NVE (NVEC) 10-Q 17 Jan 18 2018 Q3 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	9 Months Ended
	Dec. 31, 2017	Jan. 12, 2018
Document Information [Line Items]
Entity Registrant Name	NVE CORP /NEW/
Entity Central Index Key	724,910
Trading Symbol	nvec
Current Fiscal Year End Date	--03-31
Entity Filer Category	Accelerated Filer
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Well-known Seasoned Issuer	No
Entity Common Stock, Shares Outstanding (in shares)		4,842,010
Document Type	10-Q
Document Period End Date	Dec. 31, 2017
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	Q3
Amendment Flag	false

Balance Sheets (Current Period

Balance Sheets (Current Period Unaudited) - USD ($)	Dec. 31, 2017	Mar. 31, 2017
ASSETS
Cash and cash equivalents	$ 4,728,352	$ 8,199,364
Marketable securities, short-term	18,808,203	19,591,833
Accounts receivable, net of allowance for uncollectible accounts of $15,000	2,165,866	3,436,802
Inventories	3,596,326	3,358,298
Prepaid expenses and other assets	967,958	607,283
Total current assets	30,266,705	35,193,580
Fixed assets
Machinery and equipment	9,504,983	9,007,455
Leasehold improvements	1,751,646	1,644,419
	11,256,629	10,651,874
Less accumulated depreciation and amortization	9,742,050	9,238,626
Net fixed assets	1,514,579	1,413,248
Long-term deferred tax assets	333,023	357,055
Marketable securities, long-term	56,729,730	56,810,923
Total assets	88,844,037	93,774,806
LIABILITIES AND SHAREHOLDERS’ EQUITY
Accounts payable	258,869	376,275
Accrued payroll and other	534,194	576,313
Deferred revenue		142,733
Total current liabilities	793,063	1,095,321
Shareholders’ equity
Common stock, $0.01 par value, 6,000,000 shares authorized; 4,842,010 issued and outstanding as of December 31, 2017 and 4,841,010 issued and outstanding as of March 31, 2017	48,420	48,410
Additional paid-in capital	19,599,298	19,507,348
Accumulated other comprehensive loss	(265,991)	(38,298)
Retained earnings	68,669,247	73,162,025
Total shareholders’ equity	88,050,974	92,679,485
Total liabilities and shareholders’ equity	$ 88,844,037	$ 93,774,806

Balance Sheets (Current Period3

Balance Sheets (Current Period Unaudited) (Parentheticals) - USD ($)	Dec. 31, 2017	Mar. 31, 2017
Allowance for uncollectible accounts	$ 15,000	$ 15,000
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	6,000,000	6,000,000
Common stock, shares issued (in shares)	4,842,010	4,841,010
Common stock, shares outstanding (in shares)	4,842,010	4,841,010

Statements of Income (Unaudited

Statements of Income (Unaudited) - USD ($)	3 Months Ended		9 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2017	Dec. 31, 2016
Revenue
Product sales	$ 6,448,831	$ 7,116,931	$ 19,718,584	$ 19,782,529
Contract research and development	911,958	345,748	2,246,105	1,690,461
Total revenue	7,360,789	7,462,679	21,964,689	21,472,990
Cost of sales	1,657,700	1,502,848	4,809,235	4,628,840
Gross profit	5,703,089	5,959,831	17,155,454	16,844,150
Expenses
Selling, general, and administrative	313,033	384,322	1,060,757	1,117,925
Research and development	852,739	826,816	2,788,968	2,353,372
Total expenses	1,165,772	1,211,138	3,849,725	3,471,297
Income from operations	4,537,317	4,748,693	13,305,729	13,372,853
Interest income	404,665	395,207	1,154,303	1,263,924
Income before taxes	4,941,982	5,143,900	14,460,032	14,636,777
Provision for income taxes	1,370,380	1,660,156	4,429,780	4,715,291
Net income	$ 3,571,602	$ 3,483,744	$ 10,030,252	$ 9,921,486
Net income per share – basic (in dollars per share)	$ 0.74	$ 0.72	$ 2.07	$ 2.05
Net income per share – diluted (in dollars per share)	0.74	0.72	2.07	2.05
Cash dividends declared per common share (in dollars per share)	$ 1	$ 1	$ 3	$ 3
Weighted average shares outstanding
Basic (in shares)	4,841,369	4,836,336	4,841,130	4,835,639
Diluted (in shares)	4,847,290	4,839,777	4,846,036	4,837,815

Statements of Comprehensive Inc

Statements of Comprehensive Income (Unaudited) - USD ($)	3 Months Ended		9 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2017	Dec. 31, 2016
Net income	$ 3,571,602	$ 3,483,744	$ 10,030,252	$ 9,921,486
Unrealized loss from marketable securities, net of tax	(295,458)	(571,862)	(227,693)	(587,068)
Comprehensive income	$ 3,276,144	$ 2,911,882	$ 9,802,559	$ 9,334,418

Statements of Cash Flows (Unaud

Statements of Cash Flows (Unaudited) - USD ($)	9 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
OPERATING ACTIVITIES
Net income	$ 10,030,252	$ 9,921,486
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	726,842	868,218
Stock-based compensation	40,920	22,000
Excess tax deficiencies		293
Deferred income taxes	153,954	(61,076)
Changes in operating assets and liabilities:
Accounts receivable	1,270,936	782,427
Inventories	(238,028)	42,755
Prepaid expenses and other assets	(360,675)	(16,909)
Accounts payable and accrued expenses	(159,525)	162,906
Deferred revenue	(142,733)	(714,805)
Net cash provided by operating activities	11,321,943	11,007,295
INVESTING ACTIVITIES
Purchases of fixed assets	(604,755)	(200,447)
Purchases of marketable securities	(16,256,210)	(11,528,240)
Proceeds from maturities of marketable securities	16,540,000	11,400,000
Net cash used in investing activities	(320,965)	(328,687)
FINANCING ACTIVITIES
Proceeds from sale of common stock	51,040	92,310
Excess tax (deficiencies)		(293)
Payment of dividends to shareholders	(14,523,030)	(14,506,030)
Net cash used in financing activities	(14,471,990)	(14,414,013)
Decrease in cash and cash equivalents	(3,471,012)	(3,735,405)
Cash and cash equivalents at beginning of period	8,199,364	7,534,593
Cash and cash equivalents at end of period	4,728,352	3,799,188
Supplemental disclosures of cash flow information:
Cash paid during the period for income taxes	$ 4,615,019	$ 4,720,000

Note 1 - Description of Busines

Note 1 - Description of Business	9 Months Ended
	Dec. 31, 2017
Notes to Financial Statements
Business Description and Basis of Presentation [Text Block]	NOTE 1

Note 2 - Interim Financial Info

Note 2 - Interim Financial Information	9 Months Ended
	Dec. 31, 2017
Notes to Financial Statements
Quarterly Financial Information [Text Block]	NOTE 2. not 10 March 31, 2017. nine December 31, 2017 not may March 31, 2018.

Note 3 - Recently Issued Accoun

Note 3 - Recently Issued Accounting Standards	9 Months Ended
	Dec. 31, 2017
Notes to Financial Statements
New Accounting Pronouncements and Changes in Accounting Principles [Text Block]	NOTE 3. Accounting Pronouncements Recently Adopted July 2015, No. 2015 11, Simplifying the Measurement of Inventory. 2015 11 first first 2015 11 first not March 2016, No. 2016 09, Compensation—Stock Compensation 2016 09 first March 31, 2018. not Future Accounting Pronouncements May 2014, No. 2014 09, 605, Revenue Recognition 2014 09 two August 2015, No. 2015 14, Revenue from Contracts with Customers: Deferral of the Effective Date 2014 09 one 2014 09 December 15, 2017 2019 not not not not 10 March 31, 2017.

Note 4 - Net Income Per Share

Note 4 - Net Income Per Share	9 Months Ended
	Dec. 31, 2017
Notes to Financial Statements
Earnings Per Share [Text Block]	NOTE 4. 4,000 6,000 nine December 31, 2016 not Quarter Ended Dec. 31 2017 2016 Weighted average common shares outstanding – basic 4,841,369 4,836,336 Dilutive effect of stock options 5,921 3,441 Shares used in computing net income per share – diluted 4,847,290 4,839,777 Nine Months Ended Dec. 31 2017 2016 Weighted average common shares outstanding – basic 4,841,130 4,835,639 Dilutive effect of stock options 4,906 2,176 Shares used in computing net income per share – diluted 4,846,036 4,837,815

Note 5 - Marketable Securities

Note 5 - Marketable Securities	9 Months Ended
	Dec. 31, 2017
Notes to Financial Statements
Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block]	NOTE 5. one one December 31, 2017, Total <1 Year 1 –3 Years 3 –5 Years $ 75,537,933 $ 18,808,203 $ 29,512,416 $ 27,217,314 As of December 31 March 31, 2017, As of December 31, 2017 As of March 31, 2017 Adjusted Gross Unrealized Gross Unrealized Fair Market Adjusted Gross Unrealized Gross Unrealized Fair Market Corporate bonds $ 75,955,697 $ 27,442 $ (445,206 ) $ 75,537,933 $ 75,158,087 $ 187,001 $ (246,935 ) $ 75,098,153 Municipal bonds - - - - 1,304,817 - (214 ) 1,304,603 Total $ 75,955,697 $ 27,442 $ (445,206 ) $ 75,537,933 $ 76,462,904 $ 187,001 $ (247,149 ) $ 76,402,756 Fifteen securities were in unrealized loss positions as of December 31, 2017. December 31 March 31, 2017: Less Than 12 Months 12 Months or Greater Total Fair Market Gross Unrealized Fair Market Gross Unrealized Fair Market Gross Unrealized As of December 31, 2017 Corporate bonds $ 44,282,521 $ (325,912 ) $ 9,224,878 $ (119,294 ) $ 53,507,399 $ (445,206 ) Municipal bonds - - - - - - Total $ 44,282,521 $ (325,912 ) $ 9,224,878 $ (119,294 ) $ 53,507,399 $ (445,206 ) As of March 31, 2017 Corporate bonds $ 32,198,766 $ (246,935 ) $ - $ - $ 32,198,766 $ (246,935 ) Municipal bonds 1,304,603 (214 ) - - 1,304,603 (214 ) Total $ 33,503,369 $ (247,149 ) $ - $ - $ 33,503,369 $ (247,149 ) Three bonds, with a total fair market value of $9,224,878 12 December 31, 2017. 2% Because we expect to recover the cost basis of investments held, we do not December 31, 2017.

Note 6 - Inventories

Note 6 - Inventories	9 Months Ended
	Dec. 31, 2017
Notes to Financial Statements
Inventory Disclosure [Text Block]	NOTE 6. December 31, March 31, 2017 Raw materials $ 1,044,845 $ 786,775 Work in process 1,710,799 1,968,990 Finished goods 840,682 602,533 Total inventories $ 3,596,326 $ 3,358,298

Note 7 - Stock-based Compensati

Note 7 - Stock-based Compensation	9 Months Ended
	Dec. 31, 2017
Notes to Financial Statements
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]	NOTE 7. Stock-based compensation expense was $40,920 st nine 2018 $22,000 first nine 2017. 1,000 2018 2017

Note 8 - Income Taxes

Note 8 - Income Taxes	9 Months Ended
	Dec. 31, 2017
Notes to Financial Statements
Income Tax Disclosure [Text Block]	NOTE 8. The Act “To provide for reconciliation pursuant to titles II and V of the concurrent resolution on the budget for fiscal year 2018” December 22, 2017. January 1, 2018 nine December 31, 2017 one 2018. one $206,693 nine December 31, 2017 December 31, 2017. 32% 29% 2018. We had no December 31, 2017, not 12 December 31, 2017 no 1999 2013 2016

Note 9 - Fair Value Measurement

Note 9 - Fair Value Measurements	9 Months Ended
	Dec. 31, 2017
Notes to Financial Statements
Fair Value Disclosures [Text Block]	NOTE 9. 1 1 1 December 31, 2017. $75,537,933 December 31, 2017 $75,098,153 March 31, 2017. 2 2 no 2 December 31, 2017. one 2 $1,304,603, March 31, 2017. March 31, 2017 3 not 3

Note 10 - Stock Repurchase Prog

Note 10 - Stock Repurchase Program	9 Months Ended
	Dec. 31, 2017
Notes to Financial Statements
Stock Repurchase Plan Disclosure [Text Block]	NOTE 10. January 21, 2009 $2,500,000 August 27, 2015 $5,000,000 not December 31, 2017. $4,540,806 December 31, 2017. may

Note 11 - Subsequent Events

Note 11 - Subsequent Events	9 Months Ended
	Dec. 31, 2017
Notes to Financial Statements
Subsequent Events [Text Block]	NOTE 11. January 17, 2018 $1.00 February 28, 2018 January 29, 2018

Note 4 - Net Income Per Share (

Note 4 - Net Income Per Share (Tables)	9 Months Ended
	Dec. 31, 2017
Notes Tables
Schedule of Weighted Average Number of Shares [Table Text Block]	Quarter Ended Dec. 31 2017 2016 Weighted average common shares outstanding – basic 4,841,369 4,836,336 Dilutive effect of stock options 5,921 3,441 Shares used in computing net income per share – diluted 4,847,290 4,839,777 Nine Months Ended Dec. 31 2017 2016 Weighted average common shares outstanding – basic 4,841,130 4,835,639 Dilutive effect of stock options 4,906 2,176 Shares used in computing net income per share – diluted 4,846,036 4,837,815

Note 5 - Marketable Securities

Note 5 - Marketable Securities (Tables)	9 Months Ended
	Dec. 31, 2017
Notes Tables
Marketable Securities [Table Text Block]	Total <1 Year 1 –3 Years 3 –5 Years $ 75,537,933 $ 18,808,203 $ 29,512,416 $ 27,217,314
Schedule of Available-for-sale Securities Reconciliation [Table Text Block]	As of December 31, 2017 As of March 31, 2017 Adjusted Gross Unrealized Gross Unrealized Fair Market Adjusted Gross Unrealized Gross Unrealized Fair Market Corporate bonds $ 75,955,697 $ 27,442 $ (445,206 ) $ 75,537,933 $ 75,158,087 $ 187,001 $ (246,935 ) $ 75,098,153 Municipal bonds - - - - 1,304,817 - (214 ) 1,304,603 Total $ 75,955,697 $ 27,442 $ (445,206 ) $ 75,537,933 $ 76,462,904 $ 187,001 $ (247,149 ) $ 76,402,756
Schedule of Unrealized Loss on Investments [Table Text Block]	Less Than 12 Months 12 Months or Greater Total Fair Market Gross Unrealized Fair Market Gross Unrealized Fair Market Gross Unrealized As of December 31, 2017 Corporate bonds $ 44,282,521 $ (325,912 ) $ 9,224,878 $ (119,294 ) $ 53,507,399 $ (445,206 ) Municipal bonds - - - - - - Total $ 44,282,521 $ (325,912 ) $ 9,224,878 $ (119,294 ) $ 53,507,399 $ (445,206 ) As of March 31, 2017 Corporate bonds $ 32,198,766 $ (246,935 ) $ - $ - $ 32,198,766 $ (246,935 ) Municipal bonds 1,304,603 (214 ) - - 1,304,603 (214 ) Total $ 33,503,369 $ (247,149 ) $ - $ - $ 33,503,369 $ (247,149 )

Note 6 - Inventories (Tables)

Note 6 - Inventories (Tables)	9 Months Ended
	Dec. 31, 2017
Notes Tables
Schedule of Inventory, Current [Table Text Block]	December 31, March 31, 2017 Raw materials $ 1,044,845 $ 786,775 Work in process 1,710,799 1,968,990 Finished goods 840,682 602,533 Total inventories $ 3,596,326 $ 3,358,298

Note 4 - Net Income Per Share21

Note 4 - Net Income Per Share (Details Textual) - shares	3 Months Ended	9 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Employee Stock Option [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	4,000	6,000

Note 4 - Net Income Per Share -

Note 4 - Net Income Per Share - Components of Common Shares Outstanding (Details) - shares	3 Months Ended		9 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2017	Dec. 31, 2016
Weighted average common shares outstanding – basic (in shares)	4,841,369	4,836,336	4,841,130	4,835,639
Dilutive effect of stock options (in shares)	5,921	3,441	4,906	2,176
Shares used in computing net income per share – diluted (in shares)	4,847,290	4,839,777	4,846,036	4,837,815

Note 5 - Marketable Securitie23

Note 5 - Marketable Securities (Details Textual)	Dec. 31, 2017USD ($)	Mar. 31, 2017USD ($)
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value	$ 9,224,878
Number of Other-than-temporarily Impaired Marketable Securities	0
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions	9,224,878
Corporate Bond Securities [Member]
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value	$ 9,224,878
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year	2

Note 5 - Marketable Securitie24

Note 5 - Marketable Securities - Fair Value of Marketable Securities by Maturity (Details) - USD ($)	Dec. 31, 2017	Mar. 31, 2017
Total	$ 75,537,933	$ 76,402,756
Less than 1 year	18,808,203
1-3 years	29,512,416
3-5 years	$ 27,217,314

Note 5 - Marketable Securitie25

Note 5 - Marketable Securities - Reconciliation of Marketable Securities (Details) - USD ($)	Dec. 31, 2017	Mar. 31, 2017
Adjusted Cost	$ 75,955,697	$ 76,462,904
Gross Unrealized Gains	27,442	187,001
Gross Unrealized Losses	(445,206)	(247,149)
Fair Market Value	75,537,933	76,402,756
Corporate Bond Securities [Member]
Adjusted Cost	75,955,697	75,158,087
Gross Unrealized Gains	27,442	187,001
Gross Unrealized Losses	(445,206)	(246,935)
Fair Market Value	75,537,933	75,098,153
Municipal Bonds [Member]
Adjusted Cost		1,304,817
Gross Unrealized Gains
Gross Unrealized Losses		(214)
Fair Market Value		$ 1,304,603

Note 5 - Marketable Securitie26

Note 5 - Marketable Securities - Securities in a Continuous Loss Position (Details) - USD ($)	9 Months Ended	12 Months Ended
	Dec. 31, 2017	Mar. 31, 2017
Fair market value, less than 12 months	$ 44,282,521	$ 33,503,369
Gross unrealized losses, less than 12 months	(325,912)	(247,149)
Fair market value, greater than 12 months	9,224,878
Gross unrealized losses, greater than 12 months	(119,294)
Total fair market value	53,507,399	33,503,369
Total gross unrealized losses	(445,206)	(247,149)
Corporate Bond Securities [Member]
Fair market value, less than 12 months	44,282,521	32,198,766
Gross unrealized losses, less than 12 months	(325,912)	(246,935)
Fair market value, greater than 12 months	9,224,878
Gross unrealized losses, greater than 12 months	(119,294)
Total fair market value	53,507,399	32,198,766
Total gross unrealized losses	(445,206)	(246,935)
Municipal Bonds [Member]
Fair market value, less than 12 months		1,304,603
Gross unrealized losses, less than 12 months		(214)
Fair market value, greater than 12 months
Gross unrealized losses, greater than 12 months
Total fair market value		1,304,603
Total gross unrealized losses		$ (214)

Note 6 - Inventories - Summary

Note 6 - Inventories - Summary of Inventories (Details) - USD ($)	Dec. 31, 2017	Mar. 31, 2017
Raw materials	$ 1,044,845	$ 786,775
Work in process	1,710,799	1,968,990
Finished goods	840,682	602,533
Total inventories	$ 3,596,326	$ 3,358,298

Note 7 - Stock-based Compensa28

Note 7 - Stock-based Compensation (Details Textual) - USD ($)	9 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Allocated Share-based Compensation Expense	$ 40,920	$ 22,000
Non-employee Director Stock Options [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross	1,000

Note 8 - Income Taxes (Details

Note 8 - Income Taxes (Details Textual) - USD ($)	9 Months Ended	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2018
Income Tax Expense (Benefit), Continuing Operations, Adjustment of Deferred Tax (Asset) Liability	$ 206,693
Effective Income Tax Rate Reconciliation, Percent	32.00%
Unrecognized Tax Benefits	$ 0
Significant Change in Unrecognized Tax Benefits is Reasonably Possible, Amount of Unrecorded Benefit	0
Unrecognized Tax Benefits, Interest on Income Taxes Accrued	$ 0
Open Tax Year	1,999
Earliest Tax Year [Member]
Open Tax Year	2,013
Latest Tax Year [Member]
Open Tax Year	2,016
Scenario, Forecast [Member]
Effective Income Tax Rate Reconciliation, Percent		29.00%

Note 9 - Fair Value Measureme30

Note 9 - Fair Value Measurements (Details Textual) - USD ($)	Dec. 31, 2017	Mar. 31, 2017
Fair Value, Inputs, Level 1 [Member]
Available-for-sale Securities	$ 75,537,933	$ 75,098,153
Fair Value, Inputs, Level 2 [Member]
Available-for-sale Securities	0	$ 1,304,603
Fair Value, Inputs, Level 3 [Member]
Financial and Nonfinancial Liabilities, Fair Value Disclosure	0
Assets, Fair Value Disclosure	$ 0

Note 10 - Stock Repurchase Pr31

Note 10 - Stock Repurchase Program (Details Textual) - USD ($)	3 Months Ended
	Dec. 31, 2017	Aug. 27, 2015	Jan. 21, 2009
Stock Repurchase Program, Authorized Amount			$ 2,500,000
Stock Repurchase Program Authorized Additional Amount		$ 5,000,000
Stock Repurchased and Retired During Period, Value	$ 0
Stock Repurchase Program, Remaining Authorized Repurchase Amount	$ 4,540,806

Note 11 - Subsequent Events (De

Note 11 - Subsequent Events (Details Textual) - $ / shares	Jan. 17, 2018	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2017	Dec. 31, 2016
Common Stock, Dividends, Per Share, Declared		$ 1	$ 1	$ 3	$ 3
Subsequent Event [Member]
Common Stock, Dividends, Per Share, Declared	$ 1
Dividends Payable, Date to be Paid	Feb. 28, 2018
Dividends Payable, Date of Record	Jan. 29, 2018