NVE Corporation Reports Fourth Quarter and Fiscal Year Results and Announces Quarterly Dividend

NVE Corporation (NASDAQ: NVEC) reported mixed financial results for Q4 and fiscal year 2025.

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05/07/2025 - 04:05 PM EDT

EDEN PRAIRIE, Minn.--(BUSINESS WIRE)-- NVE Corporation (Nasdaq: NVEC) announced today financial results for the quarter and fiscal year ended March 31, 2025.

Total revenue for the fourth quarter of fiscal 2025 increased 3% to $7.27 million from $7.08 million for the prior-year quarter. The increase was due to a 558% increase in contract research and development revenue, partially offset by a 1% decrease in product sales. Net income for the fourth quarter of fiscal 2025 increased 2% to $3.89 million, or $0.80 per diluted share, compared to $3.81 million, or $0.79 per diluted share, for the prior-year quarter.

For fiscal 2025, total revenue decreased 13% to $25.9 million, compared to $29.8 million in the prior year. The decrease was due to a 16% decrease in product sales, partially offset by a 112% increase in contract research and development revenue. Net income for fiscal 2025 decreased 12% to $15.1 million, or $3.11 per diluted share, from $17.1 million, or $3.54 per share, for fiscal 2024.

The company also announced a quarterly cash dividend to shareholders of $1.00 per share of common stock, payable May 30, 2025 to shareholders of record as of May 19, 2025.

“We’re pleased to report year-over-year and sequential revenue and earnings growth for the quarter,” 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.

NVE CORPORATION STATEMENTS OF INCOME QUARTERS AND YEARS ENDED MARCH 31, 2025 AND 2024

	Quarter Ended March 31,
	2025		2024
Revenue
Product sales	$	6,951,322	$	7,034,840
Contract research and development		318,393		48,389
Total revenue, net		7,269,715		7,083,229
Cost of sales		1,515,410		1,737,977
Gross profit		5,754,305		5,345,252
Expenses
Research and development		1,039,711		811,339
Selling, general, and administrative		465,818		473,622
Total expenses		1,505,529		1,284,961
Income from operations		4,248,776		4,060,291
Interest income		476,650		508,431
Other income		313		-
Income before taxes		4,725,739		4,568,722
Provision for income taxes		833,365		755,741
Net income	$	3,892,374	$	3,812,981
Net income per share – basic	$	0.80	$	0.79
Net income per share – diluted	$	0.80	$	0.79
Weighted average shares outstanding
Basic		4,837,166		4,833,610
Diluted		4,839,194		4,839,556

	Year Ended March 31,
	2025		2024
Revenue
Product sales	$	24,632,102	$	29,218,063
Contract research and development		1,242,592		586,116
Total revenue, net		25,874,694		29,804,179
Cost of sales		4,235,780		6,772,533
Gross profit		21,638,914		23,031,646
Expenses
Research and development		3,635,519		2,731,434
Selling, general, and administrative		2,009,246		1,771,833
Provision for credit losses		-		9,514
Total expenses		5,644,765		4,512,781
Income from operations		15,994,149		18,518,865
Interest income		1,909,218		1,948,720
Other income		135,370		-
Income before taxes		18,038,737		20,467,585
Provision for income taxes		2,974,221		3,342,886
Net income	$	15,064,516	$	17,124,699
Net income per share – basic	$	3.12	$	3.54
Net income per share – diluted	$	3.11	$	3.54
Weighted average shares outstanding
Basic		4,835,069		4,833,146
Diluted		4,839,154		4,839,705

NVE CORPORATION BALANCE SHEETS MARCH 31, 2025 AND 2024

	March 31, 2025			March 31, 2024
ASSETS
Current assets
Cash and cash equivalents	$	8,036,564		$	10,283,550
Marketable securities, short-term (amortized cost of $13,730,266 as of March 31, 2025, and $12,283,630 as of March 31, 2024)		13,691,593			11,917,779
Accounts receivable, net of allowance for credit losses of $15,000		3,589,268			3,144,833
Inventories, net		7,449,083			7,158,585
Prepaid expenses and other assets		433,414			689,349
Total current assets		33,199,922			33,194,096
Fixed assets
Machinery and equipment		11,758,205			10,501,096
Leasehold improvements		1,956,309			1,956,309
		13,714,514			12,457,405
Less accumulated depreciation and amortization		11,727,615			11,403,383
Net fixed assets		1,986,899			1,054,022
Deferred tax assets		1,867,069			1,453,704
Marketable securities, long-term (amortized cost of $26,353,692 as of March 31, 2025, and $31,417,890 as of March 31, 2024)		26,304,623			30,788,301
Right-of-use asset – operating lease		917,349			289,910
Total assets	$	64,275,862		$	66,780,033

LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities
Accounts payable	$	214,691		$	127,154
Accrued payroll and other		871,169			729,215
Operating lease		83,010			179,372
Total current liabilities		1,168,870			1,035,741
Long-term operating lease liability		838,221			175,775
Total liabilities		2,007,091			1,211,516

Shareholders’ equity
Common stock		48,372			48,337
Additional paid-in capital		19,821,106			19,554,812
Accumulated other comprehensive loss		(68,544	)		(777,637	)
Retained earnings		42,467,837			46,743,005
Total shareholders’ equity		62,268,771			65,568,517
Total liabilities and shareholders’ equity	$	64,275,862		$	66,780,033