NVE Achieves Key Milestone
in Relationship with Agilent Technologies
Company Also Issues Fiscal Year
Guidance
EDEN PRAIRIE, Minn.--November 5, 2002--NVE Corporation (OTCBB:
NVEC) announced the completion of a key milestone in its relationship
with Agilent Technologies, Inc. The milestone relates to qualification
of NVE technology by Agilent, based on an agreement between the
two companies in October, 2001. NVE also issued guidance of earnings
of approximately $0.03 per share on revenues of $9.1 million to
$9.5 million for the fiscal year ending March 31, 2003.
The agreement with Agilent granted non-exclusive rights to incorporate
certain NVE technology into Agilent products. NVE received over
$1 million in fees and advance payments in the first year of the
agreement.
NVE expects the recent completion of the milestone to allow Agilent
to introduce products covered by the agreement in the quarter ending
December 31, 2002. The company expects to receive approximately
$500,000 in additional revenues from Agilent in the fiscal year
ending March 31, 2003.
"The milestone achievement is a credit to our team,"
commented NVE President and Chief Executive Officer Daniel A. Baker,
Ph.D. "This puts us on track with a business partnership that
could mean many millions of dollars in incremental revenues to NVE
over the next several years."
Fiscal Year 2003 Guidance
Including the projected Agilent revenue, the company expects to
earn approximately $.01 per share each in the quarters ending December
31, 2002 and March 31, 2003, and a profit of approximately $0.03
per share for the fiscal year ending March 31, 2003. The company
expects fiscal year revenues of between $9.1 million and $9.5 million,
compared to revenues of $7.00 million in the prior fiscal year.
Commercial product sales are expected to increase 50% to 70% for
the fiscal year ending March 31, 2003. Commercial product sales
for the fiscal year ended March 31, 2002 were $1.59 million.
NVE is a leader in the practical commercialization of "spintronics,"
which many experts believe represents the next generation of microelectronics.
NVE's products include sensors and couplers which revolutionize
data acquisition and transfer in industrial automation and networks.
Statements used in this press release that relate to future
plans, events, financial results or performance are forward-looking
statements that are subject to certain risks and uncertainties including,
among others, such factors as competitive coupler threats, industry
economic trends, our ability to meet stringent customer technical
requirements, as well as the risk factors listed from time to time
in the company's filings with the SEC, including the company's Annual
Report on Form 10-K and other periodic reports filed with the SEC.
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