 |
EARNINGS REPORT |
NVE Corporation Reports Third Quarter Results
and Announces Quarterly Dividend
EDEN PRAIRIE, Minn.—January 21, 2026—NVE Corporation (Nasdaq: NVEC)
announced today financial results for the quarter ended December 31, 2025.
Total revenue for the third quarter of fiscal 2026 increased 23% to $6.22 million from $5.06 million for the prior-year quarter. The increase was due to a 16% increase in product sales and a 335% increase in contract research and development revenue. Net income for the third quarter of fiscal 2026 increased 11% to $3.38 million, or $0.70 per diluted share, compared to $3.05 million, or $0.63 per share, for the prior-year quarter.
For the first nine months of fiscal 2026, total revenue increased 0.4% to $18.7 million from $18.6 million for the nine months of the prior year. The increase was due to a 0.8% increase in product sales, partially offset by an 8% decrease in contract research and development revenue. Net income decreased 8% to $10.3 million, or $2.12 per diluted share, from $11.2 million, or $2.31 per share, for the first nine months of fiscal 2025.
The company also announced a quarterly cash dividend to shareholders of $1.00 per share of common stock, payable February 27, 2026 to shareholders of record as of February 2, 2026.
“We’re pleased to report strong increases in revenue and earnings for the quarter, driven by broad-based growth across our revenue lines,” said NVE President and Chief Executive Officer Daniel A. Baker, Ph.D.
NVE is a leader in the practical commercialization of spintronics, a nanotechnology that relies on electron spin rather than electron charge to acquire, store, and transmit information. The company manufactures high-performance spintronic products including sensors and couplers that are used to acquire and transmit data.
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 our reliance on several large customers for a significant percentage of revenue, uncertainties related to the economic environments in the industries we serve, uncertainties related to future sales and revenues, risks and uncertainties related to tariffs, customs, duties, and other trade barriers, as well as the risk factors listed from time to time in our filings with the SEC, including our Annual Report on Form 10-K for the fiscal year ended March 31, 2025, as updated in our Quarterly Report on Form 10-Q for the quarter ended December 31, 2025.
###
|
NVE CORPORATION
STATEMENTS OF INCOME
QUARTERS ENDED DECEMBER 31, 2025 AND 2024
(unaudited) |
| |
Quarter Ended December 31, |
| |
2025 |
|
2024 |
| Revenue |
|
Product sales |
$ |
5,778,674 |
|
|
$ |
4,960,488 |
|
|
Contract research and development |
|
446,102 |
|
|
|
102,557 |
|
| Total revenue, net |
|
6,224,776 |
|
|
|
5,063,045 |
|
| Cost of sales |
|
1,332,679 |
|
|
|
797,622 |
|
| Gross profit |
|
4,892,097 |
|
|
|
4,265,423 |
|
| Expenses |
|
|
|
|
|
|
|
|
Research and development |
|
795,585 |
|
|
|
869,677 |
|
|
Selling, general, and administrative |
|
352,136 |
|
|
|
434,783 |
|
| Total expenses |
|
1,147,721 |
|
|
|
1,304,460 |
|
| Income from operations |
|
3,744,376 |
|
|
|
2,960,963 |
|
| Interest income |
|
461,954 |
|
|
|
474,180 |
|
| Other income |
|
- |
|
|
|
135,057 |
|
| Income before taxes |
|
4,206,330 |
|
|
|
3,570,200 |
|
| Provision for income taxes |
|
821,688 |
|
|
|
521,790 |
|
| Net income |
$ |
3,384,642 |
|
|
$ |
3,048,410 |
|
| Net income per share – basic |
$ |
0.70 |
|
|
$ |
0.63 |
|
| Net income per share – diluted |
$ |
0.70 |
|
|
$ |
0.63 |
|
| Weighted average shares outstanding |
|
|
|
|
|
|
|
|
Basic |
|
4,837,166 |
|
|
|
4,835,262 |
|
|
Diluted |
|
4,839,257 |
|
|
|
4,839,124 |
|
| |
|
| |
Nine
Month Ended Dec. 31, |
| |
2025 |
|
2024 |
| Revenue |
| Product sales |
$ |
17,826,016 |
|
|
$ |
17,680,780 |
|
| Contract research and development |
|
850,396 |
|
|
|
924,199 |
|
| Total revenue, net |
|
18,676,412 |
|
|
|
18,604,979 |
|
| Cost of sales |
|
3,893,696 |
|
|
|
2,720,370 |
|
| Gross profit |
|
14,782,716 |
|
|
|
15,884,609 |
|
| Expenses |
|
|
|
|
|
|
|
|
Research and development |
|
2,389,286 |
|
|
|
2,595,808 |
|
Selling, general, and administrative |
|
1,207,695 |
|
|
|
1,543,428 |
|
| Total expenses |
|
3,596,981 |
|
|
|
4,139,236 |
|
| Income from operations |
|
11,185,735 |
|
|
|
11,745,373 |
|
| Interest income |
|
1,444,492 |
|
|
|
1,432,568 |
|
| Other income |
|
3,905 |
|
|
|
135,057 |
|
| Income before taxes |
|
12,634,132 |
|
|
|
13,312,998 |
|
| Provision for income taxes |
|
2,362,834 |
|
|
|
2,140,856 |
|
| Net income |
$ |
10,271,298 |
|
|
$ |
11,172,142 |
|
| Net income per share – basic |
$ |
2.12 |
|
|
$ |
2.31 |
|
| Net income per share – diluted |
$ |
2.12 |
|
|
$ |
2.31 |
|
| Weighted average shares outstanding |
|
|
|
|
|
|
|
| Basic |
|
4,837,166 |
|
|
|
4,834,382 |
|
| Diluted |
|
4,839,120 |
|
|
|
4,839,247 |
|
NVE CORPORATION
BALANCE SHEETS
DECEMBER 31 AND MARCH 31, 2025 |
| |
(unaudited)
December 31, 2025 |
|
March 31,
2025 |
| ASSETS |
|
Current assets |
Cash and cash equivalents |
$ |
3,408,531 |
|
|
$ |
8,036,564 |
|
Marketable securities, short-term
(amortized cost of $17,137,942 as of
December 31, 2025, and $13,730,266 as of March 31, 2025) |
|
17,156,488 |
|
|
|
13,691,593 |
|
Accounts receivable, net of allowance for credit
losses of $15,000 |
|
2,483,045 |
|
|
|
3,589,268 |
|
Inventories, net |
|
7,271,798 |
|
|
|
7,449,083 |
|
Prepaid expenses and other assets |
|
756,715 |
|
|
|
433,414 |
|
| Total current assets |
|
31,076,577 |
|
|
|
33,199,922 |
|
| Fixed assets |
|
|
|
|
|
|
|
Machinery and equipment |
|
13,834,355 |
|
|
|
11,758,205 |
|
Leasehold improvements |
|
2,059,853 |
|
|
|
1,956,309 |
|
| |
|
15,894,208 |
|
|
|
13,714,514 |
|
Less accumulated depreciation and amortization |
|
11,996,423 |
|
|
|
11,727,615 |
|
| Net fixed assets |
|
3,897,785 |
|
|
|
1,986,899 |
|
| Deferred tax assets |
|
722,602 |
|
|
|
1,867,069 |
|
Marketable securities, long-term
(amortized cost of $23,310,800 as of December 31,
2025, and $26,353,692 as of March 31, 2025)
|
|
23,441,471 |
|
|
|
26,304,623 |
|
| Right-of-use asset – operating lease |
|
824,631 |
|
|
|
917,349 |
|
| Total assets |
$ |
59,963,066 |
|
|
$ |
64,275,862 |
|
| |
| LIABILITIES AND SHAREHOLDERS’ EQUITY |
| Current liabilities |
Accounts payable |
$ |
226,856 |
|
|
$ |
214,691 |
|
Accrued payroll and other |
|
504,710 |
|
|
|
871,169 |
|
Operating lease |
|
160,413 |
|
|
|
83,010 |
|
| Total current liabilities |
|
891,979 |
|
|
|
1,168,870 |
|
| Operating lease |
|
773,996 |
|
|
|
838,221 |
|
| Total liabilities |
|
1,665,975 |
|
|
|
2,007,091 |
|
| |
|
|
|
|
|
|
|
| Shareholders’ equity |
|
|
|
|
|
|
|
|
Common stock |
|
48,372 |
|
|
|
48,372 |
|
Additional paid-in capital |
|
19,904,513 |
|
|
|
19,821,106 |
|
Accumulated other comprehensive loss |
|
116,569 |
|
|
|
(68,544 |
) |
Retained earnings |
|
38,227,637 |
|
|
|
42,467,837 |
|
| Total shareholders’ equity |
|
58,297,091 |
|
|
|
62,268,771 |
|
| Total liabilities and shareholders’ equity |
$ |
59,963,066 |
|
|
$ |
64,275,862 |
|
|
