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IndexTable of Contents

VideoTable Displayof Corporation and Subsidiaries Contents

VideoTable Displayof Corporation and Subsidiaries Contents

23Table of Contents

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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC 20549

FORM

10-Q

☒	Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

For the Quarterly Period Ended ~~August~~November 3130, 2022.

☐	Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

For the Transition Period From _________________ to ________________________

Commission File Number

0-13394

VIDEO DISPLAY CORPORATION

(Exact name of registrant as specified on its charter)

GEORGIA		58-1217564
(State or other jurisdiction ofincorporation or organization)		(I.R.S. EmployerIdentification No.)
(State or other jurisdiction of incorporation or organization)		(I.R.S. Employer Identification No.)

5155 KING STREET, COCOA, FLORIDA 32926

(Address of principal executive offices)

800-241-5005

(Registrant’s telephone number including area code)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class ~~TradingSymbol~~Trading Symbol(s) Name of each ~~exchangeon~~exchange on which registered Common Stock, no par value VIDE OTCMKTS

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

~~12b-2~~Indicate

by check mark whether the registrant is a shell company (as defined in Rule

~~As of August 31, 2022, the registrant had 5,878,290 shares of Common Stock outstanding.~~ 12b-2

of the Exchange Act). Yes ☐

~~Table~~ No ☒ ~~of Contents~~

~~Video~~As ~~Display~~of ~~Corporation~~November 30, ~~and~~2022, ~~Subsidiaries~~the registrant had 5,878,290 shares of Common Stock outstanding.

		Page
PART I. FINANCIAL INFORMATION
Item 1.	Financial Statements.
	Interim Condensed Consolidated Balance Sheets - August 31, 2022 (unaudited) and February 28, 2022		3
	Interim Condensed Consolidated Statements of Operations - Three and six months ended August 31, 2022 and 2021 (unaudited)		5
	Interim Condensed Consolidated Statements of Shareholders’ Equity - Three and six months ended August 31, 2022 and 2021 (unaudited)		6
	Interim Condensed Consolidated Statements of Cash Flows - Six months ended August 31, 2022 and 2021 (unaudited)		7
	Notes to Interim Condensed Consolidated Financial Statements - (unaudited)		8
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations.		14
Item 3.	Quantitative and Qualitative Disclosure About Market Risk.		21
Item 4.	Controls and Procedures.		21
PART II. OTHER INFORMATION
Item 1.	Legal Proceedings.		23
Item 1A.	Risk Factors.		23
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds.		23
Item 3.	Defaults upon Senior Securities.		23
Item 4.	Submission of Matters to a Vote of Security Holders.		23
Item 5.	Other Information.		23
Item 6.	Exhibits.		23
SIGNATURES			24
31.1	Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
31.2	Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
32	Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

Video Display Corporation and Subsidiaries

2Index

Table of Contents


			Page
PART I.	FINANCIAL INFORMATION

	Item 1.	Financial Statements

		Interim Condensed Consolidated Balance Sheets – November 30, 2022 (unaudited) and February 28, 2022		1

		Interim Condensed Consolidated Statements of Operations - Three and nine months ended November 30, 2022 and 2021 (unaudited)		3

		Interim Condensed Consolidated Statements of Shareholders’ Equity - Three and nine months ended November 30, 2022 and 2021 (unaudited)		4

		Interim Condensed Consolidated Statements of Cash Flows – Nine months ended November 30, 2022 and 2021 (unaudited)		5

		Notes to Interim Condensed Consolidated Financial Statements - (unaudited)		6

	Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations		12

	Item 3.	Quantitative and Qualitative Disclosure About Market Risk		19

	Item 4.	Controls and Procedures		19

PART II.	OTHER INFORMATION

	Item 1.	Legal Proceedings		II-1

	Item 1A.	Risk Factors		II-1

	Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds		II-1

	Item 3.	Defaults upon Senior Securities		II-1

	Item 4.	Submission of Matters to a Vote of Security Holders		II-1

	Item 5.	Other Information		II-1

	Item 6.	Exhibits		II-1

	SIGNATURES

ITEM 1 – FINANCIAL STATEMENTS


31.1		Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
31.2		Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
32		Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

~~Interim~~ITEM 1 ~~Condensed~~– ~~Consolidated~~FINANCIAL ~~Balance~~STATEMENTS ~~Sheets (unaudited)~~

~~(in~~Video ~~thousands)~~Display Corporation and Subsidiaries

	August 31,			February 28,
	2022			2022
	(unaudited)
Assets
Current assets
Cash and cash equivalents	$	241		$	245
Accounts receivable, less allowance for doubtful accounts of $3 and $3		936			390
Employee retention credit refund receivable		463			796
Inventories, net		2,886			3,342
Contract assets		1,263			444
Prepaid expenses and other current assets		140			297
Total current assets		5,929			5,514
Property, plant, and equipment
Buildings		778			778
Machinery and equipment		5,378			5,359
		6,156			6,137
Accumulated depreciation		(5,370	)		(5,247	)
Net property, plant, and equipment		786			890
Right of use assets under operating leases		722			592
Intangible assets, net		54			118
Other noncurrent assets		2			2
Total assets	$	7,493		$	7,116

Interim Condensed Consolidated Balance Sheets (unaudited)

~~The~~(in ~~accompanying~~thousands) ~~notes are an integral part of these interim condensed consolidated statements.~~


	November 30, 2022			February 28, 2022
	(unaudited)
Assets
Current assets
Cash and cash equivalents	$	283		$	245
Accounts receivable, less allowance for doubtful accounts of $3 and $3		726			390
Employee retention credit refund receivable		463			796
Inventories, net		2,787			3,342
Contract assets		691			444
Prepaid expenses and other current assets		368			297

Total current assets		5,318			5,514

Property, plant, and equipment
Buildings		789			778
Machinery and equipment		5,397			5,359

		6,186			6,137
Accumulated depreciation		(5,423	)		(5,247	)

Net property, plant, and equipment		763			890
Right of use assets under operating leases		599			592
Intangible assets, net		21			118
Other noncurrent assets		2			2

Total assets	$	6,703		$	7,116

~~Table~~The accompanying notes are an integral part of ~~Contents~~these interim condensed consolidated statements.

~~Video~~1 ~~Display Corporation and Subsidiaries~~

~~Interim~~Table ~~Condensed~~of ~~Consolidated Balance Sheets (unaudited) (continued)~~ Contents

~~(in~~Video ~~thousands)~~Display Corporation and Subsidiaries

	August 31,			February 28,
	2022			2022
	(unaudited)
Liabilities and Shareholders’ Equity
Current liabilities
Accounts payable	$	1,406		$	1,465
Accrued liabilities		957			855
Contract liabilities		1,921			1,872
Note payable to officers and directors, current (Note 6)		884			458
Current maturities of financing lease obligations		98			98
Current operating lease liabilities		469			257
Total current liabilities		5,735			5,005
Finance lease obligations less current maturities		21			64
Long-term operating lease liabilities		253			333
Total liabilities		6,009			5,402
Shareholders’ Equity
Preferred stock, no par value - 10,000 shares authorized; none issued and outstanding		—			—
Common stock, no par value - 50,000 shares authorized; 9,732 issued and 5,878 outstanding at August 31, 2022, and February 28, 2022		7,293			7,293
Additional paid-in capital		281			281
Retained earnings		10,192			10,422
Treasury stock, shares at cost; 3,854 at August 31, 2022 and February 28, 2022		(16,282	)		(16,282	)
Total shareholders’ equity		1,484			1,714
Total liabilities and shareholders’ equity	$	7,493		$	7,116

Interim Condensed Consolidated Balance Sheets (unaudited) (continued)

~~The~~(in ~~accompanying~~thousands) ~~notes are an integral part of these interim condensed consolidated statements.~~


	November 30, 2022			February 28, 2022
	(unaudited)
Liabilities and Shareholders’ Equity
Current liabilities
Accounts payable	$	1,458		$	1,465
Accrued liabilities		1,079			855
Contract liabilities		1,414			1,872
Note payable to officers and directors, current (Note 6)		1,284			458
Current maturities of financing lease obligations		98			98
Current operating lease liabilities		388			257

Total current liabilities		5,721			5,005
Finance lease obligations less current maturities		—			64
Long-term operating lease liabilities		211			333

Total liabilities		5,932			5,402

Shareholders’ Equity
Preferred stock, no par value – 10,000 shares authorized; none issued and outstanding		—			—
Common stock, no par value – 50,000 shares authorized; 9,732 issued and 5,878 outstanding at November 30, 2022, and February 28, 2022		7,293			7,293
Additional paid-in capital		281			281
Retained earnings		9,479			10,422
Treasury stock, shares at cost; 3,854 at November 30, 2022 and February 28, 2022		(16,282	)		(16,282	)

Total shareholders’ equity		771			1,714

Total liabilities and shareholders’ equity	$	6,703		$	7,116

~~Table~~The accompanying notes are an integral part of ~~Contents~~these interim condensed consolidated statements.

~~Video~~2 ~~Display Corporation and Subsidiaries~~

~~Interim~~Table ~~Condensed Consolidated Statements~~ of ~~Operations (unaudited)~~ Contents

~~(in~~Video ~~thousands,~~Display ~~except~~Corporation ~~per~~and ~~share~~Subsidiaries ~~data)~~

	Three Months EndedAugust 31,						Six Months EndedAugust 31,
	2022			2021			2022			2021
Net sales	$	1,966		$	1,904		$	4,807		$	3,761
Cost of goods sold		1,454			1,853			3,588			3,343
Gross profit		512			51			1,219			418
Operating expenses
Selling and delivery		131			123			280			282
General and administrative		847			903			1,713			1,895
		978			1,026			1,993			2,177
Operating loss		(466	)		(975	)		(774	)		(1,759	)
Other income (expense)
Interest income (expense), net		(4	)		(4	)		(9	)		(14	)
Gain on sale of equipment, net		—			—			3			—
Gain on extinguishment of PPP loans		—			1,084			—			1,084
Other, net		535			59			550			108
		531			1,139			544			1,178
Income (loss) before income taxes		65			164			(230	)		(581	)
Income tax expense		—			—			—			—
Net income (loss)	$	65		$	164		$	(230	)	$	(581	)
Net income (loss) per share - basic	$	0.01		$	0.03		$	(0.04	)	$	(0.10	)
Net income (loss) per share - diluted	$	0.01		$	0.03		$	(0.04	)	$	(0.10	)
Basic weighted average shares outstanding		5,878			5,878			5,878			5,878
Diluted weighted average shares outstanding		6,078			6,078			5,878			5,878

Interim Condensed Consolidated Statements of Operations (unaudited)

~~The~~(in ~~accompanying~~thousands, ~~notes~~except ~~are~~per anshare ~~integral~~data) ~~part of these interim condensed consolidated statements.~~


	Three Months Ended November 30,						Nine Months Ended November 30,
	2022			2021			2022			2021
Net sales	$	1,687		$	1,616		$	6,494		$	5,377
Cost of goods sold		1,392			2,171			4,980			5,514

Gross profit (loss)		295			(555	)		1,514			(137	)

Operating expenses
Selling and delivery		92			126			372			408
General and administrative		885			978			2,598			2,873

		977			1,104			2,970			3,281

Operating loss		(682	)		(1,659	)		(1,456	)		(3,418	)

Other income (expense)
Interest income (expense), net		(4	)		(6	)		(13	)		(20	)
Employee retention credit income					796						796
Gain on sale of equipment, net		—			—			3			—
Gain on extinguishment of PPP loans		—			—			—			1,084
Other, net		(27	)		63			523			171

		(31	)		853			513			2,031

Income (loss) before income taxes		(713	)		(806	)		(943	)		(1,387	)
Income tax expense		—			—			—			—

Net income (loss)	$	(713	)	$	(806	)	$	(943	)	$	(1,387	)

Net income (loss) per share - basic	$	(0.12	)	$	(0.14	)	$	(0.16	)	$	(0.24	)

Net income (loss) per share - diluted	$	(0.12	)	$	(0.14	)	$	(0.16	)	$	(0.24	)

Basic weighted average shares outstanding		5,878			5,878			5,878			5,878

Diluted weighted average shares outstanding		5,878			5,878			5,878			5,878

~~Table~~The accompanying notes are an integral part of ~~Contents~~these interim condensed consolidated statements.

~~Video~~3 ~~Display Corporation and Subsidiaries~~

~~Interim~~Table ~~Condensed Consolidated Statements~~ of ~~Shareholders’ Equity~~ Contents

~~Three~~Video ~~and~~Display ~~Six~~Corporation ~~Months Ended August 31, 2022~~ and ~~2021~~Subsidiaries ~~(unaudited)~~

~~(in~~Interim ~~thousands)~~Condensed Consolidated Statements of Shareholders’ Equity

	Common Shares*		Share Amount		Additional Paid-in Capital		Retained Earnings			Treasury Stock			Total Shareholders’ Equity
For the Three Months Ended August 31, 2022
Balance, May 31, 2022 (unaudited)		5,878	$	7,293	$	281	$	10,127		$	(16,282	)	$	1,419
Net income		—		—		—		65			—			65
Balance, August 31, 2022 (unaudited)		5,878	$	7,293	$	281	$	10,192		$	(16,282	)	$	1,484
For the Six Months Ended August 31, 2022
Balance, February 28, 2022 (audited)		5,878	$	7,293	$	281	$	10,422		$	(16,282	)	$	1,714
Net loss		—		—		—		(230	)		—			(230	)
Balance, August 31, 2022 (unaudited)		5,878	$	7,293	$	281	$	10,192		$	(16,282	)	$	1,484
For the Three Months Ended August 31, 2021
Balance, May 31, 2021 (unaudited)		5,878	$	7,293	$	281	$	12,237		$	(16,282	)	$	3,529
Net income		—		—		—		164			—			164
Balance, August 31, 2021 (unaudited)		5,878	$	7,293	$	281	$	12,401		$	(16,282	)	$	3,693
For the Six Months Ended August 31, 2021
Balance, February 28, 2021 (audited)		5,878	$	7,293	$	281	$	12,982		$	(16,282	)	$	4,274
Net loss		—		—		—		(581	)		—			(581	)
Balance, August 31, 2021 (unaudited)		5,878	$	7,293	$	281	$	12,401		$	(16,282	)	$	3,693

Three and Nine Months Ended November 30, 2022 and 2021 (unaudited)

*(in ~~Common~~thousands) ~~shares are shown net of Treasury Shares~~

The accompanying notes are an integral part of these interim condensed consolidated statements.


	Common Shares*		Share Amount		Additional Paid-in Capital		Retained Earnings			Treasury Stock			Total Shareholders’ Equity
For the Three Months Ended November 30, 2022
Balance, August 31, 2022 (unaudited)		5,878	$	7,293	$	281	$	10,192		$	(16,282	)	$	1,484
Net loss		—		—		—		(713	)		—			(713	)

Balance, November 30, 2022 (unaudited)		5,878	$	7,293	$	281	$	9,479		$	(16,282	)	$	771

For the Nine Months Ended November 30, 2022
Balance, February 28, 2022 (audited)		5,878	$	7,293	$	281	$	10,422		$	(16,282	)	$	1,714
Net loss		—		—		—		(943	)		—			(943	)

Balance, November 30, 2022 (unaudited)		5,878	$	7,293	$	281	$	9,479		$	(16,282	)	$	771

For the Three Months Ended November 30, 2021
Balance, August 31, 2021 (unaudited)		5,878	$	7,293	$	281	$	12,401		$	(16,282	)	$	3,693
Net loss		—		—		—		(806	)		—			(806	)

Balance, November 30, 2021 (unaudited)		5,878	$	7,293	$	281	$	11,595		$	(16,282	)	$	2,887

For the Nine Months Ended November 30, 2021
Balance, February 28, 2021 (audited)		5,878	$	7,293	$	281	$	12,982		$	(16,282	)	$	4,274
Net loss		—		—		—		(1,387	)		—			(1,387	)

Balance, November 30, 2021 (unaudited)		5,878	$	7,293	$	281	$	11,595		$	(16,282	)	$	2,887

6* Common shares are shown net of Treasury Shares

~~Table~~The accompanying notes are an integral part of ~~Contents~~these interim condensed consolidated statements.

~~Video~~4 ~~Display Corporation and Subsidiaries~~

~~Interim~~Table ~~Condensed Consolidated Statements~~ of ~~Cash Flows (unaudited)~~ Contents

~~(in~~Video ~~thousands)~~Display Corporation and Subsidiaries

	Six Months EndedAugust 31,
	2022			2021
Operating Activities
Net loss	$	(230	)	$	(581	)
Adjustments to reconcile net loss to net cash (used in) provided by operating activities:
Depreciation expense		117			131
Amortization of intangible assets		64			65
Provision for doubtful accounts		—			2
Provision for inventory reserve		—			(96	)
Gain on disposal of equipment		(3	)		—
Gain on extinguishment of PPP loans		—			(1,084	)
Other		11			7
Changes in working capital items:
Accounts receivable		(546	)		144
Inventories		456			483
Prepaid expenses and other assets		157			33
Contract assets		(819	)		538
Employee retention credit refund receivable		333			—
Contract liabilities		49			(4	)
Accounts payable and accrued liabilities		43			178
Net cash provided by (used in) operating activities		(368	)		(184	)
Investing Activities
Capital expenditures		(13	)		(47	)
Proceeds from sale of equipment		3			—
Net cash provided by (used in) investing activities		(10	)		(47	)
Financing Activities
Repayments of long-term debt		—			(29	)
Repayments on lease financing		(52	)		(38	)
Proceeds from loans with officers and directors		426			250
Net cash provided by (used in) financing activities		374			183
Net change in cash and cash equivalents		(4	)		(48	)
Cash and cash equivalents, beginning of year		245			293
Cash and cash equivalents, end of period	$	241		$	245

Interim Condensed Consolidated Statements of Cash Flows (unaudited)

~~The~~(in ~~accompanying~~thousands) ~~notes are an integral part of these interim condensed consolidated statements.~~


	Nine Months Ended November 30,
	2022			2021
Operating Activities
Net loss	$	(943	)	$	(1,387	)
Adjustments to reconcile net loss to net
cash (used in) provided by operating activities:
Depreciation expense		171			200
Amortization of intangible assets		97			96
Provision for doubtful accounts		—			2
Inventory related charges		—			827
Gain on sale of equipment		(3	)		—
Gain on extinguishment of PPP loans		—			(1,084	)
Other		16			(36	)
Changes in working capital items:
Accounts receivable		(336	)		609
Inventories		555			112
Prepaid expenses and other assets		(71	)		(26	)
Contract assets		(247	)		742
Employee retention credit refund receivable		333			(796	)
Contract liabilities		(458	)		(49	)
Accounts payable and accrued liabilities		217			441

Net cash provided by (used in) operating activities		(669	)		(349	)

Investing Activities
Capital expenditures		(44	)		(56	)
Proceeds from sale of equipment		3			—

Net cash provided by (used in) investing activities		(41	)		(56	)

Financing Activities
Repayments of long-term debt		—			(74	)
Repayments on lease financing		(78	)		(57	)
Proceeds from loans with officers and directors		826			458

Net cash provided by (used in) financing activities		748			327

Net change in cash and cash equivalents		38			(78	)
Cash and cash equivalents, beginning of year		245			293

Cash and cash equivalents, end of period	$	283		$	215

~~Table~~The accompanying notes are an integral part of ~~Contents~~these interim condensed consolidated statements.

~~Video~~5 ~~Display Corporation and Subsidiaries~~

~~August 31,~~Table ~~2022~~of Contents

~~Note~~Video 1.Display –Corporation ~~Basis~~and ofSubsidiaries ~~Presentation of Principles of Consolidation~~

~~10-Q~~November 30, 2022

~~10-01~~Note 1. – Basis of Presentation of Principles of Consolidation

The accompanying unaudited interim condensed consolidated financial statements include the accounts of Video Display Corporation and its subsidiaries (“Video Display,” the “Company,” “we,” or “us”). All significant intercompany accounts and transactions have been eliminated in consolidation. The accompanying condensed consolidated balance sheet as of February 28, 2022 has been derived from audited financial statements. The accompanying unaudited condensed consolidated financial statements as of, and for the three and nine months ended, November 30, 2022 and 2021 have been prepared in accordance with (i) accounting principles generally accepted in the U.S. for interim financial information and (ii) the instructions to Form

S10-XQ

and Rule

10-K01

of Regulation

~~Note 2. – Going Concern, Banking & Liquidity~~ S-X

of the U.S. Securities and Exchange Commission (“SEC”). Accordingly, such statements do not include all of the information and disclosures required by accounting principles generally accepted in the U.S. for a complete presentation of financial statements. In the opinion of management, all adjustments (including those of a normal, recurring nature) considered necessary for a fair presentation have been included. Operating results for the three and nine months ended November 30, 2022 are not necessarily indicative of the results that may be expected for the year ending February 28, 2023. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in Video Display’s Annual Report on Form

~~six~~10-~~month~~K

for the year ended February 28, 2022 filed with the SEC on May 31, 2022.

	August 31,2022		February 28,2022
Working capital	$	194	$	509
Liquid assets	$	241	$	245

Note 2. – Going Concern, Banking & Liquidity

eThe accompanying unaudited interim condensed consolidated financial statements were prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. The Company reported a net loss and a decrease in working capital for the nine-~~mail~~month period ending November 30, 2022 primarily due to insufficient revenues in the Company. The Company had an increase in liquid assets for the nine- month period. The Company has sustained losses for the last three of five fiscal years and has seen overall a decline in working capital and liquid assets during this five-year period. Annual losses over this time are due to a combination of decreasing revenues across the divisions without a commensurate reduction of expenses. The Company’s working capital and liquid asset position are presented below (in thousands) as of November 30, 2022 and February 28, 2022:


	November 30, 2022			February 28, 2022
Working capital	$	(403	)	$	509
Liquid assets	$	283		$	245

The Company has increased marketing efforts in its ruggedized displays, TEMPEST products and services and small specialty displays in an effort to increase revenue. New products in the ruggedized and TEMPEST areas have been developed and are now being evaluated by potential customers. In addition, the Company has continued to streamline its operations and is focusing on increasing revenues by executing initiatives such as upgrading its sales and marketing efforts including targeting efforts towards repeatable business, the hiring of an experienced Rugged Display Business Development Manager, increased customer visits, trade shows and

~~Table of Contents~~e-mail

blasts to market all the product lines it sells. The Company was able to increase its fiscal revenue over the prior fiscal year and has been implementing a plan to increase revenues at all the divisions, each structured to the particular division. The Company is restructuring its cyber security services business by adding a dedicated sales person for the service business to increase the business in cyber testing services and developing new products to supplement the product side of the business. The Lexel Imaging facility in Lexington, KY is working with some customers on last time buys for certain types of CRTs while also exploring new opportunities that are a fit for the division. The Company moved the corporate accounting functions to the Cocoa, Florida location which allows the Company to become more efficient and save money on reducing redundant operations. The former headquarters and distribution center in Tucker, Georgia closed as of March 31, 2022.

~~Video~~6 ~~Display Corporation and Subsidiaries~~

~~August~~Table ~~31,~~of ~~2022~~ Contents

~~the~~Video Display Corporation and Subsidiaries

~~the~~November 30, 2022

In order to assist funding operating activity, the Company’s CEO loaned an additional $826,000 to the company during the first nine months of fiscal year 2023. There is no line of credit outstanding or other financing currently in place other than the note payable with the Company CEO with a balance of $1,284,000. There are

The ability of the Company to continue as a going concern is dependent upon the success of management’s plans to improve revenues, the operational effectiveness of continuing operations, the procurement of suitable financing, or a combination of these. The uncertainty regarding the potential success of management’s plan creates substantial doubt about the ability of the Company to continue as a going concern. no

repayment terms related to the loan, however, the Company plans to repay the note within the next twelve months and therefore has classified the loan as a current liability on the condensed consolidated balance sheets as of November 30, 2022.

~~Note~~The 3ability of the Company to continue as a going concern is dependent upon the success of management’s plans to improve revenues, the operational effectiveness of continuing operations, the procurement of suitable financing, or a combination of these. –The ~~Recent~~uncertainty ~~Accounting~~regarding ~~Pronouncements~~the potential success of management’s plan creates substantial doubt about the ability of the Company to continue as a going concern.

~~Accounting~~Note ~~Pronouncements~~3. ~~Recently~~– ~~Adopted~~Recent Accounting Pronouncements

~~2019-12, Income~~Accounting Pronouncements Recently Adopted

In December 2019, the FASB issued ASU

2019-12”), Income

Taxes (Topic 740): Simplifying the Accounting for Income Taxes (“ASU

2019-12”),

which simplifies the accounting for income taxes by removing certain exceptions related to the approach for intra-period tax allocation, the methodology for calculating income taxes in an interim period and the recognition of deferred tax liabilities for outside basis differences. The new ASU also simplifies aspects of the accounting for franchise taxes and enacted changes in tax laws or rates. These changes aim to improve the overall usefulness of disclosures to financial statement users and reduce unnecessary costs to companies when preparing the disclosures. The guidance is effective for the Company beginning on March 1, 2021 and prescribes different transition methods for the various provisions. Effective March 1, 2021, we adopted ASU

~~Recent Accounting Pronouncements Not Yet Adopted~~ 2019-12

with no material impact on the Company’s financial statements or related disclosures.

~~2016-13,~~Recent Accounting Pronouncements Not Yet Adopted

In June 2016, the FASB issued ASU

2016-13,

Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, which requires the measurement and recognition of expected credit losses for financial assets held at amortized cost, including trade receivables. ASU

2016-13

replaces the existing incurred loss impairment model with an expected loss model that requires the use of forward-looking information to calculate credit loss estimates. This guidance is effective for annual reporting periods beginning after December 15, 2022 for smaller reporting companies, with early adoption permitted. Entities will apply the amendments using a modified retrospective approach. The Company does not expect the adoption of ASU

~~Note 4. – Inventories~~ 2016-13

to have a material impact on its financial statements and related disclosures.

~~Inventories~~Note ~~are~~4. ~~stated~~- atInventories ~~the lower of cost (first in, first out) or market and consisted of the following (in thousands):~~

	August 31,		February 28,
	2022		2022
Raw materials	$	1,627	$	2,037
Work-in-process		920		846
Finished goods		339		459
	$	2,886	$	3,342

Inventories are stated at the lower of cost (first in, first out) or market and consisted of the following (in thousands):


	November 30, 2022		February 28, 2022
Raw materials	$	1,565	$	2,037
Work-in-process		873		846
Finished goods		349		459

	$	2,787	$	3,342

~~Table~~7 ~~of Contents~~

~~Video~~Table ~~Display~~of ~~Corporation and Subsidiaries~~ Contents

~~August~~Video ~~31,~~Display ~~2022~~Corporation and Subsidiaries

~~Note~~November 5.30, –2022 ~~Paycheck Protection Promissory (“PPP”) Related Loans~~

OnNote ~~April 13, 2020, our Lexel Imaging subsidiary entered into a PPP loan for $216,200 and on January 27, 2021, entered into a second round PPP loan for $304,442~~5. On– ~~April 23,~~Paycheck ~~2020,~~Protection ~~Video~~Promissory Display Corporation entered into a $772,000 first round PPP loan and on February 11, 2021, entered into a second round PPP loan for $780,112. The PPP loans were made under, and were subject to the terms and conditions of, the PPP which was established under the CARES Act and is administered by the U.S. Small Business Administration. Under the terms of the CARES Act, recipients can apply for and receive forgiveness for all, or a portion of the loans granted under the PPP. Such forgiveness was granted, based on the use of loan proceeds for certain permissible purposes as set forth in the PPP, including, but not limited to, payroll costs, mortgage interest, rent or utility costs (~~collectively,~~ “~~Qualifying Expenses~~PPP”), ~~and~~Related onLoans ~~the maintenance of employee and compensation levels during a certain time period following the funding of the PPP loans.~~

~~The~~On ~~Company~~April 13, ~~has~~2020, ~~used~~our ~~the~~Lexel ~~proceeds~~Imaging ofsubsidiary ~~the~~entered into a PPP ~~loans~~loan for ~~Qualifying~~$216,200 ~~Expenses.~~and Inon ~~fiscal~~January 27, 2021, ~~the~~entered ~~Company~~into ~~received~~a ~~forgiveness~~second onround ~~the~~PPP ~~first~~loan ~~round~~for $~~216~~304,~~200~~442. ~~Lexel~~On ~~Imaging~~April 23, ~~PPP~~2020, ~~loan~~Video inDisplay ~~November~~Corporation ~~2020~~entered ~~and~~into ona ~~the~~$772,000 first round ~~$772~~PPP loan and on February 11,~~000~~ ~~Video~~2021, ~~Display~~entered into a second round PPP loan infor ~~December 2020~~$780,112. The ~~Company~~PPP ~~received~~loans ~~forgiveness~~were onmade under, and were subject to the ~~second~~terms ~~round~~and conditions of the PPP ~~loans~~which ~~($1,084,554~~was inestablished ~~aggregate)~~under inthe ~~August~~CARES ~~2021~~Act ~~(fiscal~~and ~~2022)~~is administered by the U.S. ~~The~~Small Business Administration. Under the terms of the CARES Act, recipients can apply for and receive forgiveness ~~qualified~~for asall, or a ~~gain~~portion onof ~~extinguishment~~the ofloans ~~debt~~granted onunder the ~~consolidated~~PPP. ~~statements~~Such offorgiveness ~~operations~~was ~~and~~granted, based on the ~~related~~use ~~liability~~of ~~was~~loan ~~removed~~proceeds ~~from~~for certain permissible purposes as set forth in the ~~consolidated~~PPP, ~~balance~~including, ~~sheets~~but ~~based~~not limited to, payroll costs, mortgage interest, rent or utility costs (collectively, “Qualifying Expenses”), and on the ~~forgiveness~~maintenance ~~date~~ of employee and compensation levels during a certain time period following the ~~related~~funding of the PPP ~~loan~~loans.

~~Note~~The 6Company has used the proceeds of the PPP loans for Qualifying Expenses. –In ~~Note~~fiscal ~~Payable~~2021, tothe ~~Officers~~Company received forgiveness on the first round $216,200 Lexel Imaging PPP loan in November 2020 and ~~Directors~~on the first round $772,000 Video Display PPP loan in December 2020. The Company received forgiveness on the second round of PPP loans (~~Related~~$1,084,554 ~~Party~~in ~~Transactions~~aggregate) in August 2021 (fiscal 2022). The forgiveness qualified as a gain on extinguishment of debt on the consolidated statements of operations and the related liability was removed from the consolidated balance sheets based on the forgiveness date of the related PPP loan.

~~The~~Note ~~Company increased borrowings by $426 thousand to fund working capital needs and owes an additional $161 thousand in Company rent for the six months ending August 31, 2022 that is due to the CEO~~6. ~~The~~– ~~$884 thousand~~Note ~~note~~Payable ~~contains no repayment terms and is expected~~ to beOfficers ~~repaid in fiscal 2023 along with the $474 thousand in rent owed. The note payable~~ and ~~rent~~Directors ~~owed~~(Related ~~are~~Party ~~included~~Transactions) ~~in the Company’s consolidated balance sheets as of August 31, 2022 as a note payable to officers and directors and within accounts payable, respectively.~~

~~Note~~The 7.Company –increased ~~Leases~~borrowings from the CEO by $

826

~~Operating~~ thousand ~~Leases~~to fund working capital needs and owes the CEO an additional $

218

~~The~~ thousand in Company ~~leases~~rent ~~its~~for ~~office space and manufacturing facilities under operating lease agreements. The base lease terms expire at various dates from 2022 to 2025. While each of~~ the ~~leases~~nine ~~include~~months ~~renewal~~ending ~~options~~November 30, ~~the Company has only included the base lease term in its calculation of lease assets and liabilities~~2022. The $

1,284

~~Balance~~ thousand ~~sheet~~note ~~information~~contains ~~related to operating leases is as follows (in thousands):~~

	August 31, 2022
Assets
Operating lease right-of-use assets	$	722
Liabilities
Current portion of operating lease liabilities	$	469
Noncurrent portion of operating lease liabilities		253
Total operating lease liabilities	$	722

repayment terms and is expected to be repaid in

fiscal 2023

10 along with the $

531

~~Table~~ thousand in rent owed. The note payable and rent owed are included in the Company’s consolidated balance sheets as of ~~Contents~~November 30, 2022 as a note payable to officers and directors and within accounts payable, respectively.

~~Video~~Note ~~Display~~7. ~~Corporation~~– ~~and~~Leases ~~Subsidiaries~~

~~August~~Operating ~~31,~~Leases ~~2022~~

The Company leases its office space and manufacturing facilities under operating lease ~~costs~~agreements. ~~are~~The ~~included~~base inlease ~~Cost~~terms expire at various dates from 2022 to 2025. While each of ~~goods~~the ~~sold~~leases ininclude renewal options, the Company’s ~~condensed~~has ~~consolidated~~only ~~statements~~included the base lease term in its calculation of ~~operations~~lease assets and ~~totaled~~liabilities. ~~approximately $~~

,Balance sheet information related to operating leases is as follows (in thousands):

thousand for the six months ended August 31, 2022. Operating lease costs were $


	November 30, 2022
Assets
Operating lease right-of-use assets	$	599

Liabilities
Current portion of operating lease liabilities	$	388
Noncurrent portion of operating lease liabilities		211

Total operating lease liabilities	$	599

Operating lease costs are included in Cost of goods sold in the Company’s condensed consolidated statements of operations and totaled approximately $125 thousand for the three months ended ~~August~~November 3130, 2022, and $329 thousand for the nine months ended November 30, 2022. Operating lease costs were $104 thousand for the three months ended November 30, 2021 and $405 thousand for the nine months ended November 30, 2021.

~~thousand~~8 ~~for the six months ended August 31, 2021.~~

~~Cash~~Table of Contents

~~one-year~~Video Display Corporation and Subsidiaries

November 30, 2022

Cash paid for amounts included in the measurement of operating lease liabilities was approximately $125 thousand and $329

~~Weighted~~ thousand ~~average~~for ~~information associated with~~ the ~~measurement~~three ofmonths ~~the~~and ~~Company’s~~nine ~~remaining~~months ~~operating~~ended ~~lease~~November 30, ~~obligations~~2022. isThe asCompany ~~follows:~~paid $

189 thousand and $475 thousand for the three months and nine months ended November 30, 2021. The Company executed a new

	August 31, 2022
Weighted average remaining lease term		2.5 years
Weighted average discount rate		6	%

one-year

lease on the facility in Lexington, KY in July 2022 with a new building owner unrelated to the Company. The annual rent on the lease is $311 thousand.

~~The~~Weighted ~~following~~average ~~table~~information ~~summarizes~~associated with the ~~maturity~~measurement of the Company’s remaining operating lease ~~liabilities~~obligations is as ~~of August 31, 2022 (in thousands)~~follows:

FY2023	$	250
	November 30, 2022
FY2024		319
Weighted average remaining lease term		2.2 years
FY2025		190
Weighted average discount rate		6	%
Total operating lease payments		759
Less imputed interest		(37	)
Total operating lease liabilities	$	722

~~Included~~The ~~above~~following ~~are~~table ~~leases~~summarizes ~~for~~the ~~manufacturing~~maturity ~~and~~of ~~warehouse facilities leased from Southeast Metro Savings, LLC and Honeyhill Properties, LLC (entities which are controlled by~~ the Company’s ~~chief executive officer) under~~ operating ~~leases~~lease ~~expiring~~liabilities atas ~~various dates through 2025. Lease costs under these leases totaled approximately $64~~of ~~thousand~~November ~~for the three months and $161 thousand for the six months ended August 31~~30, 2022. ~~Lease~~(in ~~costs~~thousands): ~~under these leases totaled approximately $97 thousand for the three months and $194 thousand for the six months ended August 31, 2021.~~

The Company subleases certain of its warehousing space at its Kentucky location. The Tucker sublease expired concurrently with the head lease in March 2022 and the Kentucky lease was month to month until May 2022. The Tucker lessee did not pay any rent for March and we do not expect them to pay, therefore it is not included in Other Income.


FY2023	$	125
FY2024		319
FY2025		185

Total operating lease payments		629
Less imputed interest		(30	)

Total operating lease liabilities	$	599

2Included above are leases for manufacturing and warehouse facilities leased from Southeast Metro Savings, LLC and Honeyhill Properties, LLC (entities which are controlled by the Company’s chief executive officer) under operating leases expiring at various dates through 2025. Lease costs under these leases totaled approximately $47 thousand for the three months and $208 thousand for the nine months ended November 30, 2022. Lease costs under these leases totaled approximately $97 thousand for the three months and $291 thousand for the nine months ended November 30, 2021.

~~Financing~~The ~~Leases~~Company subleases certain of its warehousing space at its Kentucky location on a month to month basis. The Tucker sublease expired concurrently with the head lease in

March 2022

. The ~~Company~~Tucker ~~has~~lessee ~~one~~did ~~financing~~not ~~lease~~pay ~~entered~~any ~~into~~rent ~~on November 23, 2020~~ for ~~Tempest~~March ~~testing equipment for $277,000~~ and iswe ~~included~~do innot ~~machinery~~expect ~~and~~them ~~equipment~~to ~~on the condensed consolidated balance sheets as of August 31~~pay, ~~2022~~therefore ~~and~~it ~~February 28,~~is ~~2022.~~not ~~The~~included ~~lease~~in ~~expires~~Other ~~on December 1, 2023 and the incremental borrowing rate on the lease is 12~~Income.~~5%.~~

11Sublease income and lease income are included in Other, net in the Company’s condensed consolidated statements of operations and totaled approximately $2 thousand for the three months and $19 thousand for the nine months ended November 30, 2022 and totaled approximately $55 thousand for the three months and $172 thousand for the nine months ended November 30, 2021.

~~Table~~Financing ofLeases ~~Contents~~

~~Video~~The ~~Display~~Company ~~Corporation~~has one financing lease entered into on November 23, 2020 for Tempest testing equipment for $277,000 and ~~Subsidiaries~~is included in machinery and equipment on the condensed consolidated balance sheets as of November 30, 2022 and February 28, 2022. The lease expires on December 1, 2023 and the incremental borrowing rate on the lease is 12.5%.

~~August~~9 ~~31, 2022~~

~~Balance~~Table ~~sheet~~of ~~information related to financing lease is as follows (in thousands):~~ Contents

	August 31, 2022
Financing lease right-of-use assets	$	119
Current portion of financing lease liabilities	$	98
Noncurrent portion of financing lease liabilities		21
Total financing lease liabilities	$	119

Video Display Corporation and Subsidiaries

~~The~~November ~~following table summarizes the maturity of the Company’s finance lease liabilities as of August 31~~30, 2022 ~~(in thousands):~~

Fiscal Year	Amount
2023	$	52
2024		78
Total finance lease payments	$	130
Less imputed interest		(11	)
Total finance lease liabilities	$	119

Balance sheet information related to financing lease is as follows (in thousands):

Note 8 . – Supplemental Cash Flow Information


	November 30, 2022
Financing lease right-of-use assets	$	98

Current portion of financing lease liabilities	$	98
Noncurrent portion of financing lease liabilities		—

Total financing lease liabilities	$	98

~~Supplemental~~The ~~cash~~following ~~flow~~table ~~information~~summarizes isthe maturity of the Company’s finance lease liabilities as ~~follows~~of November 30, 2022 (in thousands):

	Six Months
Fiscal Year	Amount
	Ended August 31,
2023	$	26
	2022			2021
2024		78
Cash paid for:
Total finance lease payments	$	104
Interest	$	9		$	14
Less imputed interest		(6	)
Total finance lease liabilities	$	98

Note 98 . – ~~Shareholders’~~Supplemental ~~Equity~~Cash Flow Information

~~Earnings~~Supplemental ~~(Loss)~~cash ~~Per~~flow ~~Share~~information is as follows (in thousands):

Basic earnings (loss) per share is computed by dividing income or loss available to common shareholders by the weighted average number of common shares outstanding during each period. Shares issued during the period are weighted for the portion of the period that they were outstanding. Diluted earnings (loss) per share is calculated in a manner consistent with that of basic earnings (loss) per share while giving effect to all potentially dilutive common shares that were outstanding during the period.


	Nine Months Ended November 30,
	2022		2021
Cash paid for:
Interest	$	13	$	21

12Note 9. – Shareholders’ Equity

~~Table~~Earnings of(Loss) ~~Contents~~Per Share

~~Video~~Basic ~~Display~~earnings ~~Corporation~~(loss) ~~and~~per ~~Subsidiaries~~share is computed by dividing income or loss available to common shareholders by the weighted average number of common shares outstanding during each period. Shares issued during the period are weighted for the portion of the period that they were outstanding. Diluted earnings (loss) per share is calculated in a manner consistent with that of basic earnings (loss) per share while giving effect to all potentially dilutive common shares that were outstanding during the period.

~~August~~10 ~~31, 2022~~

~~The~~Table ~~following table sets forth the computation~~ of ~~basic and diluted earnings (loss) per share for the three and six month periods ended August 31, 2022 and 2021 (in thousands, except per share data):~~ Contents

	Net Income(Loss)		WeightedAverageCommon SharesOutstanding		Earnings(Loss)PerShare
Three months ended August 31, 2022
Basic	$	65		5,878	$	0.01
Effect of dilution:
Options		—		200		—
Diluted	$	65		6,078	$	0.01
Three months ended August 31, 2021
Basic	$	164		5,878	$	0.03
Effect of dilution:
Options		—		200		—
Diluted	$	164		6,078	$	0.03

Video Display Corporation and Subsidiaries

	Net Income(Loss)			WeightedAverageCommon SharesOutstanding		Earnings(Loss)PerShare
Six months ended August 31, 2022
Basic	$	(230	)		5,878	$	(0.04	)
Effect of dilution:
Options		—			—		—
Diluted	$	(230	)		5,878	$	(0.04	)
Six months ended August 31, 2021
Basic	$	(581	)		5,878	$	(0.10	)
Effect of dilution:
Options		—			—		—
Diluted	$	(581	)		5,878	$	(0.10	)

November 30, 2022

.The following table sets forth the computation of basic and diluted earnings (loss) per share for the three and nine month periods ended November 30, 2022 and 2021 (in thousands, except per share data):


	Net Income (Loss)			Weighted Average Common Shares Outstanding		Earnings (Loss) Per Share
Three months ended November 30, 2022
Basic	$	(713	)		5,878	$	(0.12	)
Effect of dilution:
Options		—			—		—

Diluted	$	(713	)		5,878	$	(0.12	)

Three months ended November 30, 2021
Basic	$	(806	)		5,878	$	(0.14	)
Effect of dilution:
Options		—			—		—

Diluted	$	(806	)		5,878	$	(0.14	)

Table of Contents


	Net Income (Loss)			Weighted Average Common Shares Outstanding		Earnings (Loss) Per Share
Nine months ended November 30, 2022
Basic	$	(943	)		5,878	$	(0.16	)
Effect of dilution:
Options		—			—		—

Diluted	$	(943	)		5,878	$	(0.16	)

Nine months ended November 30, 2021
Basic	$	(1,387	)		5,878	$	(0.24	)
Effect of dilution:
Options		—			—		—

Diluted	$	(1,387	)		5,878	$	(0.24	)

~~Video~~Stock ~~Display~~options, ~~Corporation~~debentures, and ~~Subsidiaries~~other liabilities convertible into 200,000 shares of the Company’s common stock were anti-dilutive and, therefore, were excluded for the nine months ended November 30, 2022 and 2021 diluted loss per share calculations. For the three-month and nine -month periods ended November 30, 2022 and November 30, 2021, there was no expense related to share-based compensation as all options were fully vested. No options were granted for the nine- month period ending November 30, 2022 or for the nine -month period ended November 30, 2021.

~~August~~Stock ~~31,~~Repurchase ~~2022~~Program

The Company has a stock repurchase program, pursuant to which it had been authorized to repurchase up to 2,632,500 shares of the Company’s common stock in the open market. On January 20, 2014, the Board of Directors of the Company approved a

~~Stock~~ one-time

continuation of the stock repurchase program, and authorized the Company to repurchase up to 1,500,000 additional shares of the Company’s common stock in the open market. There is no minimum number of shares required to be repurchased under the program.

11 ~~Repurchase Program~~

~~one-time~~Table of Contents

~~For~~Video Display Corporation and Subsidiaries

~~six-months~~November 30, 2022

~~Note~~For 10the nine-months ending November 30, 2022 and November 30, 2021, the Company did not purchase any shares of the Video Display Corporation stock. –Under ~~Income~~the ~~Taxes~~Company’s stock repurchase program, an additional 490,186 shares remain authorized to be repurchased by the Company at November 30, 2022.

~~six-~~Note 10. – Income Taxes

~~Note~~Due 11to the Company’s overall and historical net loss position, no income tax expense was reported for the nine- month period ending November 30, 2022 and November 30, 2021. –Due ~~Legal~~to ~~Proceedings~~continued losses reported by the Company, a full valuation allowance was allocated to the deferred tax asset created by these losses.

~~The~~Note ~~Company is involved in various legal proceedings related to claims arising in the ordinary course of business~~11. ~~The~~– ~~Company~~Legal isProceedings not currently party to any legal proceedings the result of which management believes is likely to have a material adverse impact on its business, financial position, results of operations or cash flows.

~~ITEM 2~~The Company is involved in various legal proceedings related to claims arising in the ordinary course of business. ~~MANAGEMENT’S~~The ~~DISCUSSION~~Company ~~AND~~is ~~ANALYSIS~~not OFcurrently ~~FINANCIAL~~party ~~CONDITION~~to ~~AND~~any ~~RESULTS~~legal OFproceedings ~~OPERATIONS~~the result of which management believes is likely to have a material adverse impact on its business, financial position, results of operations or cash flows.

The following discussion should be read in conjunction with the attached unaudited interim condensed consolidated financial statements and with the Company’s 2022 Annual Report to Shareholders, which included audited consolidated financial statements and notes thereto as of and for the fiscal year ended FebruaryITEM ~~28,~~2. ~~2022, as well as Management~~MANAGEMENT’sS ~~Discussion~~DISCUSSION ~~and~~AND ~~Analysis~~ANALYSIS ofOF ~~Financial~~FINANCIAL ~~Condition~~CONDITION ~~and~~AND ~~Results~~RESULTS ofOF ~~Operations.~~OPERATIONS

~~Overview~~The following discussion should be read in conjunction with the attached unaudited interim condensed consolidated financial statements and with the Company’s 2022 Annual Report to Shareholders, which included audited consolidated financial statements and notes thereto as of and for the fiscal year ended February 28, 2022, as well as Management’s Discussion and Analysis of Financial Condition and Results of Operations.

~~The~~Overview Company manufactures and distributes a wide range of display devices, encompassing, among others, industrial, military, medical, and simulation display solutions. The Company is comprised of one segment - the manufacturing and distribution of displays and display components. The Company is organized into four interrelated operations aggregated into one reportable segment.

•The ~~Simulation~~Company manufactures and ~~Training~~distributes ~~Products – offers~~ a wide range of ~~projection~~ display ~~systems~~devices, ~~for~~encompassing, ~~use~~among inothers, ~~training and simulation~~industrial, military, medical, ~~entertainment~~and simulation display solutions. The Company is comprised of one segment—the manufacturing and ~~industrial~~distribution ~~applications~~of displays and display components. The Company is organized into four interrelated operations aggregated into one reportable segment.

• ~~Cyber~~Simulation ~~Secure~~and Training Products – offers ~~advanced~~a ~~TEMPEST~~wide ~~technology,~~range ~~and~~of ~~EMSEC~~projection ~~products.~~display ~~This~~systems ~~business~~for ~~also~~use ~~provides~~in ~~various~~training ~~contract services including the design~~ and ~~testing~~simulation, ~~solutions~~military, ~~for~~medical, ~~defense~~entertainment and ~~niche~~industrial ~~commercial uses worldwide~~applications.

• ~~Data~~Cyber ~~Display~~Secure ~~CRTs~~Products – offers aadvanced ~~wide~~TEMPEST ~~range~~technology, ofand ~~CRTs~~EMSEC ~~for~~products. ~~use~~This inbusiness ~~data~~also ~~display~~provides ~~screens,~~various contract services including ~~computer~~the ~~terminal~~design ~~monitors~~and testing solutions for defense and ~~medical~~niche ~~monitoring~~commercial ~~equipment~~uses worldwide.

• ~~Other~~Data ~~Computer~~Display ~~Products~~ CRTs– offers a ~~variety~~wide range of ~~keyboard~~CRTs ~~products~~for use in data display screens, including computer terminal monitors and medical monitoring equipment.

~~During~~• ~~fiscal~~Other ~~2023,~~Computer ~~management~~Products of– ~~the~~offers ~~Company~~a isvariety ~~focusing key resources on strategic efforts to grow its business through internal sales~~ of ~~the~~keyboard ~~Company’s more profitable product lines and reduce expenses in all areas of the business to bring its cost structure in line with the current size of the business~~products. ~~Challenges facing the Company during these efforts include:~~

14During fiscal 2023, management of the Company is focusing key resources on strategic efforts to grow its business through internal sales of the Company’s more profitable product lines and reduce expenses in all areas of the business to bring its cost structure in line with the current size of the business. Challenges facing the Company during these efforts include:

~~Table~~12 ~~of Contents~~

~~Video~~Table ~~Display~~of ~~Corporation and Subsidiaries~~ Contents

~~August~~Video ~~31,~~Display ~~2022~~Corporation and Subsidiaries

~~Liquidity~~November –30, 2022

~~six-month~~Liquidity –

Company had an increase

	August 31,2022		February 28,2022
Working capital	$	194	$	509
Liquid assets	$	241	$	245

in liquid assets for the nine- month period. The Company has sustained losses for the last three of five fiscal years and has seen overall a decline in working capital and liquid assets during this five -year period. Annual losses over this time are due to a combination of decreasing revenues across the divisions without a commensurate reduction of expenses. The Company’s working capital and liquid asset position are presented below (in thousands) as of November 30, 2022 and February 28, 2022:

e-mail


	November 30, 2022			February 28, 2022
Working capital	$	(403	)	$	509
Liquid assets	$	283		$	245

In order to assist funding operating activity, the Company’s CEO loaned an additional $426,000 to the company during the first six months of fiscal year 2023. There is no line of credit outstanding or other financing currently in place other than the note payable with the Company CEO with a balance of $884,000. There are no repayment terms related to the loan, however, the Company plans to repay the note within the next twelve months and therefore has classified the loan as a current liability on the condensed consolidated balance sheets as of August 31, 2022. e-mail

~~The~~In ~~ability~~order ofto assist funding operating activity, the Company’s toCEO ~~continue~~loaned asan aadditional ~~going~~$826,000 ~~concern~~to isthe ~~dependent~~company ~~upon~~during the ~~success~~first ofnine ~~management’s~~months ~~plans~~of tofiscal ~~improve~~year ~~revenues,~~2023. ~~the~~There ~~operational~~is ~~effectiveness~~no line of ~~continuing~~credit ~~operations,~~outstanding or other financing currently in place other than the ~~procurement~~note ofpayable ~~suitable~~with ~~financing,~~the orCompany CEO with a ~~combination~~balance of ~~these~~$1,284,000. ~~The~~There ~~uncertainty~~are ~~regarding~~no ~~the~~repayment ~~potential~~terms ~~success~~related ofto ~~management’s~~the ~~plan~~loan, ~~create~~however, ~~substantial~~the ~~doubt~~Company ~~about~~plans to repay the ~~ability~~note ofwithin the ~~Company~~next totwelve ~~continue~~months and therefore has classified the loan as a ~~going~~current ~~concern~~liability on the condensed consolidated balance sheets as of November 30, 2022.

~~Inventory~~The ~~valuation~~ability of the Company to continue as a going concern is dependent upon the success of management’s plans to improve revenues, the operational effectiveness of continuing operations, the procurement of suitable financing, or a combination of these. The uncertainty regarding the potential success of management’s plan creates substantial doubt about the ability of the Company to continue as a going concern.

15Inventory valuation

– Management regularly reviews the Company’s investment in inventories for declines in value and writes down the cost when it is apparent that the expected net realizable value of the inventory falls below its carrying amount. The Company operates in an environment of constantly changing technologies and retains a certain amount of inventory for legacy products for maintenance and replacement capabilities for its customers. The Company maintains inventory on certain products to ensure it has adequate inventory to fulfill orders for transitioning product lines. Management reviews inventory levels on a quarterly basis. Such reviews include observations of product development trends of the original equipment manufacturers, new products being marketed, and technological advances relative to the product capabilities of the Company’s existing inventories.

~~Table~~13 ~~of Contents~~

~~Video~~Table ~~Display~~of ~~Corporation and Subsidiaries~~ Contents

~~August~~Video ~~31,~~Display ~~2022~~Corporation and Subsidiaries

~~COVID-19~~November 30, 2022

Impact of

~~coronavirus, or~~ COVID-19~~, situation and~~

– The Company has been actively monitoring the novel

~~impacted~~coronavirus, byor COVID-19, ~~due~~situation toand

its impact globally. Financial results for the nine months ended November 30, 2022 and 2021 have been

Ifimpacted ~~the~~by COVID-19 ~~pandemic~~due ~~continues,~~to

delayed orders and/or the fulfillment of the related orders. However, the Company currently does not expect any material impact on our financial results for the remainder of fiscal 2023. Management continues to operate normally with the exception of enabling employees to work from home and abiding by travel restrictions issued by federal and local governments.

~~Results of Operations~~ If the COVID-19 pandemic continues,

the Company may experience other disruptions that could severely impact the business, results of operations and prospects.

~~The~~Results ~~following table sets forth, for the three and six months ended August 31, 2022 and 2021, the percentages that selected items in the Interim Condensed Consolidated Statements~~ of Operations ~~bear to total sales (amounts in thousands):~~

	Three Months						Six Months
	Ended August 31,						Ended August 31,
	2022			2021			2022			2021
Net Sales
Simulation and Training (VDC Display Systems)		56.5	%		56.4	%		65.8	%		55.4
Data Display CRT (Lexel and Data Display)		20.7			11.4			18.4			12.0
Cyber Secure Products (AYON Cyber Security)		10.1			16.9			5.6			13.9
Other Computer Products (Unicomp)		12.7			15.3			10.2			18.7
Total net sales		100.0	%		100.0	%		100.0	%		100.0
Costs and expenses
Cost of goods sold		74.0	%		97.3	%		74.6	%		88.9
Selling and delivery		6.6			6.5			5.8			7.5
General and administrative		43.1			47.4			35.7			50.4
		123.7	%		151.2	%		116.1	%		146.8
Operating loss		(23.7	)%		(51.2	)%		(16.1	)%		(46.8	)
Interest income (expense), net		(0.2	)%		(0.2	)%		(0.2	)%		(0.4	)
Other income (expense), net		27.2			60.0			11.5			31.7
Income (loss) before income taxes		3.3	%		8.6	%		(4.8	)%		(15.5	)
Income tax expense		—			—			—			—
Net income (loss)		3.3	%		8.6	%		(4.8	)%		(15.5	)

The following table sets forth, for the three and nine months ended November 30, 2022 and 2021, the percentages that selected items in the Interim Condensed Consolidated Statements of Operations bear to total sales (amounts in thousands):

Net sales


	Three Months						Nine Months
	Ended November 30,						Ended November 30,
	2022			2021			2022			2021
Net Sales
Simulation and Training (VDC Display Systems)		64.2	%		63.8	%		65.4	%		57.9
Data Display CRT (Lexel and Data Display)		19.7			15.9			18.7			13.2
Cyber Secure Products (AYON Cyber Security)		4.3			1.7			5.3			10.3
Other Computer Products (Unicomp)		11.8			18.6			10.6			18.6

Total net sales		100.0	%		100.0	%		100.0	%		100.0
Costs and expenses
Cost of goods sold		82.5	%		134.3	%		76.7	%		102.6
Selling and delivery		5.5			7.8			5.7			7.6
General and administrative		52.4			60.5			40.0			53.4

		140.4	%		202.6	%		122.4	%		163.6
Operating loss		(40.4	)%		(102.6	)%		(22.4	)%		(63.6	)
Interest income (expense), net		(0.2	)%		(0.4	)%		(0.2	)%		(0.3	)
Other income (expense), net		(1.6	)		53.2			8.1			38.2

Income (loss) before income taxes		(42.2	)%		(49.8	)%		(14.5	)%		(25.7	)
Income tax expense		—			—			—			—

Net income (loss)		(42.2	)%		(49.8	)%		(14.5	)%		(25.7	)

~~Consolidated~~Net ~~net~~ sales increased 27.8% for the six months ended August 31, 2022, and increased 3.2% for the three months ended August 31, 2022 compared to the six months and three months ended August 31, 2021. The Display Systems division was up 51.7% for the six months ended August 31, 2022 compared to the comparable period last year. The division has a varied mix of products including ruggedized displays, simulation, projector systems and specialty displays. For the three months ended August 31, 2022, the Display System division was up 3.5% compared to the same three months last

16Consolidated net sales increased 20.8% for the nine months ended November 30, 2022, and increased 4.4% for the three months ended November 30, 2022 compared to the nine months and three months ended November 30, 2021. The Display Systems division was up 36.3% for the nine months ended November 30, 2022 compared to the comparable period last year. The division has a varied mix of products including ruggedized displays, simulation, projector systems and

~~Table~~14 ~~of Contents~~

~~Video~~Table ~~Display~~of ~~Corporation and Subsidiaries~~ Contents

~~August~~Video ~~31,~~Display ~~2022~~Corporation and Subsidiaries

~~year.~~November The Company is focused on the ruggedized displays sector of the business, having delivered approximately $0.8 million of rugged displays to two customers in the quarter and recently received orders for ruggedized displays of approximately $1.8 million from two other customers. The Company’s AYON Cyber Security (ACS) division is down 48.5% for the six months ending August 31, 2022 compared to the six months last year. Their business decreased due to lack of product orders for the Department of the State and Canada. The Company’s service side of the cyber business (testing other company’s products for compliance) was their primary revenue source. For the three months ending August 31, 2022 ACS business decreased 72.5% compared to the comparable three-month period from last year. The Data Display division increased 96.2% and 87% for the six months and three months ended August 31, 2022 compared to the same period in the prior year due to increases in the sales of CRTs to a large customer. The Company is expecting order(s) for a specialty product, a direct view storage tube (DVST) which should help revenues in the third quarter. Sales for this product have been slow due to the pandemic. The division expects to sell the DVST products for at least the next five to seven years. The Company’s keyboard division was down 30~~.1% for the six months ended August 31~~, 2022 and down 14.5% for three months ended August 31, 2022 respectively compared to the same periods last year. The Company acquired this company in October of 2017. This division is expected to continue at this level of sales each quarter.

~~Gross~~specialty ~~margins~~displays. For the three months ended November 30, 2022, the Display System division was up 5.1% compared to the same three months last year. The Company is focused on the ruggedized displays sector of the business, having delivered approximately $1.7 million of rugged displays to three customers this year and recently received orders for ruggedized displays of approximately $5.6 million. The Company’s AYON Cyber Security (ACS) division is down 37.7% for the nine months ending November 30, 2022 compared to the nine months last year. Their business decreased due to lack of product orders for the Department of the State and Canada. The Company’s service side of the cyber business (testing other company’s products for compliance) was their primary revenue source. For the three months ending November 30, 2022 ACS business increased 172.3% compared to the comparable three-month period from last year on negligible sales. The Data Display division increased 71.8% and 29.1% for the nine months and three months ended November 30, 2022 compared to the same period in the prior year due to increases in the sales of CRTs to a large customer. The Company is expecting order(s) for a specialty product, a direct view storage tube (DVST) which should help revenues in the next fiscal year. Sales for this product have been slow due to the pandemic. The division expects to sell the DVST products for at least the next five to seven years. The Company’s keyboard division was down 31.2% for the nine months ended November 30, 2022 and down 33.8% for three months ended November 30, 2022 respectively compared to the same periods last year. The primary reason for the decrease was a micro controller used in production became unavailable and certain of the products had to be redesigned with a new micro controller. This redesign is nearly complete. The Company acquired this company in October of 2017. This division is expected to continue at this level of sales each quarter.

~~Consolidated~~Gross ~~gross~~ margins were increased both as a percentage to sales (26% from 11.1%) and actual dollars ($1,219 thousand from $418 thousand) for the six months ended August 31, 2022 compared to the six months ended August 31, 2021. For the three months ended August 31, 2022, consolidated gross margins increased as a percentage to sales (26.0% from 2.7%) and actual dollars ($512 thousand from $51 thousand).

~~VDC~~Consolidated ~~Display Systems~~ gross ~~margin~~margins ~~dollars~~ were ~~$1,076 thousand~~increased ~~compared~~both toas ~~$352 thousand~~a ~~for~~percentage ~~the six months ended August 31, 2022 compared~~ to ~~the~~sales ~~six months ended August 31, 2021~~(23.3% ~~VDC Display Systems gross margin percentage also increased~~ from 16(2.96)%) toand ~~34.0%~~actual ~~for the six months ended August 31, 2022 compared to the same six months in 2021. AYON Cyber Security gross margin~~ dollars ~~were~~ ($601,514 thousand ~~compared~~from to $~~217~~ (137) thousand) for the ~~six~~nine months ended ~~August~~November 3130, 2022 compared to the ~~six~~nine months ended ~~August~~November 3130, 2021. ~~AYON~~For ~~Cyber Security gross margin percentage decreased to 22.1% from 41.4% for~~ the ~~six~~three months ended ~~August~~November 3130, 2022, ~~compared~~consolidated togross ~~the~~margins ~~same~~increased ~~six~~as ~~month~~a ~~period~~percentage ~~in 2021 due~~ to ~~the~~ sales ~~mix~~(17.5% offrom ~~primarily~~(34.4)%) ~~service~~and ~~jobs~~actual asdollars ~~the~~($295 thousand ~~material~~from ~~costs~~$(555) ~~were lower~~thousand).

~~The~~VDC ~~Data~~ Display ~~division~~Systems ~~had a~~ gross margin ofdollars were $01,412 thousand compared to ~~a negative gross margin of~~ $~~392~~461 thousand for the ~~six~~nine months ended ~~August~~November 3130, 2022 ~~and~~compared ~~August 31,~~to ~~2021~~the ~~respectively.~~nine ~~The~~months ~~keyboard~~ended ~~division~~November 30, ~~Unicomp,~~2021. ~~had~~VDC ~~$87 thousand~~Display ofSystems gross margin ~~dollars~~percentage oralso 17increased from 14.8% to ~~sales~~33.3% for the ~~six~~nine months ~~ending~~ended ~~August~~November 3130, 2022 compared to the same nine months in 2021. AYON Cyber Security gross margin dollars were $~~241~~72 thousand orcompared 34to $158 thousand for the nine months ended November 30, 2022 compared to the nine months ended November 30, 2021.3 AYON Cyber Security gross margin percentage decreased to 21.0% from 28.7% for the ~~six~~nine months ~~ending~~ended ~~August~~November 3130, 2022 compared to the same nine month period in 2021 due to the sales mix of primarily service jobs as the material costs were lower.

~~For~~The ~~the~~Data ~~three~~Display ~~months~~division ~~ended~~had ~~August 31,~~a ~~2022,~~negative ~~the~~gross ~~display~~margin ~~division~~of ~~(rugged~~$99 ~~displays,~~compared ~~specialty~~to ~~displays~~a negative gross margin of $1,072 thousand ~~simulators~~for ~~and~~the ~~video~~nine ~~walls)~~months ~~produced~~ended ~~74%~~November 30, of2022 ~~the~~and ~~Company’s~~November 30, ~~gross~~2021 ~~margins~~respectively. The keyboard division, Unicomp, had an$129 thousand ~~increase~~of in gross margin ~~percentage~~dollars toor ~~sales from 7~~18.7% ~~last year~~ to ~~34.2%~~sales ~~this~~for ~~year.~~the ~~The~~nine ~~Data~~months ~~division~~ending ~~saw an increase in gross margins of $290~~November ~~thousand~~30, ~~from~~2022 acompared ~~negative $289 thousand the prior year quarter~~ to $1315 thousand ~~this~~or ~~quarter~~31.4% ~~Unicomp~~for ~~gross margin dollars were flat with an increase in~~ the ~~percentage~~nine tomonths ~~sales.~~ending ~~The~~November 30, ~~cyber division had a decline in gross margin dollars of 67~~2021.~~1%.~~

~~Operating~~For ~~expenses~~the three months ended November 30, 2022, the display division (rugged displays, specialty displays, simulators and video walls) produced 115% of gross margins. The division had an increase in gross margin percentage to sales from 10.6% last year to 31.1% this year. The Data division saw an increase in gross margins of $580 thousand from a negative $679 thousand the prior year quarter to a negative $99 thousand this quarter. Unicomp gross margin dollars decreased by $32 thousand due to a decrease in sales. The cyber division had an increase in gross margin dollars of $71 thousand.

~~Operating~~15 expenses decreased 8.3% or $180 thousand for the six months ended August 31, 2022 compared to the six months ended August 31, 2021. The decrease was due primarily to the decreased costs in administration expenses. The Company reduced costs primarily in salaries, by not replacing staff when they resigned while business was slow. The Company expects to continue to control costs while increasing revenues in tempest services, specialized displays and ruggedized displays. When business increases we will look to fill some of the vacant positions.

17Table of Contents

~~Table~~Video ofDisplay ~~Contents~~Corporation and Subsidiaries

~~Video~~November ~~Display~~30, ~~Corporation~~2022 ~~and Subsidiaries~~

~~August~~Operating ~~31,~~expenses ~~2022~~

Operating expenses decreased ~~by 4~~9.75% or $48311 thousand for the ~~three~~nine months ended ~~August~~November 3130, 2022 compared to the ~~three~~nine months ended ~~August~~November 3130, 2021. The decrease was due primarily to the ~~reduction~~decreased ofcosts in administration expenses. The Company reduced costs primarily in salaries, by not replacing staff when they resigned while business was slow. The Company expects to continue to control costs while increasing revenues in tempest services, specialized displays and ~~contractor~~ruggedized ~~expenses~~displays. ~~including~~As ~~commissions~~business increases we will look to fill some of the vacant positions in the engineering and production areas in the fourth quarter of this fiscal year.

~~Interest~~Operating ~~expense~~expenses decreased by 11.5% or $127 thousand for the three months ended November 30, 2022 compared to the three months ended November 30, 2021. The decrease was due primarily to the reduction of salaries and contractor expenses including commissions.

Interest expense was $9 thousand for the six months ended August 31, 2022 compared to $14 thousand for the six months ended August 31, 2021. Interest expense was $4 thousand for the three months ended August 31, 2022 and August 31, 2021. Interest expense in fiscal 2023 relates primarily to interest expense on the lease of TEMPEST equipment.

~~Other~~Interest ~~Income/~~expense was $13 thousand for the nine months ended November 30, 2022 compared to $20 thousand for the nine months ended November 30, 2021. Interest expense was $4 thousand for the three months ended November 30, 2022 and $6 thousand for the three months ended November 30, 2021. Interest expense in fiscal 2023 relates primarily to interest expense on the lease of TEMPEST equipment.

~~For~~Other ~~the~~Income/ ~~six~~expense months ended August 31, 2022, the Company received $498 thousand in proceeds from a class action lawsuit, $18 thousand in rental income, $32 thousand in retention credit revenue, $3 thousand on the sale of assets and $2 in interest income. For the six months ended August 31, 2021, the Company had $1.1 million in gains on the extinguishment of PPP loans, $107 thousand in rental income, and $4 thousand in debt recovery offset by $4 thousand in commissions on the rental income.

For the ~~three~~nine months ended ~~August~~November 3130, 2022, the Company received $498 thousand in proceeds from a class action lawsuit, ~~had~~ $319 thousand in rental income, $32 thousand in retention credit revenue, $3 thousand on the sale of assets and $24 in interest income. Other expense netted against other income was $31 thousand for the payout of a lawsuit. For the ~~three~~nine months ended ~~August~~November 3130, 2021, the Company had $1.1 million in gains on the extinguishment of PPP loans, $56796 thousand in employee retention credit income, $172 thousand in rental income, and $4 thousand in ~~bad~~ debt recovery, offset by $25.4 thousand in commissions on the rental ~~commissions~~income.

~~Income~~For ~~taxes~~the three months ended November 30, 2022 the Company had $2 thousand in rental income and $2 thousand in interest income offset by $31 thousand for the payout of a lawsuit. For the three months ended November 30, 2021, the Company had $796 thousand in employee retention credit income, $64.4 thousand in rental income, offset by $1.8 thousand in rental commissions.

~~Due~~Income totaxes ~~the Company’s overall and historical net loss position, no income tax has been reported and a full valuation allowance has been allocated to the deferred tax asset created by these losses.~~

~~Liquidity~~Due to the Company’s overall and ~~Capital~~historical ~~Resources~~net loss position, no income tax has been reported and a full valuation allowance has been allocated to the deferred tax asset created by these losses.

~~six-month~~Liquidity and Capital Resources

	August 31,2022		February 28,2022
Working capital	$	194	$	509
Liquid assets	$	241	$	245

The accompanying unaudited interim condensed consolidated financial statements were prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. The Company reported a net loss and a decrease in working capital for the nine-month period ending November 30, 2022 primarily due to insufficient revenues in the Company. The Company had an increase in liquid assets for the nine- month period. The Company has sustained losses for the last three of five fiscal years and has seen overall a decline in working capital and liquid assets during this five -year period. Annual losses over this time are due to a combination of decreasing revenues across the divisions without a commensurate reduction of expenses. The Company’s working capital and liquid asset position are presented below (in thousands) as of November 30, 2022 and February 28, 2022:

1816

Table of Contents

Video Display Corporation and Subsidiaries

~~August~~November 3130, 2022

Management continues to implement plans to improve liquidity and to increase revenues at all divisions. The ability of the Company to continue as a going concern is dependent upon the success of management’s plans to improve revenues, the operational effectiveness of continuing operations, the procurement of suitable financing, or a combination of these. The uncertainty regarding the potential success of management’s plan create substantial doubt about the ability of the Company to continue as a going concern.


	November 30, 2022			February 28, 2022
Working capital	$	(403	)	$	509
Liquid assets	$	283		$	245

~~Cash~~Management ~~used~~continues into ~~operations~~implement ~~for~~plans ~~the six months ended August 31, 2022 was $0.4 million. Deductions~~ to ~~net~~improve ~~loss~~liquidity ~~of $0.2 million were $0.2 million for depreciation~~ and ~~amortization.~~to ~~Changes~~increase inrevenues ~~working~~at ~~capital~~all ~~were $0~~divisions.~~3 million,~~ ~~primarily~~The ~~change~~ability ~~in contract assets~~ of ~~$0.8 million~~the ~~and~~Company ato ~~change~~continue inas ~~accounts receivable of $0.5 million, offset by~~ a ~~change~~going inconcern ~~inventories~~is ofdependent ~~$0.5 million,~~upon athe ~~change~~success ~~in employee retention credit receivables~~ of ~~$0.3 million~~management’s ~~and~~plans ato ~~change~~improve inrevenues, ~~prepaid~~the ~~expenses~~operational ~~and~~effectiveness ~~other assets~~ of ~~0.2 million.~~continuing ~~Cash used in~~ operations, ~~for~~ the ~~six~~procurement ~~months~~of ~~ended~~suitable ~~August 31~~financing, ~~2021~~or ~~was~~a ~~$0.2 million.~~combination ~~Adjustments to net loss~~ of $0these.~~6 million~~ ~~were~~The ~~$0.2 million~~uncertainty ~~for~~regarding ~~depreciation~~the ~~and~~potential ~~amortization~~success ~~offset~~of bymanagement’s ~~$0.1 million~~plan ~~for~~create asubstantial ~~change~~doubt inabout ~~inventory reserves and $1.1 million related to gain recorded on~~ the ~~extinguishment~~ability of the ~~remaining~~Company ~~PPP~~to ~~loans.~~continue ~~Changes~~as ina ~~working~~going ~~capital provided $1~~concern.~~4 million,~~ ~~primarily $0.2 million from accounts receivable and $0.5 million from the change in contract assets, by $0.2 million change in accounts payable and $0.5 million in inventories.~~

~~Investing~~Cash ~~activities~~ used in operations for the nine months ended November 30, 2022 was $100.7 ~~thousand~~million. Deductions to net loss were $0.3 million for depreciation and amortization. Changes in working capital were negligible, primarily change in contract assets of $470.2 ~~thousand~~million, a change in accounts payables of $0.2 million, a change in accounts receivable of $0.3 million and a change in prepaid expenses and other assets of 0.1 million, offset by a change in inventories of $0.6 million, a change in employee retention credit receivables of $0.3 million. Cash used in operations for the ~~six~~nine months ended ~~August~~November 3130, ~~2022~~2021 ~~and~~was ~~August~~$0.3 ~~31,~~million. ~~2021~~Adjustments ~~respectively~~to net loss were non cash operating items of $0.3 million for depreciation and amortization, $0.8 million for inventory related charges and $1.1 million related to the gain recorded on the extinguishment of the remaining PPP loans. Changes in working capital ~~equipment~~provided $1.0 million, primarily from $0.6 million in accounts receivable, $0.1 million from the decrease in inventory, $0.7 million from the change in contract assets and $0.4 million from the change in accounts payable and accrued liabilities partially offset by a $0.8 million in employee retention credit refund receivable.

~~Financing~~Investing activities ~~provided~~used $~~0.4~~41 ~~million~~thousand ~~for~~and ~~the six months ended August 31, 2022 primarily from proceeds from additional borrowing from the Company’s CEO. Financing activities provided~~ $~~183~~56 thousand for the ~~six~~nine months ended ~~August~~November 3130, ~~2021~~2022 asand ~~the result of borrowings from the CEO of $250~~November ~~thousand~~30, ~~offset~~2021 byrespectively ~~payment~~for ofcapital ~~debt and lease payments~~equipment.

~~one-time~~Financing activities provided $0.7 million for the nine months ended November 30, 2022 primarily from proceeds from additional borrowing from the Company’s CEO. For the nine months ended November 30, 2021, financing activities provided $0.3 million resulting primarily from $458 thousand of additional borrowings from the CEO offset by the repayment of notes of $74 thousand and lease financing of $57 thousand.

The Company has a stock repurchase program, pursuant to which it has been authorized to repurchase up to 2,632,500 shares of the Company’s common stock in the open market. On January 20, 2014, the Board of Directors of the Company approved a

For the six months ending August 31, 2022 and August 31, 2021, the Company did not purchase any shares of the Video Display Corporation stock. Under the Company’s stock repurchase program, an additional 490,186 shares remain authorized to be repurchased by the Company at August 31, 2022. one-time

continuation of the stock repurchase program, and authorized the Company to repurchase up to 1,500,000 additional shares of the Company’s common stock on the open market, depending on the market price of the shares. There is no minimum number of shares required to be repurchased under the program.

~~Critical~~For ~~Accounting~~the ~~Policies~~nine months ending November 30, 2022 and ~~Estimates~~November 30, 2021, the Company did not purchase any shares of the Video Display Corporation stock. Under the Company’s stock repurchase program, an additional 490,186 shares remain authorized to be repurchased by the Company at November 30, 2022.

~~Management’s~~Critical ~~Discussion~~Accounting ~~and~~Policies ~~Analysis of Financial Condition~~ and ~~Results~~Estimates of Operations are based upon the Company’s interim condensed consolidated financial statements. These interim condensed consolidated financial statements have been prepared in accordance with U.S. GAAP. These principles require the use of estimates and assumptions that affect amounts reported and disclosed in the interim condensed consolidated financial statements and related notes. The accounting policies that may involve a higher degree of judgments, estimates, and complexity include reserves on inventories, revenue recognition, and the sufficiency of the valuation reserve related to deferred tax assets. The Company uses the following methods and assumptions in determining its estimates:

~~Inventory~~Management’s ~~Valuation~~Discussion and Analysis of Financial Condition and Results of Operations are based upon the Company’s interim condensed consolidated financial statements. These interim condensed consolidated financial statements have been prepared in accordance with U.S. GAAP. These principles require the use of estimates and assumptions that affect amounts reported and disclosed in the interim condensed consolidated financial statements and related notes. The

~~Management~~17 regularly reviews the Company’s investment in inventories for declines in value and writes down the cost when it is apparent that the expected net realizable value of the inventory falls below its carrying amount. The Company operates in an environment of constantly changing technologies and retains a certain amount of inventory for legacy products for maintenance and replacement capabilities for its customers. The Company maintains inventory on certain products to ensure it has adequate inventory to fulfill orders for transitioning product lines. Management reviews inventory levels on a quarterly basis. Such reviews include observations of product development trends of the original equipment manufacturers, new products being marketed, and technological advances relative to the product capabilities of the Company’s existing inventories.

19Table of Contents

~~Table~~Video ofDisplay ~~Contents~~Corporation and Subsidiaries

~~Video~~November ~~Display~~30, ~~Corporation~~2022 ~~and Subsidiaries~~

~~August~~accounting 31policies that may involve a higher degree of judgments, ~~2022~~estimates, and complexity include reserves on inventories, revenue recognition, and the sufficiency of the valuation reserve related to deferred tax assets. The Company uses the following methods and assumptions in determining its estimates:

~~Revenue~~Inventory ~~Recognition~~Valuation

WeManagement ~~recognize~~regularly ~~revenue~~reviews the Company’s investment in inventories for declines in value and writes down the cost when weit ~~transfer~~is ~~control~~apparent that the expected net realizable value of the ~~promised~~inventory ~~products~~falls orbelow ~~services~~its tocarrying ~~our~~amount. ~~customers,~~The Company operates in an environment of constantly changing technologies and retains a certain amount ~~that~~of ~~reflects~~inventory ~~the~~for ~~consideration~~legacy weproducts ~~expect~~for maintenance and replacement capabilities for its customers. The Company maintains inventory on certain products to beensure ~~entitled~~it has adequate inventory to infulfill ~~exchange~~orders for ~~those~~transitioning ~~products~~product ~~or services~~lines. WeManagement ~~derive~~reviews ~~our~~inventory ~~revenue~~levels ~~primarily~~on ~~from~~a ~~sales~~quarterly basis. Such reviews include observations of ~~simulation~~product ~~and~~development ~~video~~trends ~~wall~~of ~~systems,~~the ~~cyber~~original ~~secure~~equipment ~~products~~manufacturers, ~~data~~new ~~displays~~products being marketed, and ~~keyboards.~~technological Weadvances ~~exclude~~relative ~~sales~~to ~~and~~the ~~usage-based~~product ~~taxes~~capabilities ~~from~~of ~~revenue~~the Company’s existing inventories.

~~off-the-shelf~~Revenue Recognition

We recognize revenue ~~related~~when towe ~~our~~transfer ~~cyber~~control ~~secure~~of the promised products, ~~data~~or ~~displays~~services to our customers, ~~and~~in ~~keyboards~~an atamount athat ~~point~~reflects inthe ~~time~~consideration ~~when~~we ~~control~~expect isto ~~transferred~~be entitled to ~~the~~in ~~customer~~exchange ~~(generally~~for ~~upon~~those ~~shipment~~products or services. We derive our revenue primarily from sales of ~~the~~simulation ~~product~~and tovideo ~~the~~wall ~~customer)~~systems, cyber secure products, data displays, and keyboards. We exclude sales and usage-based taxes from revenue.

Our simulation and video wall systems are custom-built (using commercial

Timing of invoicing to customers may differ from timing of revenue recognition; however, our contracts do not include a significant financing component as substantially all of our invoices have terms of 30 days or less. We are applying off-the ~~practical expedient to exclude from consideration any contracts with payment terms of one year or less and we never offer terms extending beyond one year.~~ -shelf

products) to customer specifications under fixed price contracts. Judgment is required to determine whether each product and service is considered to be a distinct performance obligation that should be accounted for separately under the contract. Generally, these contracts contain one performance obligation (the installation of a fully functional system). We recognize revenue for these systems over time as control is transferred based on labor hours incurred on each project.

~~Other~~We ~~Loss~~recognize ~~Contingencies~~revenue related to our cyber secure products, data displays, and keyboards at a point in time when control is transferred to the customer (generally upon shipment of the product to the customer).

~~Other~~Timing ~~loss~~of ~~contingencies~~invoicing ~~are~~to ~~recorded~~customers asmay ~~liabilities~~differ ~~when~~from ittiming isof ~~probable~~revenue ~~that~~recognition; ahowever, ~~liability~~our ~~has~~contracts ~~been~~do ~~incurred~~not ~~and~~include ~~the~~a ~~amount~~significant offinancing ~~the~~component ~~loss~~as issubstantially ~~reasonably~~all ~~estimable.~~of ~~Disclosure~~our isinvoices ~~required~~have ~~when~~terms ~~there~~of is30 adays ~~reasonable~~or ~~possibility~~less. ~~that~~We ~~the~~are ~~ultimate~~applying ~~loss will exceed~~ the ~~recorded~~practical ~~provision.~~expedient ~~Contingent~~to ~~liabilities~~exclude ~~are~~from ~~often~~consideration ~~resolved~~any ~~over~~contracts ~~long~~with ~~time~~payment ~~periods.~~terms ~~Estimating probable losses requires analysis~~ of ~~multiple~~one ~~factors~~year ~~that~~or ~~often~~less ~~depend~~and onwe ~~judgments~~never ~~about~~offer ~~potential~~terms ~~actions~~extending bybeyond ~~third~~one ~~parties~~year.

~~Income~~Other ~~Taxes~~Loss Contingencies

~~Deferred~~Other ~~income~~loss ~~taxes~~contingencies are ~~provided~~recorded toas ~~reflect~~liabilities ~~the~~when ~~tax~~it ~~consequences~~is inprobable ~~future~~that ~~years~~a ofliability ~~differences~~has ~~between~~been ~~the~~incurred ~~tax bases of assets~~ and ~~liabilities~~the ~~and~~amount ~~their~~of ~~financial~~the ~~reporting~~loss ~~amounts~~is ~~based~~reasonably onestimable. ~~enacted~~Disclosure ~~tax~~is ~~laws~~required ~~and~~when ~~statutory~~there ~~tax~~is ~~rates~~a ~~applicable~~reasonable topossibility ~~the~~that ~~periods in which~~ the ~~differences~~ultimate ~~are~~loss ~~expected~~will toexceed ~~affect~~the ~~taxable~~recorded ~~income~~provision. ~~Valuation~~Contingent ~~allowances~~liabilities are ~~established~~often ~~when~~resolved ~~necessary~~over tolong ~~reduce~~time ~~deferred~~periods. ~~tax~~Estimating ~~assets~~probable tolosses ~~the~~requires ~~amount~~analysis ~~expected to be realized. As~~ of ~~August 31,~~multiple ~~2022,~~factors ~~the~~that ~~Company~~often ~~has~~depend ~~established~~on ajudgments ~~valuation~~about ~~allowance~~potential ofactions ~~$5.6 million~~by onthird ~~the Company’s deferred tax assets~~parties.

~~two-step~~Income Taxes

20Deferred income taxes are provided to reflect the tax consequences in future years of differences between the tax bases of assets and liabilities and their financial reporting amounts based on enacted tax laws and statutory tax rates applicable to the periods in which the differences are expected to affect taxable income. Valuation allowances are established when necessary to reduce deferred tax assets to the amount expected to be realized. As of November 30, 2022, the Company has established a valuation allowance of $5.9 million on the Company’s deferred tax assets.

~~Table~~18 ~~of Contents~~

~~Video~~Table ~~Display~~of ~~Corporation and Subsidiaries~~ Contents

~~August~~Video ~~31,~~Display ~~2022~~Corporation and Subsidiaries

~~Forward-~~November 30, 2022

The Company accounts for uncertain tax positions under the provisions of ASC 740, which contains a

~~Looking Information and Risk Factors~~two-step

approach to recognizing and measuring uncertain tax positions. The first step is to evaluate the tax position for recognition by determining if the weight of available evidence indicates it is more likely than not, that the position will be sustained on audit, including resolution of related appeals or litigation processes, if any. The second step is to measure the tax benefit as the largest amount, which is more than 50% likely of being realized upon ultimate settlement. The Company considers many factors when evaluating and estimating the Company’s tax positions and tax benefits, which may require periodic adjustments. At November 30, 2022, the Company did not record any liabilities for uncertain tax positions.

10Forward-KLooking Information and Risk Factors

This report contains forward-looking statements and information that is based on management’s beliefs, as well as assumptions made by, and information currently available to management. When used in this document, the words “anticipate,” “believe,” “estimate,” “intends,” “will,” and “expect” and similar expressions are intended to identify forward-looking statements. Such statements involve a number of risks and uncertainties. These risks and uncertainties, which are included under Part I, Item 1A. Risk Factors in the Company’s Annual Report on Form

~~ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURE ABOUT MARKET RISK~~ 10-K

for the year ended February 28, 2022 could cause actual results to differ materially.

~~The Company’s primary market risks include changes in technology~~ITEM 3. ~~The~~QUANTITATIVE ~~Company~~AND ~~operates~~QUALITATIVE inDISCLOSURE anABOUT ~~industry~~MARKET ~~which~~RISK ~~is continuously changing. Failure to adapt to the changes could have a detrimental effect on the Company.~~

~~ITEM 4~~The Company’s primary market risks include changes in technology. ~~CONTROLS~~The ~~AND~~Company ~~PROCEDURES~~operates in an industry which is continuously changing. Failure to adapt to the changes could have a detrimental effect on the Company.

~~Rule~~ITEM ~~13a-15(e))~~4. CONTROLS AND PROCEDURES

Our disclosure controls and procedures (as defined in Exchange Act

~~Form~~Rule 1013a-Q,15(e))

are designed to provide reasonable assurance that information required to be disclosed in our reports filed or submitted under the Securities Exchange Act of 1934, such as this quarterly report on

Form 10-KQ,

is recorded, processed, summarized and reported within the time periods specified in the SEC rules and forms. Our disclosure controls and procedures are also designed to ensure that such information is accumulated and communicated to our management, including our chief executive officer and chief financial officer, to allow timely decisions regarding required disclosure.

Our chief executive officer and chief financial officer have conducted an evaluation of the effectiveness of our disclosure controls and procedures as of November 30, 2022. We perform this evaluation on a quarterly basis so that the conclusions concerning the effectiveness of our disclosure controls and procedures can be reported in our annual report on Form

10-Q.K

and quarterly reports on Form

As we continue to evaluate our internal control over financial reporting, we may determine that additional measures should be taken to address the identified control deficiency or other deficiencies, and/or that we should modify the remediation plan described below10-Q.

Based on this evaluation, our chief executive officer and chief financial officer have concluded that, as of such date, our disclosure controls and procedures were not effective due to an unremediated material weakness in our internal control over financial reporting as set forth below.

~~Material~~As ~~Weakness~~we incontinue ~~Internal~~to ~~Control~~evaluate ~~Over~~our ~~Financial~~internal ~~Reporting~~control over financial reporting, we may determine that additional measures should be taken to address the identified control deficiency or other deficiencies, and/or that we should modify the remediation plan described below.

AMaterial ~~material~~Weakness ~~weakness is a deficiency, or a combination of deficiencies,~~ in ~~internal~~Internal ~~control~~Control ~~over~~Over ~~financial~~Financial ~~reporting~~Reporting such that there is a reasonable possibility that a material misstatement of our consolidated financial statements will not be prevented or detected on a timely basis. In connection with management’s assessment of our internal control over financial reporting described above, management concluded that, as of August 31, 2022, a material weakness existed in our internal control over financial reporting.

~~Our~~A material weakness ~~related~~is toa ~~the~~deficiency, ~~following~~or a combination of deficiencies, in internal control ~~deficiency:~~over financial reporting such that there is a reasonable possibility that a material misstatement of our consolidated financial statements will not be prevented or detected on a timely basis. In connection with management’s assessment of our internal control over financial reporting described above, management concluded that, as of November 30, 2022, a material weakness existed in our internal control over financial reporting.

We19 did not design and maintain effective controls over inventory. Specifically, controls confirming that inventory received was recorded in the correct reporting period. In addition, controls pertaining to timely assessing and valuing inventory at the lower of cost or net realizable value while considering changes in technology and market conditions that may impact the valuation of inventory were not operating effectively. These control deficiencies in the aggregate resulted in a material weakness in internal control over financial reporting pertaining to inventory. The control deficiencies identified resulted in errors in the Company’s books and records which led to audit adjustments for the year ended February 28, 2022. The errors noted were not material to the financial statements reported in any interim or annual period and did not result in a revision to previously filed financial statements. However, these control deficiencies could result in misstatements of the aforementioned accounts and disclosures that would result in a material misstatement to the annual or interim consolidated financial statements that would not be prevented or detected in a timely manner. Accordingly, we have determined that these control deficiencies when evaluated in the aggregate constitute a material weakness.

21Table of Contents

~~Table~~Video ofDisplay ~~Contents~~Corporation and Subsidiaries

~~Video~~November ~~Display~~30, ~~Corporation~~2022 ~~and Subsidiaries~~

~~August~~Our ~~31,~~material ~~2022~~weakness related to the following control deficiency:

~~Remediation~~We did not design and maintain effective controls over inventory. Specifically, controls confirming that inventory received was recorded in the correct reporting period. In addition, controls pertaining to timely assessing and valuing inventory at the lower of ~~Material~~cost ~~Weakness~~or net realizable value while considering changes in ~~Internal~~technology ~~Control~~and ~~Over~~market ~~Financial~~conditions ~~Reporting~~that may impact the valuation of inventory were not operating effectively. These control deficiencies in the aggregate resulted in a material weakness in internal control over financial reporting pertaining to inventory. The control deficiencies identified resulted in errors in the Company’s books and records which led to audit adjustments for the year ended February 28, 2022. The errors noted were not material to the financial statements reported in any interim or annual period and did not result in a revision to previously filed financial statements. However, these control deficiencies could result in misstatements of the aforementioned accounts and disclosures that would result in a material misstatement to the annual or interim consolidated financial statements that would not be prevented or detected in a timely manner. Accordingly, we have determined that these control deficiencies when evaluated in the aggregate constitute a material weakness.

~~Management~~Remediation ~~is committed to maintaining a strong internal control environment and is in the process~~ of ~~implementing~~Material ~~control~~Weakness deficiency remediation efforts which includes retraining and hiring additional resources to assist with the inventory management processes. The Company believes that these remediation efforts will represent improvements in ~~the~~Internal ~~related~~Control ~~controls.~~Over ~~The~~Financial ~~Company~~Reporting has started to implement these steps, however, some of these steps will take time to be fully integrated and confirmed to be effective and sustainable. Additional controls may also be required over time. Until the remediation steps set forth above are fully implemented and tested, the material weakness described above will continue to exist.

~~Changes~~Management is committed to maintaining a strong internal control environment and is in ~~Internal~~the ~~Controls~~process of implementing control deficiency remediation efforts which includes retraining and hiring additional resources to assist with the inventory management processes. The Company believes that these remediation efforts will represent improvements in the related controls. The Company has started to implement these steps, however, some of these steps will take time to be fully integrated and confirmed to be effective and sustainable. Additional controls may also be required over time. Until the remediation steps set forth above are fully implemented and tested, the material weakness described above will continue to exist.

~~Rules 13a-15(f) and~~Changes in Internal Controls

There have not been any changes in our internal controls over financial reporting (as such term is defined in

~~15d~~Rules 13a-15(f) ~~under~~and

22 15d-15(f) under

the Exchange Act) during the fiscal quarter to which this report relates that have materially affected, or are reasonably likely to materially affect, our internal controls over financial reporting.

~~Table~~20 ~~of Contents~~

~~August~~Video ~~31,~~Display ~~2022~~Corporation and Subsidiaries

~~PART~~November II30, 2022

~~Item~~PART 1.II ~~Legal Proceedings~~

~~None~~Item 1. Legal Proceedings

~~Item 1A~~None. ~~Risk Factors~~

~~10-Q~~Item 1A. Risk Factors

Information regarding risk factors appears under the caption Forward-Looking Information and Risk Factors in Part I, Item 2 of this Form 10-Q and in Part I, Item 1A of our Annual Report on Form 10-K for the fiscal year ended February 28, 2022. There have been no material changes from the risk factors previously disclosed in our Annual Report on Form 10-K.

~~10-K~~Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

~~Item 2~~None. ~~Unregistered Sales of Equity Securities and Use of Proceeds~~

~~None~~Item 3. Defaults upon Senior Securities

~~Item 3~~None. ~~Defaults upon Senior Securities~~

~~None~~Item 4. Submission of Matters to a Vote of Security Holders

~~Item 4~~None. ~~Submission of Matters to a Vote of Security Holders~~

~~None~~Item 5. Other information

~~Item 5~~None. ~~Other information~~

~~None~~Item 6. Exhibits

Item 6. Exhibits


Exhibit Number		Exhibit Description

3(a)		Articles of Incorporation of the Company (incorporated by reference to Exhibit 3A to the Company’s Registration Statement on Form S-18 filed January 15, 1985). (P)

3(b)		By-Laws of the Company (incorporated by reference to Exhibit 3B to the Company’s Registration Statement on Form S-18 filed January 15, 1985). (P)

10(a)		Lease dated April 1, 2015 by and between Registrant (Lessee) and Ronald D. Ordway (Lessor) with respect to premises located at 1868 Tucker Industrial Road, Tucker, Georgia. (incorporated by reference to Exhibit 10(c) to the Company’s 2015 Annual Report on Form 10-K.)

10(b)		Lease dated February 19, 2015 by and between Registrant (Lessee) and Ordway Properties LLC (Lessor) with respect to premises located at 5155 King Street, Cocoa, FL. (incorporated by reference to Exhibit 10(g) to the Company’s 2015 Annual Report on Form 10-K.)

10(c)		Video Display Corporation 2006 Stock Incentive Plan. (incorporated by reference to Appendix A to the Company’s 2006 Proxy Statement on Schedule 14A)

31.1		Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

31.2		Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

32.1		Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

101.INS		XBRL Instance Document

101.SCH		XBRL Taxonomy Extension Schema Document

101.CAL		XBRL Taxonomy Extension Calculation Linkbase Document

101.DEF		XBRL Taxonomy Extension Definition Linkbase Document

101.LAB		XBRL Taxonomy Extension Label Linkbase Document

101.PRE		XBRL Taxonomy Extension Presentation Linkbase Document

104		Cover Page Interactive Data File (embedded within the Inline XBRL document)

ExhibitNumber		Exhibit Description
3(a)		Articles of Incorporation of the Company (incorporated by reference to Exhibit 3A to the Company’s Registration Statement on Form S-18 filed January 15, 1985).(P)
3(b)		By-Laws of the Company (incorporated by reference to Exhibit 3B to the Company’s Registration Statement on Form S-18 filed January 15, 1985).(P)
10(a)		Lease dated April 1, 2015 by and between Registrant (Lessee) and Ronald D. Ordway (Lessor) with respect to premises located at 1868 Tucker Industrial Road, Tucker, Georgia. (incorporated by reference to Exhibit 10(c) to the Company’s 2015 Annual Report on Form 10-K.)
10(b)		Lease dated February 19, 2015 by and between Registrant (Lessee) and Ordway Properties LLC (Lessor) with respect to premises located at 5155 King Street, Cocoa, FL. (incorporated by reference to Exhibit 10(g) to the Company’s 2015 Annual Report on Form 10-K.)
10(c)		Video Display Corporation 2006 Stock Incentive Plan. (incorporated by reference to Appendix A to the Company’s 2006 Proxy Statement on Schedule 14A)
31.1		Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
31.2		Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
32.1		Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
101.INS		XBRL Instance Document
101.SCH		XBRL Taxonomy Extension Schema Document
101.CAL		XBRL Taxonomy Extension Calculation Linkbase Document
101.DEF		XBRL Taxonomy Extension Definition Linkbase Document
101.LAB		XBRL Taxonomy Extension Label Linkbase Document
101.PRE		XBRL Taxonomy Extension Presentation Linkbase Document
104		Cover Page Interactive Data File (embedded within the Inline XBRL document)

II-1

Large accelerated filer

Accelerated filer

Non-accelerated filer

Smaller reporting company

Emerging growth company

~~Table~~SIGNATURES ~~of Contents~~

~~SIGNATURES~~Pursuant to the requirements of the Securities and Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

Pursuant to the requirements of the Securities and Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

		VIDEO DISPLAY CORPORATION
January 17, 2023	By:	/s/ Gregory L. Osborn
October 17, 2022	By:	/s/ Ronald D. Ordway
		Ronald D. Ordway
		Chief Executive Officer
October 17, 2022	By:	/s/ Gregory L. Osborn
		Gregory L. Osborn
		Chief Financial Officer

Filing Compare · VIDEO DISPLAY CORP