NVE Corporation Reports $25.9 Million Revenue for Fiscal Year Ending March 31, 2025

NVE Corporation reported a total revenue of $25.9 million for the fiscal year ending March 31, 2025, reflecting a 13% decrease from $29.8 million in the previous fiscal year. This decline was primarily driven by a 16% drop in product sales, which amounted to $24.6 million, attributed to reduced purchases from existing customers. However, the company experienced a significant increase in contract research and development revenue, which surged by 112% to $1.2 million, thanks to new contracts secured during the fiscal year. Despite the overall revenue decline, gross profit as a percentage of revenue improved to 84%, up from 77% in the prior year, due to a more favorable product mix and a higher proportion of direct sales.

Total expenses rose by 25% to $5.6 million, influenced by a 33% increase in research and development costs, which reached $3.6 million, as the company intensified its focus on new product development. Selling, general, and administrative expenses also increased by 13% to $2.0 million, primarily due to heightened sales and marketing efforts. As a result, net income decreased by 12% to $15.1 million, compared to $17.1 million in the previous year, reflecting the impact of decreased revenue and increased operating expenses.

In terms of operational developments, NVE Corporation maintained a workforce of 42 employees as of March 31, 2025, with no contingent workers. The company has been actively expanding its product offerings, launching several new products including high-sensitivity ultraminiature sensors and advanced position sensors. Additionally, NVE is focusing on long-term development programs for ultrahigh-sensitivity TMR sensors and next-generation MRAM technology. The company continues to rely on a small number of major customers, with two customers accounting for a significant portion of its revenue.

Looking ahead, NVE Corporation plans to increase its fixed asset purchases significantly in fiscal 2026, with an estimated investment between $2 million and $3 million to enhance production capacity and support new product development. The company also declared a quarterly cash dividend of $1.00 per share, amounting to approximately $4.8 million, to be paid on May 30, 2025. This dividend reflects the company's ongoing commitment to returning capital to shareholders, although future dividends will be subject to board approval and dependent on various factors including operational performance and market conditions.