UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C.  20549

FORM 8-K

CURRENT REPORT
Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934


Date of Report (Date of earliest event reported)  October 21, 2020

NVE Logo
NVE Corporation

(Exact name of registrant as specified in its charter)

 

Minnesota

000-12196

41-1424202

(State or other jurisdiction of incorporation)

(Commission File Number)
(IRS Employer Identification No.)


11409 Valley View Road, Eden Prairie, Minnesota

55344

(Address of principal executive offices)

(Zip Code)


Registrant’s telephone number, including area code (952) 829-9217

                                                                                                                                
(Former name or former address, if changed since last report.)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

[  ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

[  ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

[  ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

[  ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
 
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
 
Emerging growth company  [  ]

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.  [  ] 
 
Securities registered pursuant to Section 12(b) of the Act:
Title of each class Trading symbol(s) Name of each exchange on which registered
Common Stock, $0.01 par value NVEC The NASDAQ Stock Market, LLC
 

Item 2.02. Results of Operations and Financial Condition.
     Furnished as Exhibit 99 is a press release of NVE Corporation reporting results for the quarter and six months ended September 30, 2020.


Item 8.01. Other Events.
     NVE Corporation announced that its Board of Directors approved a quarterly cash dividend to shareholders of $1.00 per share of common stock, payable November 30, 2020 to shareholders of record as of November 2, 2020.

 

 

 

2

SIGNATURE

     Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
 
Date  October 21, 2020 NVE CORPORATION
(Registrant)

 /s/ CURT A. REYNDERS
Curt A. Reynders
Chief Financial Officer

 

 

 

3

INDEX TO EXHIBITS

Exhibit #
Description
 
  99 Press release of NVE Corporation reporting results for the quarter and six months ended September 30, 2020 and announcing a quarterly dividend.

 

 

 


4



NVE LogoPRESS RELEASE
For immediate release


NVE Corporation Reports Second Quarter Results and Announces Quarterly Dividend

EDEN PRAIRIE, Minn.—October 21, 2020—NVE Corporation (Nasdaq: NVEC) announced today financial results for the quarter and six months ended September 30, 2020.

Total revenue for the second quarter of fiscal 2021 decreased 33% to $4.38 million from $6.50 million for the the prior-year quarter. The decrease was due to a 33% decrease in product sales and a 29% decrease in contract research and development revenue. Net income for the second quarter of fiscal 2021 decreased 42% to $2.22 million, or $0.46 per diluted share, compared to $3.82 million, or $0.79 per share, for the prior-year quarter.

For the first six months of fiscal 2021, total revenue decreased 30% to $8.97 million from $12.8 million for the first six months of the prior year. The decrease was due to a 31% decrease in product sales and a 14% decrease in contract research and development revenue. Net income decreased 38% to $4.63 million, or $0.96 per diluted share, compared to $7.43 million, or $1.53 per share, for the first half of fiscal 2020.

The company also announced a quarterly cash dividend to shareholders of $1.00 per share of common stock, payable November 30, 2020 to shareholders of record as of November 2, 2020.

“We are pleased to report a solid profit for the quarter despite a significant impact from COVID-19 pandemic on our revenue,” 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 risks and uncertainties related to future sales and revenues, risks related to the COVID-19 pandemic, risks and uncertainties related to future dividend payments and stock repurchases, 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, 2020 as updated in our Quarterly Reports on Form 10-Q for the quarters ended June 30 and September 30, 2020, and other reports filed with the SEC.
 
###

NVE CORPORATION
STATEMENTS OF INCOME
QUARTERS AND SIX MONTHS ENDED SEPTEMBER 30, 2020 AND 2019 (Unaudited)

 
Quarter Ended Sept. 30
2020   2019
Revenue
Product sales
$ 4,159,173     $ 6,187,708  
Contract research and development
221,612     314,237  
Total revenue   4,380,785       6,501,945  
Cost of sales 941,287     1,346,098  
Gross profit   3,439,498       5,155,847  
Expenses
Research and development
  815,965       926,596  
Selling, general, and administrative
358,182     368,450  
Total expenses 1,174,147     1,295,046  
Income from operations   2,265,351       3,860,801  
Interest income 401,392     456,309  
Income before taxes   2,666,743       4,317,110  
Provision for income taxes 444,403     495,048  
Net income $ 2,222,340     $ 3,822,062  
Net income per share – basic $ 0.46     $ 0.79  
Net income per share – diluted $ 0.46     $ 0.79  
Cash dividends declared per common share $ 1.00     $ 1.00  
Weighted average shares outstanding
Basic
  4,834,709       4,846,010  
Diluted
  4,834,809       4,847,881  
 
 
Six Months Ended Sept. 30
2020 2019
Revenue
Product sales
$ 8,517,808 $ 12,273,072  
Contract research and development
452,239   523,569  
Total revenue   8,970,047   12,796,641  
Cost of sales 1,777,709   2,438,135  
Gross profit   7,192,338     10,358,506  
Expenses
Research and development
  1,696,948   1,899,663
Selling, general, and administrative
713,193   698,459  
Total expenses 2,410,141   2,598,122  
Income from operations   4,782,197   7,760,384
Interest income 800,604   915,348  
Income before taxes   5,582,801   8,675,732
Provision for income taxes 948,596   1,246,251  
Net income $ 4,634,205   $ 7,429,481  
Net income per share – basic $ 0.96   $ 1.53  
Net income per share – diluted $ 0.96   $ 1.53  
Cash dividends declared per common share $ 2.00   $ 2.00  
Weighted average shares outstanding
Basic
4,834,872 4,846,010
Diluted
4,834,986 4,849,357
 
 
NVE CORPORATION
BALANCE SHEETS
SEPTEMBER 30 AND MARCH 31, 2020
  (Unaudited)
Sept. 30, 2020
  March 31, 2020
ASSETS
Current assets
Cash and cash equivalents
$ 3,845,070     $ 8,065,594  
Marketable securities, short-term
  23,231,981       19,084,814  
Accounts receivable, net of allowance for uncollectible accounts of $15,000
  1,922,076       2,694,018  
Inventories
  3,928,524       3,884,450  
Prepaid expenses and other assets
610,635     655,835  
Total current assets   33,538,286       34,384,711  
Fixed assets
Machinery and equipment 
  9,280,062       9,280,062  
Leasehold improvements
1,797,245     1,797,245  
    11,077,307       11,077,307  
Less accumulated depreciation and amortization 
10,648,191     10,494,840  
Net fixed assets   429,116       582,467  
Deferred tax assets -     108,119  
Marketable securities, long-term 40,777,322     43,606,495  
Right-of-use asset – operating lease 752,861     816,358  
Total assets $ 75,497,585     $ 79,498,150  
 
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities
Accounts payable
$ 154,566     $ 186,993  
Accrued payroll and other
424,957     482,074  
Operating lease
113,666     127,134  
Total current liabilities   693,189       796,201  
Deferred tax liabilities   141,990       -  
Operating lease 644,987     706,600  
Total liabilities 1,480,166     1,502,801  
 
Shareholders’ equity
Common stock
  48,332       48,350  
Additional paid-in capital
  19,329,577       19,383,956  
Accumulated other comprehensive income
  1,628,861       516,523  
Retained earnings
53,010,649     58,046,520  
Total shareholders’ equity 74,017,419     77,995,349  
Total liabilities and shareholders’ equity $ 75,497,585     $ 79,498,150