Quarterly report pursuant to Section 13 or 15(d)

Note 1 - Nature of Business

Note 1 - Nature of Business
6 Months Ended
Dec. 31, 2017
Notes to Financial Statements  
Business Description and Basis of Presentation [Text Block]
Basis of Presentation
The accompanying unaudited condensed consolidated financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) and the rules of the Securities and Exchange Commission (“SEC”) applicable to interim reports of companies filing as a smaller reporting company. These financial statements should be read in conjunction with the audited financial statements and notes thereto contained in the Company
’s Annual Report on Form
-K for the fiscal year ended
June 30, 2017
filed with the SEC on
September 22, 2017.
In the opinion of management, the accompanying condensed consolidated interim financial statements include all adjustments necessary in order to make the financial statements
misleading. The results of operations for interim periods are
necessarily indicative of the results to be expected for the full year or any other future period. Certain notes to the financial statements that would substantially duplicate the disclosures contained in the audited financial statements for the most recent fiscal year as reported in the Company’s Annual Report on Form
-K have been omitted. The accompanying condensed consolidated balance sheet at
June 30, 2017
has been derived from the audited balance sheet at
June 30, 2017
contained in such Form
Nature of Business
Flux Power Holdings, Inc. designs, develops and sells rechargeable advanced lithium-ion batteries for industrial equipment.
As used herein, the terms “we”, “us”, “our”, “Flux” and “Company” refer to Flux Power Holdings, Inc. and our wholly owned subsidiary, Flux Power, Inc. (“Flux Power”), unless otherwise indicated. We have structured our business around our core technology, “The Battery Management System” (“BMS”) and the development of a scalable product line that can accommodate a variety of applications. Our BMS provides
critical functions to our battery systems: cell balancing, monitoring, error reporting and over discharge prevention. The modular and scalable nature of our flagship battery pack, the LiFT Pack, utilized in Class
walkie pallet jacks, provides for a natural transition into the production of battery packs used in other types of forklifts such as the Class
ride-on trucks, Class
narrow aisle trucks and order pickers and Class
end riders, as well as, ground support equipment. Using our proprietary management technology, we are able to offer complete integrated energy storage solutions or custom modular standalone systems to our customers. We have also developed a suite of complementary technologies and products that accompany our core products. Sales have been primarily to customers located throughout the United States.
Reverse Stock Split
August 10, 2017,
we filed a certificate of amendment to our articles of incorporation with the State of Nevada effectuating a reverse split of the Company
’s common stock at a ratio of
whereby every
pre-reverse stock split shares of common stock automatically converted into
-post reverse stock split share of common stock, without changing the
par value or authorized number of our common stock (the “Reverse Stock Split”). The Reverse Stock Split became effective in the State of Nevada on
August 18, 2017.
Mr. Michael Johnson, a current member of our board of directors and a holder of a majority of our issued and outstanding common stock approved the Reverse Stock Split on
July 7, 2017.
On that date, every
issued and outstanding shares of the Company’s common stock automatically converted into
outstanding share.
fractional shares were issued in connection with the Reverse Stock Split. If, as a result of the Reverse Split, a stockholder would otherwise have been entitled to a fractional share, each fractional share was rounded up. As a result of the Reverse Stock Split, the number of the Company’s outstanding shares of common stock decreased from
(pre-split) shares to
(post-split) shares. The Reverse Stock Split affected all stockholders of the Company’s common stock uniformly and did
affect any stockholder’s percentage of ownership interest, except for that which
have been affected by the rounding up of fractional shares. Because of the reduction in the number of the Company’s outstanding shares, the Company’s loss per share in all periods was increased by a factor of ten.
As the par value per share of the Company
’s common stock remained unchanged at
per share, a total of
was reclassified from common stock to additional paid-in capital. In connection with the Reverse Stock Split, proportionate adjustments have been made to the per share exercise price and the number of shares issuable upon the exercise or conversion of all outstanding options, warrants, convertible or exchangeable securities entitling the holders to purchase, exchange for, or convert into, shares of common stock.  All references to shares of common stock and per share data for all periods presented in the accompanying condensed consolidated financial statements and notes thereto have been adjusted to reflect the Reverse Stock Split on a retroactive basis.