Jul. 30, 2022
Jul. 31, 2021
Jul. 30, 2022
Jul. 31, 2021
Income tax expense (benefit) $ 220,000 $ 699,000 $ 280,000 $ 471,000
Tax benefit related to the reversal of previously uncertain tax positions     13,000 32,000
Tax expense resulting from shortfall   100,000   300,000
Tax expenses benefits resulting from provisional adjustments   32,000 21,000 100,000
Effective income tax reconciliation tax expense due to revaluation of deferred tax assets $ 13,000   $ 38,000  
Forgiveness Of Loan Under Paycheck Protection Programme [Member]        
Tax benefits resulting from forgiveness of debt   $ 1,100,000   $ 1,100,000
v3.22.2.2
Segment Information - Net Sales and Segment Operating Profit (Loss) for Each Reporting Segment (Detail) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 30, 2022
Apr. 30, 2022
Jul. 31, 2021
May 01, 2021
Jul. 30, 2022
Jul. 31, 2021
Segment Reporting Information [Line Items]            
Revenue $ 32,259   $ 29,845   $ 63,269 $ 58,923
Corporate Expenses 2,571   2,664   5,131 5,008
Operating Income 1,235   3,452   1,999 4,186
Other Income (Expense), Net (431)   4,266   (710) 3,897
Income Before Income Taxes 804   7,718   1,289 8,083
Income Tax Provision (Benefit) 220   699   280 471
Net Income 584 $ 425 7,019 $ 593 1,009 7,612
Product Identification [Member]            
Segment Reporting Information [Line Items]            
Revenue 23,382   23,492   45,106 46,590
T&M [Member]            
Segment Reporting Information [Line Items]            
Revenue 8,877   6,353   18,163 12,333
Operating Segments [Member]            
Segment Reporting Information [Line Items]            
Operating Income 3,806   6,116   7,130 9,194
Operating Segments [Member] | Product Identification [Member]            
Segment Reporting Information [Line Items]            
Operating Income 1,644   4,406   3,058 7,134
Operating Segments [Member] | T&M [Member]            
Segment Reporting Information [Line Items]            
Operating Income 2,162   1,710   4,072 2,060
Corporate Expenses [Member]            
Segment Reporting Information [Line Items]            
Corporate Expenses $ 2,571   $ 2,664   $ 5,131 $ 5,008
v3.22.2.2
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
Jul. 30, 2022
Jan. 31, 2022
Fair Value [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Long-Term debt and related current maturities $ 9,011 $ 9,255
Fair Value [Member] | Level 3 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Long-Term debt and related current maturities 9,011 9,255
Carrying Value [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Long-Term debt and related current maturities $ 9,000 $ 9,250
v3.22.2.2
Subsequent Event - Additional Information (Detail)
 6 Months Ended
Aug. 04, 2022
USD ($)
a
ft²
Jul. 30, 2022
USD ($)
Mar. 24, 2021
USD ($)
Subsequent Event [Line Items]      
Proceeds from long term line of credit   $ 4,500,000  
Term Loan [Member] | Bank Of America [Member]      
Subsequent Event [Line Items]      
Principal amount of debt     $ 10,000,000
Term Loan [Member] | Bank Of America [Member] | Before Amendement To The Credit Agreement [Member]      
Subsequent Event [Line Items]      
Principal amount of debt   9,000,000  
Revolving Credit Facility [Member] | Bank Of America [Member]      
Subsequent Event [Line Items]      
Maximum borrowing capacity   22,500,000  
Revolving Credit Facility [Member] | Bank Of America [Member] | Before Amendement To The Credit Agreement [Member]      
Subsequent Event [Line Items]      
Maximum borrowing capacity   22,500,000  
Revolving Credit Facility [Member] | Bank Of America [Member] | Second Amendment Credit Agreement [Member]      
Subsequent Event [Line Items]      
Proceeds from long term line of credit   $ 6,000,000  
Subsequent Event [Member]      
Subsequent Event [Line Items]      
Repayment of long term line of credit $ 1,000,000    
Subsequent Event [Member] | ILLINOIS | Selak Real Estate Limited Partnership [Member] | Purchase And Sale Agreement [Member] | Astro Machine LLC [Member]      
Subsequent Event [Line Items]      
Payment to acquire real estate $ 1,500,000    
Subsequent Event [Member] | ILLINOIS | Selak Real Estate Limited Partnership [Member] | Purchase And Sale Agreement [Member] | Astro Machine LLC [Member] | Industrial Property [Member]      
Subsequent Event [Line Items]      
Area of real estate | ft² 34,460    
Subsequent Event [Member] | ILLINOIS | Selak Real Estate Limited Partnership [Member] | Purchase And Sale Agreement [Member] | Astro Machine LLC [Member] | Land [Member]      
Subsequent Event [Line Items]      
Area of real estate | a 1.26    
Subsequent Event [Member] | Astro Machine LLC [Member] | ILLINOIS | GSND [Member]      
Subsequent Event [Line Items]      
Business combination equity interests acquired 100.00%    
Payment to acquire business gross $ 15,600,000    
Business combination purchase consideration placed in escrow account 300,000    
Subsequent Event [Member] | Astro Machine LLC [Member] | ILLINOIS | GSND [Member] | Purchase Agreement [Member]      
Subsequent Event [Line Items]      
Business combination aggregate consideration 17,100,000    
Subsequent Event [Member] | Term Loan [Member] | Bank Of America [Member] | Second Amendment Credit Agreement [Member] | Additional Term Loan Availed [Member]      
Subsequent Event [Line Items]      
Principal amount of debt 6,000,000    
Subsequent Event [Member] | Revolving Credit Facility [Member] | Bank Of America [Member] | Second Amendment Credit Agreement [Member]      
Subsequent Event [Line Items]      
Maximum borrowing capacity 25,000,000    
Proceeds from long term line of credit $ 12,400,000