EDEN PRAIRIE, Minn., May 4, 2011 (GLOBE NEWSWIRE) -- NVE Corporation (Nasdaq:NVEC) announced today financial results for the fiscal year and quarter ended March 31, 2011.
For fiscal 2011, total revenue increased 11% to $31.2 million from $28.1 million for the prior fiscal year. The increase was due to a 15% increase in product sales, partially offset by a 6% decrease in contract research and development revenue. Net income for fiscal 2011 increased 11% to $13.4 million, or $2.76 per diluted share, compared to $12.0 million, or $2.47 per diluted share, for fiscal 2010.
Total revenue for the fourth quarter of fiscal 2011 increased slightly to $8.183 million from $8.179 million in the prior-year quarter. The revenue increase was due to a 1% increase in product sales, which offset a 4% decrease in contract research and development revenue. Net income for the fourth quarter of fiscal 2011 increased 2% to $3.67 million, or $0.75 per diluted share, compared to $3.60 million, or $0.74 per diluted share, for the prior-year quarter.
"We are pleased to report record revenue, product sales, and net income for both the fiscal year and fourth 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. NVE has also licensed its spintronic magnetoresistive random access memory technology, commonly known as MRAM.
The NVE Corporation logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=3120
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 risks in continued growth in revenue and profits and uncertainties related to economic environments, 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, 2011.
NVE CORPORATION
STATEMENTS OF INCOME
QUARTERS AND YEARS ENDED MARCH 31, 2011 AND 2010 (Unaudited)
Quarter Ended March 31
2011 2010
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Revenue
Product sales $ 6,733,984 $ 6,662,150
Contract research and development 1,449,117 1,517,145
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Total revenue 8,183,101 8,179,295
Cost of sales 2,641,170 2,333,637
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Gross profit 5,541,931 5,845,658
Expenses
Selling, general, and administrative 573,312 607,534
Research and development 286,910 310,564
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Total expenses 860,222 918,098
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Income from operations 4,681,709 4,927,560
Interest income 535,762 439,988
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Income before taxes 5,217,471 5,367,548
Provision for income taxes 1,547,552 1,768,802
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Net income $ 3,669,919 $ 3,598,746
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Net income per share - basic $ 0.77 $ 0.77
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Net income per share - diluted $ 0.75 $ 0.74
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Weighted average shares outstanding
Basic 4,771,954 4,700,583
Diluted 4,887,185 4,865,189
Year Ended March 31
2011 2010
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Revenue
Product sales $26,024,823 $22,665,860
Contract research and development 5,172,240 5,481,325
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Total revenue 31,197,063 28,147,185
Cost of sales 9,783,698 8,313,015
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Gross profit 21,413,365 19,834,170
Expenses
Selling, general, and administrative 2,474,468 2,414,584
Research and development 1,269,127 1,121,050
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Total expenses 3,743,595 3,535,634
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Income from operations 17,669,770 16,298,536
Interest income 2,021,426 1,617,880
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Income before taxes 19,691,196 17,916,416
Provision for income taxes 6,330,251 5,917,072
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Net income $13,360,945 $11,999,344
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Net income per share - basic $ 2.83 $ 2.56
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Net income per share - diluted $ 2.76 $ 2.47
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Weighted average shares outstanding
Basic 4,729,035 4,692,496
Diluted 4,844,266 4,857,044
NVE CORPORATION
BALANCE SHEETS
MARCH 31, 2011 AND 2010
March 31, March 31,
2011 2010
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ASSETS
Current assets
Cash and cash equivalents $ 952,209 $ 1,389,288
Marketable securities, short term 7,970,358 1,566,666
Accounts receivable, net of allowance
for uncollectible accounts of $15,000 3,596,239 4,221,564
Inventories 3,343,857 1,706,427
Prepaid expenses and other assets 1,185,306 781,294
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Total current assets 17,047,969 9,665,239
Fixed assets
Machinery and equipment 6,178,207 5,617,136
Leasehold improvements 612,682 450,546
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6,790,889 6,067,682
Less accumulated depreciation 5,259,773 4,857,819
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Net fixed assets 1,531,116 1,209,863
Marketable securities, long term 53,257,140 46,587,812
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Total assets $71,836,225 $57,462,914
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LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities
Accounts payable $ 731,580 $ 665,782
Accrued payroll and other 987,403 720,867
Deferred taxes 146,693 102,138
Deferred revenue -- 20,833
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Total current liabilities 1,865,676 1,509,620
Shareholders' equity
Common stock 47,762 47,006
Additional paid-in capital 20,894,766 20,169,924
Accumulated other comprehensive income 1,060,438 1,129,726
Retained earnings 47,967,583 34,606,638
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Total shareholders' equity 69,970,549 55,953,294
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Total liabilities and shareholders' equity $71,836,225 $57,462,914
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