| Earnings Report | January 16, 2003 |
| NVE Reports
Third Quarter Results Commercial product revenues up 41% EDEN PRAIRIE, Minn.--January 16, 2003--NVE Corporation (OTCBB: NVCR) today announced financial results for the third quarter ended December 31, 2002. Total revenue for the third quarter of fiscal 2003 was $2.34 million compared to $1.77 million for the prior-year quarter, an increase of 32%. Commercial product sales for the current quarter increased 41% over the prior-year quarter. Net income for the current quarter was $234,161 or $.05 per diluted share, compared to loss of $434,996, or $.13 per share for the prior-year quarter.
"These results are in line with our expectations for strong, profitable growth," commented President and Chief Executive Officer Daniel A. Baker, Ph.D. "Because of the unique benefits of our technology, our product sales have held up well despite weak economic conditions in the electronic industry." "The company reiterated its previously-issued guidance of approximately $0.15 earnings per diluted share on a post-split basis and revenue of between $9.1 million and $9.5 million for the fiscal year ending March 31, 2003. The company reported a net loss of $0.62 per share and revenue of $7.0 million for the fiscal year ended March 31, 2002. The company expects commercial product sales to increase approximately 50% or more for the fiscal year ending March 31, 2003 from $1.59 million for the prior fiscal year. 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 industry economic trends, the company's 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-KSB and other periodic reports filed with the SEC. |
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NVE Corporation CONDENSED STATEMENTS OF OPERATIONS THREE MONTHS AND NINE MONTHS ENDED DECEMBER 31, 2002 AND 2001 (IN THOUSANDS EXCEPT PER SHARE; UNAUDITED) Three months ended December 31, 2002 December 30, 2001 Revenue: Contract research and development $ 1,673 $ 1,247 Product sales 566 402 License revenue 98 126 --------- --------- Total revenue 2,337 1,775 Total expenses 2,103 2,210 --------- --------- Net income (loss) $ 234 $ (435) ========= ========= Weighted avg. shares outstanding - diluted 4,466 3,421 Net income (loss) per share - diluted $ 0.05 $ (0.13) Nine months ended December 31, 2002 December 30, 2001 Revenue: Contract research and development $ 4,843 $ 3,319 Product sales 1,708 1,098 License revenue 294 488 --------- --------- Total revenue 6,845 4,905 Total expenses 6,358 6,111 --------- --------- Net income (loss) $ 487 $ (1,206) ========= ========= Weighted avg. shares outstanding - diluted 4,425 3,399 Net income (loss) per share - diluted $ 0.11 $ (0.35) NVE Corporation CONDENSED BALANCE SHEETS DECEMBER 31, 2002 AND MARCH 31, 2002 (IN THOUSANDS) (UNAUDITED) December 31, 2002 March 31, 2002 ASSETS Current assets: Cash $ 365 $ 537 Investment securities 5,655 - Other current assets 2,377 1,833 Total current assets 8,397 2,370 Fixed assets 1,259 1,226 --------- --------- Total assets $ 9,656 $ 3,596 ========= ========= LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities 2,112 2,742 Other long-term liabilities 263 377 --------- --------- Total liabilities 2,375 3,119 Shareholders' equity: Common stock 42 173 Additional paid-in capital 12,114 5,758 Accumulated other comprehensive income 93 - Accumulated deficit (4,968) (5,454) --------- --------- Total shareholders' equity 7,281 477 --------- --------- Total liabilities and shareholders' equity $ 9,656 $ 3,596 ========= ========= |