NVE Corporation reported unaudited earnings results for the third quarter and nine months ended December 31, 2014. For the quarter, the company reported total revenue of $6,291,748 compared to $6,473,697 a year ago. Income from operations was $3,589,640 against $3,575,357 a year ago. Income before taxes was $4,147,483 against $4,105,740 a year ago. Net income was $2,792,906 or $0.57 per basic and diluted share against $2,777,174 or $0.57 per basic and diluted share a year ago. The revenue decrease was due to a 9% decrease in product sales, partially offset by a 16-fold increase in contract research and development revenue. The increase in net income was despite a 3% decrease in total revenue to $6.29 million from $6.47 million in the prior year quarter.

For the nine months, the company reported total revenue of $23,012,156 compared to $19,951,810 a year ago. Income from operations was $14,296,114 against $11,119,315 a year ago. Income before taxes was $15,965,434 against $12,696,839 a year ago. Net income was $10,705,638 or $2.20 per diluted share against $8,573,650 or $1.76 per diluted share a year ago. The increase in revenue was due to a 14% increase in product sales and a 124% increase in contract research and development revenue. The increase in net income was due to increased product sales, increased contract research and development revenue, increased gross margin, decreased R&D expense and increased interest income. Operating cash flow or net cash provided by operating activities increased 10% to $10.8 million compared to $9.82 million in the prior year. Purchases of fixed assets were $114,139 compared to $33,893 in the first 9 months of fiscal 2014.