NVE Corp. Reports Unaudited Earnings Results for the Third Quarter and Nine Months Ended December 31, 2013
January 22, 2014 at 09:05 pm
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NVE Corp. reported unaudited earnings results for the third quarter and nine months ended December 31, 2013. For the quarter, the company reported total revenue of $6.474 million compared to $6.525 million for the same period a year ago. Income from operations was $3.575 million against $3.714 million a year ago. Income before taxes was $4.106 million against $4.315 million a year ago. Net income was $2.777 million or $0.57 per basic and diluted share against $2.899 million or $0.60 per basic and diluted share a year ago. The decrease in net income was primarily due to the large decrease in R&D revenue and large increase in R&D expense. The revenue decrease was due to 97% decrease in contract research and development revenue, partially offset by a 12% increase in product sales.
For the nine months, the company reported total revenue of $19.952 million compared to $19.811 million for the same period a year ago. Income from operations was $11.119 million against $11.147 million a year ago. Income before taxes was $12.697 million against $12.932 million a year ago. Net income was $8.574 million or $1.76 per diluted share against $8.719 million or $1.80 per basic and diluted share a year ago. The slight decrease in net income in the first nine months of fiscal 2014 compared to the prior-year period was primarily due to the large decrease in R&D revenue and increase in R&D expense. The increase in revenue was due to a 9% increase in product sales, partially offset by an 83% decrease in contract research and development revenue. Operating cash flow or net cash provided by operating activities increased 17% to $9.82 million for the first nine months of the fiscal year, compared to $8.42 million in the prior year. Purchases of fixed assets were approximately $34,000 for the first nine months of the fiscal year compared so $1.61 million for the first nine months of last year. Free cash flow, which is operating cash flow less capital expenditures increased 44% to $9.78 million for the first nine months of the fiscal year, compared to $6.81 million the prior year.
NVE Corporation develops and sells devices that use spintronics, which is a nanotechnology that relies on electron spin to acquire, store, and transmit information. The Company manufactures spintronic products, including sensors and couplers that are used to acquire and transmit data. The Company has also licensed its spintronic magnetoresistive random access memory technology (MRAM). Its parts are primarily used in industrial, scientific, and medical applications, as well as the Industrial Internet of things. The Company's products include sensors, couplers, DC-to-DC Convertors and MRAM products. Its sensor products detect the strength or gradient of magnetic fields and are often used to determine position or speed. Its spintronic couplers combine a giant magnetoresistance (GMR) sensor element and a microscopic coil. MRAM uses spintronics to store data. Its isolated direct current (DC)-to-DC convertors transfer energy between systems without direct electrical connections.
NVE CORPORATION 
