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.
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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 ----------- ----------- Revenue Product sales $ 6,733,984 $ 6,662,150 Contract research and development 1,449,117 1,517,145 ----------- ----------- Total revenue 8,183,101 8,179,295 Cost of sales 2,641,170 2,333,637 ----------- ----------- Gross profit 5,541,931 5,845,658 Expenses Selling, general, and administrative 573,312 607,534 Research and development 286,910 310,564 ----------- ----------- Total expenses 860,222 918,098 ----------- ----------- Income from operations 4,681,709 4,927,560 Interest income 535,762 439,988 ----------- ----------- Income before taxes 5,217,471 5,367,548 Provision for income taxes 1,547,552 1,768,802 ----------- ----------- Net income $ 3,669,919 $ 3,598,746 =========== =========== Net income per share - basic $ 0.77 $ 0.77 =========== =========== Net income per share - diluted $ 0.75 $ 0.74 =========== =========== Weighted average shares outstanding Basic 4,771,954 4,700,583 Diluted 4,887,185 4,865,189 Year Ended March 31 2011 2010 ----------- ----------- Revenue Product sales $26,024,823 $22,665,860 Contract research and development 5,172,240 5,481,325 ----------- ----------- Total revenue 31,197,063 28,147,185 Cost of sales 9,783,698 8,313,015 ----------- ----------- 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 ----------- ----------- Total expenses 3,743,595 3,535,634 ----------- ----------- Income from operations 17,669,770 16,298,536 Interest income 2,021,426 1,617,880 ----------- ----------- Income before taxes 19,691,196 17,916,416 Provision for income taxes 6,330,251 5,917,072 ----------- ----------- Net income $13,360,945 $11,999,344 =========== =========== Net income per share - basic $ 2.83 $ 2.56 =========== =========== Net income per share - diluted $ 2.76 $ 2.47 =========== =========== 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 ----------- ----------- 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 ----------- ----------- 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 ----------- ----------- 6,790,889 6,067,682 Less accumulated depreciation 5,259,773 4,857,819 ----------- ----------- Net fixed assets 1,531,116 1,209,863 Marketable securities, long term 53,257,140 46,587,812 ----------- ----------- Total assets $71,836,225 $57,462,914 =========== =========== 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 ----------- ----------- 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 ----------- ----------- Total shareholders' equity 69,970,549 55,953,294 ----------- ----------- Total liabilities and shareholders' equity $71,836,225 $57,462,914 =========== ===========
CONTACT: Curt A. Reynders, CFO (952) 829-9217
