NVE Corp Reports Y/Y Declines in Earnings and Revenues in Q2

Zacks10-26

NVE Corporation’s NVEC second-quarter fiscal 2025 performance highlights the company's adaptive shift toward research-driven growth amid evolving market conditions. Facing headwinds in product sales, ...

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Facing headwinds in product sales, ...</p>\n\n<a href=\"https://finance.yahoo.com/news/nve-corp-reports-y-y-163600183.html\">Source Link</a>\n\n</div>\n","source":"yahoofinance","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>NVE Corp Reports Y/Y Declines in Earnings and Revenues in Q2</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNVE Corp Reports Y/Y Declines in Earnings and Revenues in Q2\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-10-26 00:36 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://finance.yahoo.com/news/nve-corp-reports-y-y-163600183.html><strong>Zacks</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>NVE Corporation’s NVEC second-quarter fiscal 2025 performance highlights the company's adaptive shift toward research-driven growth amid evolving market conditions. Facing headwinds in product sales, ...</p>\n\n<a href=\"https://finance.yahoo.com/news/nve-corp-reports-y-y-163600183.html\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"NVEC","symbol_name":"NVE Corporation","start_time":0,"source_url":"https://finance.yahoo.com/news/nve-corp-reports-y-y-163600183.html","article_id":"2478395409","we_media_id":null,"thumbnails":["https://s.yimg.com/uu/api/res/1.2/ShfhwtDyA2WzDBKdAL7M8Q--~B/aD00MDA7dz02MzU7YXBwaWQ9eXRhY2h5b24-/https://media.zenfs.com/en/zacks.com/6f2cab89bf2cbad1966358e04258e202"],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2478395409","pubTimestamp":1729874160,"sourceInfo":{"source_id":"yahoofinance","name":"雅虎金融"},"weMediaInfo":null,"summary":"NVE Corporation’s NVEC second-quarter fiscal 2025 performance highlights the company's adaptive shift toward research-driven growth amid evolving market conditions. Facing headwinds in product sales, NVEC has leaned into contract research and development (R&D), capitalizing on partnerships to diversify revenue sources.While operating income was tempered by heightened expenses tied to innovation and overhead, the company’s improved gross margin reflects cost efficiencies in production. Despite a mixed quarter, NVE Corp’s robust cash position, investments in short-term securities and continued dividend commitment underscore its focus on long-term stability and shareholder returns.NVE Corp reported a 15% decline in earnings per diluted share to 83 cents from 98 cents in the previous-year quarter. This drop reflects a challenging market environment and achanging revenue mix.Net income decreased 15% to $4.03 million from $4.72 million in the previous-year period, with a net margin of approx","collect":0,"end_time":0,"defaultTopTitle":"yahoo.com","property":["earning"],"viewcount":null,"language":"en","relate_stocks":{"NVEC":"NVE Corporation"},"translate_title":"NVE Corp报告第二季度盈利和收入同比下降","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"NVEC":1},"content_text":"NVE Corporation’s NVEC second-quarter fiscal 2025 performance highlights the company's adaptive shift toward research-driven growth amid evolving market conditions. Facing headwinds in product sales, NVEC has leaned into contract research and development (R&D), capitalizing on partnerships to diversify revenue sources.\nWhile operating income was tempered by heightened expenses tied to innovation and overhead, the company’s improved gross margin reflects cost efficiencies in production. Despite a mixed quarter, NVE Corp’s robust cash position, investments in short-term securities and continued dividend commitment underscore its focus on long-term stability and shareholder returns.\n\nNVE Corporation Price, Consensus and EPS Surprise\n  \nNVE Corporation price-consensus-eps-surprise-chart | NVE Corporation Quote\n\nQ2 Results\nNVE Corp reported a 15% decline in earnings per diluted share to 83 cents from 98 cents in the previous-year quarter. This drop reflects a challenging market environment and a changing revenue mix.\nTotal quarterly revenues decreased 5% to $6.76 million from $7.13 million in the prior-year quarter.\nThe results were impacted by a significant decline in product sales due to softened demand within NVEC’s target markets. This was partly offset by a substantial rise in contract R&D revenues, underscoring a pivot toward diversified revenue streams.\nProduct Sales vs Contract R&D Growth\nIn NVE Corp’s recent financial report, its two core segments — product sales and contract R&D —demonstrated divergent performance trends.\nProduct sales for NVE Corp, its primary revenue stream, showed a 14% decline to $6.1 million in second-quarter fiscal 2025 from $7.1 million in second-quarter fiscal 2024. This reduction reflects softened demand within NVE’s target markets, likely due to broader economic challenges or shifts within the sectors it serves.\nIn contrast, contract R&D surged 3,950% from $16,154 in the prior-year quarter to $654,257 in the current quarter. This sharp upsurge underscores NVE’s strategic pivot toward innovation-driven partnerships and R&D initiatives.\nProfitability Metrics\nNVE Corp’s profitability metrics for second-quarter fiscal 2025 reflect a mixed performance compared with the prior-year quarter. Gross profit increased 5% to $5.81 million from $5.53 million in second-quarter fiscal 2024, translating to a gross margin of approximately 86%, which moved up from 78% a year ago. A decrease in the cost of sales primarily drove this margin improvement.\nOperating income declined 5% year over year to $4.40 million from $4.62 million, reflecting the impacts of higher expenses in R&D, and selling, general and administrative categories. The 24% year-over-year increase in R&D spending to $0.85 million was driven by ongoing investments in developing advanced spintronic technology.\nNet income decreased 15% to $4.03 million from $4.72 million in the previous-year period, with a net margin of approximately 60% compared with 66% in second-quarter fiscal 2024. The decline aligns with increased expense categories and a 5% year-over-year drop in total revenues. This illustrates that while NVE Corp has maintained a strong gross margin, heightened operational costs and softer revenue weighed on overall net profitability.\nCost Analysis\nCost of sales decreased 41% to $0.95 million from $1.6 million in the year-ago period due to more streamlined production processes and lower manufacturing costs amid reduced product sales volumes.\nHowever, operating expenses rose year over year, driven by a 24% increase in R&D expenses to $0.85 million, reflecting intensified investment in product innovation and contract research capabilities.\nSelling, general and administrative expenses grew 31% year over year to $0.57 million, suggesting higher operational outlays in sales and corporate overhead.\nCash, Cash Equivalents & Debt\nNVEC’s cash and cash equivalents stood at $3.1 million as of Sept. 30, 2024, down from $10.3 million as of Mar 31, 2024. Meanwhile, short-term marketable securities rose substantially to $19.8 million from $11.9 million in March 2024, signaling a strategy shift toward higher-yielding short-term investments.\nNotably, NVE Corp has no debt obligations, preserving its financial flexibility amid an evolving operating environment.\nOther Developments\nNVE’s board declared a quarterly dividend of $1 per share, underscoring confidence in its cash-generative capacity despite declining revenues. The dividend, payable Nov. 29, 2024, to shareholders of record as of Nov. 4, 2024, aligns with its policy of returning value to shareholders.\nWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report\nNVE Corporation (NVEC) : Free Stock Analysis Report\nTo read this article on Zacks.com click here.\nZacks Investment Research","kind":null,"is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"symbols":[],"gpt_button":1},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.29.1","shortVersion":"4.29.1","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2478395409"}