Northern Technologies International (NTIC) 10-Q 10 Jan 14 2014 Q1 Quarterly report Financial data

Document_And_Entity_Informatio

Document And Entity Information	3 Months Ended
	Nov. 30, 2013	Jan. 08, 2014
Document and Entity Information [Abstract]	'	'
Entity Registrant Name	'Northern Technologies International Corporation	'
Document Type	'10-Q	'
Current Fiscal Year End Date	'--08-31	'
Entity Common Stock, Shares Outstanding	'	4,434,837
Amendment Flag	'false	'
Entity Central Index Key	'0000875582	'
Entity Current Reporting Status	'Yes	'
Entity Voluntary Filers	'No	'
Entity Filer Category	'Smaller Reporting Company	'
Entity Well-known Seasoned Issuer	'No	'
Document Period End Date	30-Nov-13	'
Document Fiscal Year Focus	'2014	'
Document Fiscal Period Focus	'Q1	'

Consolidated_Balance_Sheets_Cu

Consolidated Balance Sheets (Current Period Unaudited) (USD $)	Nov. 30, 2013	Aug. 31, 2013
CURRENT ASSETS:	'	'
Cash and cash equivalents	$3,907,371	$4,314,258
Trade excluding joint ventures, less allowance for doubtful accounts of $30,000 at November 30, 2013 and $20,000 at August 31, 2013	3,627,987	3,329,995
Trade joint ventures	746,565	859,434
Fees for services provided to joint ventures	2,820,362	2,446,017
Income taxes	93,040	144,939
Inventories	5,429,207	5,111,549
Prepaid expenses	552,796	258,765
Deferred income taxes	467,548	467,548
Total current assets	17,644,876	16,932,505
PROPERTY AND EQUIPMENT, NET	5,372,969	5,323,612
OTHER ASSETS:	'	'
Investments in joint ventures	26,628,577	24,702,981
Deferred income taxes	1,034,212	1,034,212
Patents and trademarks, net	1,097,372	1,060,639
Total other assets	28,760,161	26,797,832
Total assets	51,778,006	49,053,949
CURRENT LIABILITIES:	'	'
Current portion of note payable (Note 7)	76,119	76,119
Accounts payable	2,381,805	1,830,729
Accrued liabilities:	'	'
Payroll and related benefits	1,676,394	1,277,942
Deferred joint venture royalties	288,000	288,000
Other	'	189,263
Total current liabilities	4,422,318	3,662,053
NOTE PAYABLE, NET OF CURRENT PORTION (Note 7)	838,265	857,295
COMMITMENTS AND CONTINGENCIES (Note 13)	'	'
EQUITY:	'	'
Preferred stock, no par value; authorized 10,000 shares; none issued and outstanding	0	0
Common stock, $0.02 par value per share; authorized 10,000,000 shares; issued and outstanding 4,434,837 and 4,432,036, respectively	88,697	88,641
Additional paid-in capital	11,858,718	11,701,942
Retained earnings	29,485,513	28,626,928
Accumulated other comprehensive income	824,967	316,161
Stockholders’ equity	42,257,895	40,733,672
Non-controlling interest	4,259,528	3,800,929
Total equity	46,517,423	44,534,601
Total liabilities and equity	$51,778,006	$49,053,949

Consolidated_Balance_Sheets_Cu1

Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) (USD $)	Nov. 30, 2013	Aug. 31, 2013
Trade, allowance (in Dollars)	$30,000	$20,000
Preferred stock, par value (in Dollars per share)	$0	$0
Preferred stock, shares authorized	10,000	10,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock par value (in Dollars per share)	$0.02	$0.02
Common stock, shares authorized	10,000,000	10,000,000
Common stock, shares issued	4,434,837	4,432,036
Common stock, shares outstanding	4,434,837	4,432,036

Consolidated_Statements_of_Ope

Consolidated Statements of Operations (Unaudited) (USD $)	3 Months Ended
	Nov. 30, 2013	Nov. 30, 2012
NET SALES:	'	'
Net sales, excluding joint ventures	$5,605,018	$4,770,387
Net sales, to joint ventures	704,082	521,360
Total net sales	6,309,100	5,291,747
Cost of goods sold	4,158,031	3,690,972
Gross profit	2,151,069	1,600,775
JOINT VENTURE OPERATIONS:	'	'
Equity in income of joint ventures	1,427,748	1,154,296
Fees for services provided to joint ventures	2,109,648	1,846,277
Total joint venture operations	3,537,396	3,000,573
OPERATING EXPENSES:	'	'
Selling expenses	1,318,886	1,171,095
General and administrative expenses	1,387,496	1,248,696
Expenses incurred in support of joint ventures	329,264	369,687
Research and development expenses	1,138,520	938,206
Total operating expenses	4,174,166	3,727,684
OPERATING INCOME	1,514,299	873,664
INTEREST INCOME	1,789	25,346
INTEREST EXPENSE	-13,670	-6,474
INCOME BEFORE INCOME TAX EXPENSE	1,502,418	892,536
INCOME TAX EXPENSE	198,000	134,000
NET INCOME	1,304,418	758,536
NET INCOME ATTRIBUTABLE TO NON-CONTROLLING INTEREST	445,832	368,914
NET INCOME ATTRIBUTABLE TO NTIC	$858,586	$389,622
NET INCOME ATTRIBUTABLE TO NTIC PER COMMON SHARE:	'	'
Basic (in Dollars per share)	$0.19	$0.09
Diluted (in Dollars per share)	$0.19	$0.09
WEIGHTED AVERAGE COMMON SHARES ASSUMED OUTSTANDING:	'	'
Basic (in Shares)	4,434,770	4,406,205
Diluted (in Shares)	4,552,669	4,440,436

Consolidated_Statements_of_Com

Consolidated Statements of Comprehensive Income (Unaudited) (USD $)	3 Months Ended
	Nov. 30, 2013	Nov. 30, 2012
NET INCOME	$1,304,418	$758,536
OTHER COMPREHENSIVE INCOME – FOREIGN CURRENCY TRANSLATION ADJUSTMENT	521,573	421,185
COMPREHENSIVE INCOME	1,825,991	1,179,721
COMPREHENSIVE INCOME ATTRIBUTABLE TO NON-CONTROLLING INTERESTS	458,599	403,435
COMPREHENSIVE INCOME ATTRIBUTABLE TO NTIC	$1,367,392	$776,286

Consolidated_Statements_of_Cas

Consolidated Statements of Cash Flows (Unaudited) (USD $)	3 Months Ended
	Nov. 30, 2013	Nov. 30, 2012
CASH FLOWS FROM OPERATING ACTIVITIES:	'	'
Net income	$1,304,418	$758,536
Adjustments to reconcile net income to net cash used in operating activities:	'	'
Expensing of fair value of stock options vested	127,927	43,393
Depreciation expense	116,690	105,688
Amortization expense	21,434	17,445
Loss on disposal of assets	2,178	'
Loss on impairment of joint venture	50,000	'
Equity in income from joint ventures	-1,427,748	-1,154,296
Increase in allowance for doubtful accounts	10,000	'
Receivables:	'	'
Trade, excluding joint ventures	-302,098	-205,361
Trade, joint ventures	112,869	-207,957
Fees for services provided to joint ventures	-374,345	330,564
Income taxes	52,837	-196,635
Inventories	-309,071	-865,175
Prepaid expenses and other	-293,493	-151,029
Accounts payable	546,639	24,296
Income tax payable	320	4,191
Accrued liabilities	203,699	22,201
Net cash used in operating activities	-207,744	-1,474,140
CASH FLOWS FROM INVESTING ACTIVITIES:	'	'
Dividends received from joint ventures	12,500	2,676,337
Additions to property and equipment	-166,299	-67,165
Effect of NTI Asean consolidation on cash	'	1,612,768
Additions to patents	-58,639	-68,665
Net cash (used in) provided by investing activities	-212,438	4,153,275
CASH FLOWS FROM FINANCING ACTIVITIES:	'	'
Repayment of note payable	-19,030	-19,030
Dividend received by non-controlling interest	'	-72,842
Proceeds from employee stock purchase plan	21,255	28,938
Proceeds from exercise of stock options	7,650	102,815
Net cash provided by financing activities	9,875	39,881
EFFECT OF EXCHANGE RATE CHANGES ON CASH:	3,420	-37,527
NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS	-406,887	2,681,489
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD	4,314,258	4,137,547
CASH AND CASH EQUIVALENTS AT END OF PERIOD	$3,907,371	$6,819,036

Note_1_Interim_Financial_Infor

Note 1 - Interim Financial Information	3 Months Ended
	Nov. 30, 2013
Disclosure Text Block [Abstract]	'
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block]	'
	1.	INTERIM FINANCIAL INFORMATION
	In the opinion of management, the accompanying unaudited consolidated financial statements contain all necessary adjustments, which are of a normal recurring nature, and present fairly the consolidated financial position of Northern Technologies International Corporation and its subsidiaries (the Company) as of November 30, 2013 and August 31, 2013 and the results of their operations for the three months ended November 30, 2013 and 2012 and their cash flows for the three months ended November 30, 2013 and 2012, in conformity with accounting principles generally accepted in the United States of America (U.S. GAAP).
	These consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes contained in the Company’s annual report on Form 10-K for the fiscal year ended August 31, 2013.  These consolidated financial statements also should be read in conjunction with the “Management’s Discussion and Analysis of Financial Condition and Results of Operations” section appearing in this report.
	Operating results for the three months ended November 30, 2013 are not necessarily indicative of the results that may be expected for the full fiscal year ending August 31, 2014.
	The Company evaluates events occurring after the date of the consolidated financial statements requiring recording or disclosure in the consolidated financial statements.

Note_2_Recently_Issued_Account

Note 2 - Recently Issued Accounting Pronouncements	3 Months Ended
	Nov. 30, 2013
New Accounting Pronouncements and Changes in Accounting Principles [Abstract]	'
New Accounting Pronouncements and Changes in Accounting Principles [Text Block]	'
	2.	RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS
	In March 2013, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2013-05, “Parent’s Accounting for the Cumulative Translation Adjustment upon Derecognition of Certain Subsidiaries or Groups of Assets within a Foreign Entity or of an Investment in a Foreign Entity” (“ASU 2013-05”), which resolves diversity in practice regarding the release of the cumulative translation adjustment into net income when a parent either sells a part or all of its investment in a foreign entity or no longer holds a controlling financial interest in a subsidiary or group of assets within a foreign entity. The amendments in ASU 2013-05 are effective prospectively for fiscal years, and interim periods within those years, beginning after December 15, 2013. Early adoption is permitted. The adoption of ASU 2013-05 will not have a material impact on the Company’s financial position or results of operations.
	In July 2013, the FASB issued ASU No. 2013-11: Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists, which requires unrecognized tax benefits to be presented as a decrease in a net operating loss, similar tax loss or tax credit carryforward if certain criteria are met. The ASU is effective for fiscal years, and interim periods within those years, beginning after December 15, 2013. The adoption of ASU 2013-11 is not expected to have a material impact on the Company’s consolidated financial statements during fiscal 2014.

Note_3_Inventories

Note 3 - Inventories	3 Months Ended
	Nov. 30, 2013
Inventory Disclosure [Abstract]	'
Inventory Disclosure [Text Block]	'
	3.	INVENTORIES
	Inventories consisted of the following:
			30-Nov-13		31-Aug-13
	Production materials		$	1,462,617	$	1,096,693
	Finished goods			3,966,590		4,014,856
			$	5,429,207	$	5,111,549

Note_4_Property_and_Equipment_

Note 4 - Property and Equipment, Net	3 Months Ended
	Nov. 30, 2013
Property, Plant and Equipment [Abstract]	'
Property, Plant and Equipment Disclosure [Text Block]	'
	4.	PROPERTY AND EQUIPMENT, NET
	Property and equipment, net consisted of the following:
			30-Nov-13			31-Aug-13
	Land		$	310,365		$	310,365
	Buildings and improvements			4,751,404			4,613,879
	Machinery and equipment			3,216,738			3,189,671
				8,278,507			8,113,915
	Less accumulated depreciation			(2,905,538	)		(2,790,303	)
			$	5,372,969		$	5,323,612

Note_5_Patents_and_Trademarks_

Note 5 - Patents and Trademarks, Net	3 Months Ended
	Nov. 30, 2013
Disclosure Text Block [Abstract]	'
Intangible Assets Disclosure [Text Block]	'
	5.	PATENTS AND TRADEMARKS, NET
	Patents and trademarks, net consisted of the following:
			30-Nov-13			31-Aug-13
	Patents and trademarks		$	2,122,294		$	2,064,128
	Less accumulated amortization			(1,024,922	)		(1,003,489	)
			$	1,097,372		$	1,060,639
	Patent and trademark costs are amortized over seven years.  Costs incurred related to patents and trademarks are capitalized until filed and approved, at which time the amounts capitalized to date are amortized and any further costs, including maintenance costs, are expensed as incurred.  Amortization expense is estimated to approximate $80,000 in each of the next five fiscal years.

Note_6_Investments_in_Joint_Ve

Note 6 - Investments in Joint Ventures	3 Months Ended
	Nov. 30, 2013
Equity Method Investments and Joint Ventures [Abstract]	'
Equity Method Investments and Joint Ventures Disclosure [Text Block]	'
	6.	INVESTMENTS IN JOINT VENTURES
	The financial statements of the Company’s foreign joint ventures are initially prepared using the accounting principles accepted in the respective joint ventures’ countries of domicile.  Amounts related to foreign joint ventures reported in the below tables and the accompanying consolidated financial statements have subsequently been adjusted to approximate U.S. GAAP in all material respects.  All material profits recorded on sales from the Company to its joint ventures of goods that remain in inventory, have been eliminated for financial reporting purposes.
	Financial information from the audited and unaudited financial statements of the Company’s joint venture in Germany, Excor Korrosionsschutz – Technologien und Produkte GmbH (EXCOR), joint venture in China and all of the Company’s other joint ventures, are summarized as follows:
			At November 30, 2013
			Total		EXCOR		China		All Other
	Current assets		$	69,537,387	$	28,620,328	$	13,276,704	$	27,640,355
	Total assets			75,031,656		31,073,588		13,300,849		30,657,219
	Current liabilities			18,698,770		3,679,090		4,819,611		10,200,069
	Noncurrent liabilities			2,649,141		—		875,652		1,773,489
	Joint ventures’ equity			53,683,746		27,394,498		7,605,586		18,683,661
	Northern Technologies International Corporation’s share of joint ventures’ equity			26,628,577		13,697,250		3,802,793		9,128,534
	Northern Technologies International Corporation’s share of joint ventures’ undistributed earnings		$	24,654,443	$	13,666,345	$	3,752,793	$	7,235,305
			At August 31, 2013
			Total		EXCOR		China		All Other
	Current assets		$	63,052,410	$	25,955,136	$	11,200,355	$	25,896,919
	Total assets			68,417,142		28,391,787		11,226,755		28,798,600
	Current liabilities			16,107,597		3,572,004		3,080,118		9,455,475
	Noncurrent liabilities			2,488,057		—		871,886		1,616,171
	Joint ventures’ equity			49,821,488		24,819,783		7,274,751		17,726,954
	Northern Technologies International Corporation’s share of joint ventures’ equity			24,702,981		12,409,893		3,637,375		8,655,713
	Northern Technologies International Corporation’s share of joint ventures’ undistributed earnings		$	22,281,510	$	12,378,988	$	3,587,375	$	6,315,147
			Three Months Ended November 30, 2013
			Total		EXCOR		China		All Other
	Net sales		$	29,661,218	$	9,476,403	$	4,294,138	$	15,890,677
	Gross profit			14,166,070		5,063,662		2,016,809		7,085,599
	Net income			2,837,565		1,853,307		298,708		685,550
	Northern Technologies International Corporation’s share of equity in income of joint ventures		$	1,427,748	$	926,654	$	149,354	$	351,740
			Three Months Ended November 30, 2012
			Total		EXCOR		China		All Other
	Net sales		$	27,524,934	$	8,609,463	$	3,568,798	$	15,346,673
	Gross profit			13,127,067		4,434,290		1,730,402		6,962,375
	Net income			2,440,560		1,570,374		294,003		576,183
	Northern Technologies International Corporation’s share of equity in income of joint ventures		$	1,154,296	$	785,187	$	147,001	$	222,108
	The Company records expenses that are directly attributable to the joint ventures on its consolidated statements of operations in the line item “Expenses incurred in support of joint ventures.”  The expenses include items such as employee compensation and benefit expenses, travel expense and consulting expense.
	The Company did not make any joint venture investments during the three months ended November 30, 2013 and 2012.
	On November 30, 2013, the Company agreed to sell its indirect ownership interest in Mütec GmbH (“Mütec”), one of the Company’s joint ventures in Germany which manufactures proprietary electronic sensing instruments.  Since the purchase price paid to the Company was less than the book value of the Company’s investment in Mütec, the Company recognized a $50,000 impairment charge during the three months ended November 30, 2013, which is included in the consolidated statements of operations in the line item “Equity income of joint ventures.”  In connection with the transaction, the owner of Mütec borrowed $168,000 from the Company to be repaid over the next four years with no interest.

Note_7_Corporate_Debt

Note 7 - Corporate Debt	3 Months Ended
	Nov. 30, 2013
Debt Disclosure [Abstract]	'
Debt Disclosure [Text Block]	'
	7.	CORPORATE DEBT
	As of November 30, 2013, Northern Technologies Holding Company, LLC (NTI LLC) had a term loan with a principal amount of $914,384 outstanding that NTI LLC obtained from PNC Bank, National Association (PNC Bank) in connection with the purchase of NTIC’s corporate headquarters in September 2006.  As described in more detail in Note 15, this term loan was repaid in full on January 3, 2014.
	The Company has a revolving line of credit with PNC Bank of $3,000,000.  No amounts were outstanding under the line of credit as of both November 30, 2013 and August 31, 2013.  At the option of the Company, outstanding advances under the line of credit bear interest at either (a) an annual rate based on LIBOR plus 2.15% for the applicable LIBOR interest period selected by the Company or (b) at the rate publicly announced by PNC Bank from time to time as its prime rate. Interest is payable in arrears (a) for the portion of advances bearing interest under the prime rate on the last day of each month during the term thereof and (b) for the portion of advances bearing interest under the LIBOR option on the last day of the respective LIBOR interest period selected for such advance.  Any unpaid interest is payable on the maturity date.  As of November 30, 2013, the interest rate was 2.99% and the weighted average rate was 3.06% for the three months ended November 30, 2013.  As of November 30, 2012, the interest rate was 3.03% and the weighted average rate was 3.11% for the three months ended November 30, 2012.  The revolving line of credit is secured by cash, receivables and inventory.
	The line of credit is governed under a loan agreement, which contains standard covenants, including affirmative financial covenants, such as the maintenance of a minimum fixed charge coverage ratio, and negative covenants, which, among other things, limit the incurrence of additional indebtedness, loans and equity investments, disposition of assets, mergers and consolidations and other matters customarily restricted in such agreements.  Under the loan agreement, the Company is subject to a minimum fixed charge coverage ratio of 1.10:1.00.  As of November 30, 2013, the Company was in compliance with all debt covenants.
	On December 31, 2013, PNC Bank extended the maturity date of the line of credit from January 8, 2014 to January 7, 2015.  All other terms of the line of credit and the loan agreement and other documents evidencing the line of credit remain the same.

Note_8_Stockholders_Equity

Note 8 - Stockholders' Equity	3 Months Ended
	Nov. 30, 2013
Stockholders' Equity Note [Abstract]	'
Stockholders' Equity Note Disclosure [Text Block]	'
	8.	STOCKHOLDERS’ EQUITY
	During the three months ended November 30, 2013, the Company did not purchase or retire any shares of its common stock.  The following stock options to purchase shares of common stock were exercised during the three months ended November 30, 2013:
		Options Exercised	Exercise Price
		1,000	$        7.65
	The Company granted stock options under the Northern Technologies International Corporation Amended and Restated 2007 Stock Incentive Plan (the 2007 Plan) to purchase an aggregate of 56,373 shares of its common stock to various employees and directors during the three months ended November 30, 2013.  The weighted average per share exercise price of the stock options is $14.83, which is equal to the fair market value of the Company’s common stock on the date of grant.
	During the three months ended November 30, 2012, the Company did not purchase or retire any shares of its common stock.  The following stock options to purchase shares of common stock were exercised during the three months ended November 30, 2012:
		Options Exercised	Exercise Price
		25,140	$        9.95
		1,734	7.65
	The Company granted stock options under the 2007 Plan to purchase an aggregate of 118,294 shares of its common stock to various employees and directors during the three months ended November 30, 2012.  The weighted average per share exercise price of the stock options is $10.25, which is equal to the fair market value of the Company’s common stock on the date of grant.

Note_9_Net_Income_Per_Common_S

Note 9 - Net Income Per Common Share	3 Months Ended
	Nov. 30, 2013
Earnings Per Share [Abstract]	'
Earnings Per Share [Text Block]	'
	9.	NET INCOME PER COMMON SHARE
	Basic net income per common share is computed by dividing net income by the weighted average number of common shares outstanding.  Diluted net income per share assumes the exercise of stock options using the treasury stock method, if dilutive.
	No options to purchase shares of common stock were excluded from the computation of common share equivalents for the three months ended November 30, 2013, as the exercise prices of such options were greater than market price of a share of common stock.  Options to purchase shares of common stock of 48,000 were excluded from the computation of common share equivalents for the three months ended November 30, 2012, as the exercise prices of such options were greater than market price of a share of common stock.
	The following is a reconciliation of the earnings per share computation for the three months ended November 30, 2013 and 2012:
			Three Months Ended
	Numerator:		30-Nov-13		30-Nov-12
	Net income attributable to NTIC		$	858,586	$	389,622
	Denominator:
	Basic – weighted shares outstanding			4,434,770		4,406,205
	Weighted shares assumed upon exercise of stock options			117,899		34,231
	Diluted – weighted shares outstanding			4,552,669		4,440,436
	Basic earnings per share:		$	0.19	$	0.09
	Diluted earnings per share:		$	0.19	$	0.09
	The dilutive impact summarized above relates to the periods when the average market price of the Company’s common stock exceeded the exercise price of the potentially dilutive option securities granted.  Earnings per common share were based on the weighted average number of common shares outstanding during the periods when computing the basic earnings per share.  When dilutive, stock options are included as equivalents using the treasury stock market method when computing the diluted earnings per share.

Note_10_StockBased_Compensatio

Note 10 - Stock-Based Compensation	3 Months Ended
	Nov. 30, 2013
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]	'
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]	'
	10.	STOCK-BASED COMPENSATION
	The Company has two stock-based compensation plans under which stock options and other stock-based awards have been granted, including the Northern Technologies International Corporation Amended and Restated 2007 Stock Incentive Plan and the Northern Technologies International Corporation Employee Stock Purchase Plan (the ESPP).  The Compensation Committee of the Board of Directors and the Board of Directors administers these plans.
	The 2007 Plan provides for the grant of incentive stock options, non-statutory stock options, stock appreciation rights, restricted stock, stock unit awards, performance awards and stock bonuses to eligible recipients to enable the Company and its subsidiaries to attract and retain qualified individuals through opportunities for equity participation in the Company, and to reward those individuals who contribute to the achievement of the Company’s economic objectives.  Subject to adjustment as provided in the 2007 Plan, up to a maximum of 800,000 shares of the Company’s common stock are issuable under the 2007 Plan.  Options granted under the 2007 Plan generally have a term of five years and become exercisable over a three- or four-year period beginning on the one-year anniversary of the date of grant.  Options are granted at per share exercise prices equal to the market value of the Company’s common stock on the date of grant.  To date, only stock options and stock bonuses have been granted under the 2007 Plan.
	The maximum number of shares of common stock of the Company available for issuance under the ESPP is 100,000 shares, subject to adjustment as provided in the ESPP.  The ESPP provides for six-month offering periods beginning on September 1 and March 1 of each year.  The purchase price of the shares is 90% of the lower of the fair market value of common stock at the beginning or end of the offering period.  This discount may not exceed the maximum discount rate permitted for plans of this type under Section 423 of the Internal Revenue Code of 1986, as amended.  The ESPP is compensatory for financial reporting purposes.
	The Company granted options to purchase an aggregate of 56,373 and 96,294 shares of its common stock during the three months ended November 30, 2013 and 2012, respectively.  The fair value of option grants is determined at date of grant, using the Black-Scholes option pricing model with the assumptions listed below.  The Company recognized compensation expense of $127,927 and $43,393 during the three months ended November 30, 2013 and 2012, respectively, related to the options that vested during such time period.  The stock-based expense recorded reduced after-tax net income per share by $0.03 for the three months ended November 30, 2013 and $0.01 for the three months ended November 30, 2012.  As of November 30, 2013, the total compensation cost for non-vested options not yet recognized in the Company’s consolidated statements of operations was $612,673, net of estimated forfeitures.  Additional stock-based compensation expense of $326,089 is expected through the remainder of fiscal year 2014, and $186,598 and $99,985 is expected to be recognized during fiscal 2015 and fiscal 2016, respectively.  Future option grants will impact the compensation expense recognized.
	The Company currently estimates a ten percent forfeiture rate for stock options and continually reviews this estimate for future periods.
	The fair value of each option grant is estimated on the grant date using the Black-Scholes option-pricing model with the following assumptions and results for the grants:
			November 30,
			2013	2012
	Dividend yield		0.00%		0.00%
	Expected volatility		47.30%		48.00%
	Expected life of option (years)		10	5	-	10
	Average risk-free interest rate		1.36%		0.71%
	The weighted average per share fair value of options granted during the three months ended November 30, 2013 and 2012 was $8.54 and $5.53, respectively.  The weighted average remaining contractual life of the options outstanding as of November 30, 2013 and 2012 was 5.27 years and 4.82 years, respectively.

Note_11_Geographic_And_Segment

Note 11 - Geographic And Segment Information	3 Months Ended
	Nov. 30, 2013
Segment Reporting [Abstract]	'
Segment Reporting Disclosure [Text Block]	'
	11.	GEOGRAPHIC AND SEGMENT INFORMATION
	Net sales by geographic location as a percentage of total consolidated net sales for the three months ended November 30, 2013 and 2012 were as follows:
			Three Months Ended
			30-Nov-13			30-Nov-12
	Inside the U.S.A. to unaffiliated customers			71.1	%		71.2	%
	Outside the U.S.A. to:
	Joint ventures in which the Company is a shareholder directly and indirectly			10.6			15.3
	Unaffiliated customers			18.3			13.5
				100	%		100	%
	Net sales by geographic location are based on the location of the customer.
	Fees for services provided to joint ventures by geographic location as a percentage of total fees for services provided to joint ventures during the three months ended November 30, 2013 and 2012 were as follows:
			Three Months Ended November 30,
			2013			% of Total Fees			2012		% of Total Fees for
						for Services					Services Provided
						Provided to					to Joint Ventures
						Joint Ventures
	China*		$	588,182			27.9	%	$	493,312		26.7	%
	Germany			263,555			12.5	%		242,700		13.1	%
	Japan			173,282			8.2	%		201,981		10.9	%
	Poland			164,567			7.8	%		111,472		6	%
	Korea*			161,424			7.7	%		138,742		7.5	%
	Thailand*			152,558			7.2	%		153,687		8.3	%
	France			128,103			6.1	%		128,502		7	%
	Sweden			109,970			5.2	%		86,992		4.7	%
	Finland			105,202			5	%		87,851		4.8	%
	United Kingdom			74,697			3.5	%		67,058		3.6	%
	Other			188,108			8.9	%		133,980		7.4	%
			$	2,109,648			100	%	$	1,846,277		100	%
	*	Joint venture owned by NTI Asean.
	The following table sets forth the Company’s net sales for the three months ended November 30, 2013 and 2012 by segment:
			Three Months Ended
			30-Nov-13			30-Nov-12
	ZERUST® sales		$	5,749,013		$	4,795,283
	Natur-Tec® sales			560,087			496,464
	Total Net sales		$	6,309,100		$	5,291,747
	The following table sets forth the Company’s cost of goods sold for the three months ended November 30, 2013 and 2012 by segment:
			November 30,			% of			November 30,		% of
			2013			Product			2012		Product
						Sales*					Sales*
	Direct cost of goods sold
	ZERUST®		$	3,081,764			53.6	%	$	2,644,295		55.1	%
	Natur-Tec®			449,464			80.3	%		439,673		88.6	%
	Indirect cost of goods sold			626,803		NA				607,004	NA
	Total net cost of goods sold		$	4,158,031					$	3,690,972
	*	The percent of segment sales is calculated by dividing the direct cost of goods sold for each individual segment category by the net sales for each segment category.
	The Company utilizes product net sales and direct and indirect cost of goods sold for each product in reviewing the financial performance of a product type.  Further allocation of Company expenses or assets, aside from amounts presented in the tables above, is not utilized in evaluating product performance, nor does such allocation occur for internal financial reporting.
	Sales to the Company’s joint ventures are included in the foregoing geographic and segment information; however, sales by the Company’s joint ventures to other parties are not included.  The foregoing geographic and segment information represents only sales and cost of goods sold recognized directly by the Company.
	The geographical distribution of key financial statement data is as follows:
			At November 30,			At August 31,
			2013			2013
	Brazil		$	1,538,423		$	1,419,543
	North America		$	50,239,583		$	47,634,406
	Total assets		$	51,778,006		$	49,053,949
			Three Months Ended
			November 30,			November 30,
			2013			2012
	Brazil		$	602,362		$	551,814
	North America			5,706,738			4,739,933
	Total Net sales		$	6,309,100		$	5,291,747
			Three Months Ended
			November 30,			November 30,
			2013			2012
	Brazil		$	(56,809	)	$	(23,148	)
North America			1,571,109			896,812
Total operating income		$	1,514,299		$	873,664
Total assets located in Brazil primarily consist of cash and cash equivalents, customer receivables and inventory.  These assets are periodically reviewed to assure the net realizable value from the estimated future production based on forecasted sales exceeds the carrying value of the assets.

Note_12_Research_and_Developme

Note 12 - Research and Development	3 Months Ended
	Nov. 30, 2013
Research and Development [Abstract]	'
Research, Development, and Computer Software Disclosure [Text Block]	'
	12.	RESEARCH AND DEVELOPMENT
	The Company expenses all costs related to product research and development as incurred.  The Company incurred $1,138,520 and $938,206 of expense during the three months ended November 30, 2013 and 2012, respectively, in connection with its research and development activities.  These amounts are net of reimbursements related to certain research and development contracts.  Such reimbursements totaled $45,788 and $68,682 for the three months ended November 30, 2013 and 2012, respectively.  The net fees are accounted for in the “Research and Development Expenses” section of the consolidated statements of operations.

Note_13_Commitments_and_Contin

Note 13 - Commitments and Contingencies	3 Months Ended
	Nov. 30, 2013
Commitments and Contingencies Disclosure [Abstract]	'
Commitments and Contingencies Disclosure [Text Block]	'
	13.	COMMITMENTS AND CONTINGENCIES
	On August 22, 2013, the Compensation Committee of the Board of Directors of the Company approved the material terms of an annual bonus plan for the Company’s executive officers as well as certain officers and employees for the fiscal year ending August 31, 2014.  For fiscal 2014 as in past years, the total amount available under the bonus plan for all plan participants, including executive officers, is dependent upon the Company’s earnings before interest, taxes and other income, as adjusted to take into account amounts to be paid under the bonus plan and certain other adjustments (Adjusted EBITOI).  Each plan participant’s percentage of the overall bonus pool is based upon the number of plan participants, the individual’s annual base salary and the individual’s position and level of responsibility within the company.  In the case of each of the Company’s executive officer participants, 75% of the amount of their individual bonus payout will be determined based upon the Company’s actual EBITOI for fiscal 2013 compared to a pre-established target EBITOI for fiscal 2014 and 25% of the payout will be determined based upon such executive officer’s achievement of certain pre-established individual performance objectives.  The payment of bonuses under the plan are discretionary and may be paid to executive officer participants in both cash and shares of NTIC common stock, the exact amount and percentages will be determined by the Company’s Board of Directors, upon recommendation of the Compensation Committee, after the completion of the Company’s consolidated financial statements for fiscal 2014.  There was $299,000 for management bonuses accrued for three months ended November 30, 2013 compared to a management bonus accrual of $116,909 for the three months ended November 30, 2012.
	The Company leases property located at 23205 Mercantile Road, Beachwood, Ohio.  Remaining rentals payable under such leases are as follows: fiscal 2014 - $59,500 and thereafter - $0.
	Three joint ventures accounted for 52.4% of the Company’s trade joint venture receivables at November 30, 2013, and two joint ventures accounted for 49.0% of the Company’s trade joint venture receivables at August 31, 2013.
	From time to time, the Company is subject to various claims and legal actions in the ordinary course of its business.  The Company is not currently involved in any legal proceeding in which the Company believes, based on information currently available, that there is a reasonable possibility of a material loss.

Note_14_Fair_Value_Measurement

Note 14 - Fair Value Measurements	3 Months Ended
	Nov. 30, 2013
Disclosure Text Block [Abstract]	'
Fair Value, Measurement Inputs, Disclosure [Text Block]	'
	14	FAIR VALUE MEASUREMENTS
	Assets and liabilities that are measured at fair value on a recurring basis primarily relate to marketable equity securities. These items are marked-to-market at each reporting period.
	The following tables provide information by level for assets and liabilities that are measured at fair value on a recurring basis:
					Fair Value Measurements
					Using Inputs Considered as
			Fair Value as of		Level 1		Level 2		Level 3
			30-Nov-13
	Cash equivalents		$	1,019,000	$	1,019,000	$	—	$	—
					Fair Value Measurements
					Using Inputs Considered as
			Fair Value as of		Level 1		Level 2		Level 3
			31-Aug-13
	Cash equivalents		$	1,020,000	$	1,020,000	$	—	$	—

Note_15_Subsequent_Event

Note 15 - Subsequent Event	3 Months Ended
	Nov. 30, 2013
Subsequent Events [Abstract]	'
Subsequent Events [Text Block]	'
	15.	SUBSEQUENT EVENT
	On January 3, 2014, the Company repaid its term loan from PNC Bank in full.  The Company incurred no pre-payment penalties in connection with such pre-payment of debt.

Note_3_Inventories_Tables

Note 3 - Inventories (Tables)	3 Months Ended
	Nov. 30, 2013
Inventory Disclosure [Abstract]	'
Schedule of Inventory, Current [Table Text Block]	'
		30-Nov-13		31-Aug-13
	Production materials	$	1,462,617	$	1,096,693
	Finished goods		3,966,590		4,014,856
		$	5,429,207	$	5,111,549

Note_4_Property_and_Equipment_1

Note 4 - Property and Equipment, Net (Tables)	3 Months Ended
	Nov. 30, 2013
Property, Plant and Equipment [Abstract]	'
Property, Plant and Equipment [Table Text Block]	'
		30-Nov-13			31-Aug-13
	Land	$	310,365		$	310,365
	Buildings and improvements		4,751,404			4,613,879
	Machinery and equipment		3,216,738			3,189,671
			8,278,507			8,113,915
	Less accumulated depreciation		(2,905,538	)		(2,790,303	)
		$	5,372,969		$	5,323,612

Note_5_Patents_and_Trademarks_1

Note 5 - Patents and Trademarks, Net (Tables)	3 Months Ended
	Nov. 30, 2013
Disclosure Text Block [Abstract]	'
Schedule of Finite-Lived Intangible Assets [Table Text Block]	'
		30-Nov-13			31-Aug-13
	Patents and trademarks	$	2,122,294		$	2,064,128
	Less accumulated amortization		(1,024,922	)		(1,003,489	)
		$	1,097,372		$	1,060,639

Note_6_Investments_in_Joint_Ve1

Note 6 - Investments in Joint Ventures (Tables)	3 Months Ended
	Nov. 30, 2013
Equity Method Investments and Joint Ventures [Abstract]	'
Condensed Balance Sheet [Table Text Block]	'
		At November 30, 2013
		Total		EXCOR		China		All Other
	Current assets	$	69,537,387	$	28,620,328	$	13,276,704	$	27,640,355
	Total assets		75,031,656		31,073,588		13,300,849		30,657,219
	Current liabilities		18,698,770		3,679,090		4,819,611		10,200,069
	Noncurrent liabilities		2,649,141		—		875,652		1,773,489
	Joint ventures’ equity		53,683,746		27,394,498		7,605,586		18,683,661
	Northern Technologies International Corporation’s share of joint ventures’ equity		26,628,577		13,697,250		3,802,793		9,128,534
	Northern Technologies International Corporation’s share of joint ventures’ undistributed earnings	$	24,654,443	$	13,666,345	$	3,752,793	$	7,235,305
		At August 31, 2013
		Total		EXCOR		China		All Other
	Current assets	$	63,052,410	$	25,955,136	$	11,200,355	$	25,896,919
	Total assets		68,417,142		28,391,787		11,226,755		28,798,600
	Current liabilities		16,107,597		3,572,004		3,080,118		9,455,475
	Noncurrent liabilities		2,488,057		—		871,886		1,616,171
	Joint ventures’ equity		49,821,488		24,819,783		7,274,751		17,726,954
	Northern Technologies International Corporation’s share of joint ventures’ equity		24,702,981		12,409,893		3,637,375		8,655,713
	Northern Technologies International Corporation’s share of joint ventures’ undistributed earnings	$	22,281,510	$	12,378,988	$	3,587,375	$	6,315,147
Condensed Income Statement [Table Text Block]	'
		Three Months Ended November 30, 2013
		Total		EXCOR		China		All Other
	Net sales	$	29,661,218	$	9,476,403	$	4,294,138	$	15,890,677
	Gross profit		14,166,070		5,063,662		2,016,809		7,085,599
	Net income		2,837,565		1,853,307		298,708		685,550
	Northern Technologies International Corporation’s share of equity in income of joint ventures	$	1,427,748	$	926,654	$	149,354	$	351,740
		Three Months Ended November 30, 2012
		Total		EXCOR		China		All Other
	Net sales	$	27,524,934	$	8,609,463	$	3,568,798	$	15,346,673
	Gross profit		13,127,067		4,434,290		1,730,402		6,962,375
	Net income		2,440,560		1,570,374		294,003		576,183
	Northern Technologies International Corporation’s share of equity in income of joint ventures	$	1,154,296	$	785,187	$	147,001	$	222,108

Note_8_Stockholders_Equity_Tab

Note 8 - Stockholders' Equity (Tables)	3 Months Ended
	Nov. 30, 2013
Stockholders' Equity Note [Abstract]	'
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block]	'
		Options Exercised	Exercise Price
		1,000	$        7.65
		Options Exercised	Exercise Price
		25,140	$        9.95
		1,734	7.65

Note_9_Net_Income_Per_Common_S1

Note 9 - Net Income Per Common Share (Tables)	3 Months Ended
	Nov. 30, 2013
Earnings Per Share [Abstract]	'
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]	'
		Three Months Ended
	Numerator:	30-Nov-13		30-Nov-12
	Net income attributable to NTIC	$	858,586	$	389,622
	Denominator:
	Basic – weighted shares outstanding		4,434,770		4,406,205
	Weighted shares assumed upon exercise of stock options		117,899		34,231
	Diluted – weighted shares outstanding		4,552,669		4,440,436
	Basic earnings per share:	$	0.19	$	0.09
	Diluted earnings per share:	$	0.19	$	0.09

Note_10_StockBased_Compensatio1

Note 10 - Stock-Based Compensation (Tables)	3 Months Ended
	Nov. 30, 2013
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]	'
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block]	'
		November 30,
		2013	2012
	Dividend yield	0.00%		0.00%
	Expected volatility	47.30%		48.00%
	Expected life of option (years)	10	5	-	10
	Average risk-free interest rate	1.36%		0.71%

Note_11_Geographic_And_Segment1

Note 11 - Geographic And Segment Information (Tables)	3 Months Ended
	Nov. 30, 2013
Note 11 - Geographic And Segment Information (Tables) [Line Items]	'
Schedule of Revenue from External Customers Attributed to Foreign Countries by Geographic Area [Table Text Block]	'
		Three Months Ended
		30-Nov-13			30-Nov-12
	Inside the U.S.A. to unaffiliated customers		71.1	%		71.2	%
	Outside the U.S.A. to:
	Joint ventures in which the Company is a shareholder directly and indirectly		10.6			15.3
	Unaffiliated customers		18.3			13.5
			100	%		100	%
Reconciliation of Revenue from Segments to Consolidated [Table Text Block]	'
		Three Months Ended
		30-Nov-13			30-Nov-12
	ZERUST® sales	$	5,749,013		$	4,795,283
	Natur-Tec® sales		560,087			496,464
	Total Net sales	$	6,309,100		$	5,291,747
Reconciliation of Cost of Good Sold from Segments to Consolidated [Table Text Block]	'
		November 30,			% of			November 30,		% of
		2013			Product			2012		Product
					Sales*					Sales*
	Direct cost of goods sold
	ZERUST®	$	3,081,764			53.6	%	$	2,644,295		55.1	%
	Natur-Tec®		449,464			80.3	%		439,673		88.6	%
	Indirect cost of goods sold		626,803		NA				607,004	NA
	Total net cost of goods sold	$	4,158,031					$	3,690,972
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas [Table Text Block]	'
		At November 30,			At August 31,
		2013			2013
	Brazil	$	1,538,423		$	1,419,543
	North America	$	50,239,583		$	47,634,406
	Total assets	$	51,778,006		$	49,053,949
Schedule of Segment Reporting Information, by Segment [Table Text Block]	'
		Three Months Ended
		November 30,			November 30,
		2013			2012
	Brazil	$	602,362		$	551,814
	North America		5,706,738			4,739,933
	Total Net sales	$	6,309,100		$	5,291,747
		Three Months Ended
		November 30,			November 30,
		2013			2012
	Brazil	$	(56,809	)	$	(23,148	)
	North America		1,571,109			896,812
	Total operating income	$	1,514,299		$	873,664
Fees For Services Provided to Joint Ventures [Member]	'
Note 11 - Geographic And Segment Information (Tables) [Line Items]	'
Reconciliation of Revenue from Segments to Consolidated [Table Text Block]	'
		Three Months Ended November 30,
		2013			% of Total Fees			2012		% of Total Fees for
					for Services					Services Provided
					Provided to					to Joint Ventures
					Joint Ventures
	China*	$	588,182			27.9	%	$	493,312		26.7	%
	Germany		263,555			12.5	%		242,700		13.1	%
	Japan		173,282			8.2	%		201,981		10.9	%
	Poland		164,567			7.8	%		111,472		6	%
	Korea*		161,424			7.7	%		138,742		7.5	%
	Thailand*		152,558			7.2	%		153,687		8.3	%
	France		128,103			6.1	%		128,502		7	%
	Sweden		109,970			5.2	%		86,992		4.7	%
	Finland		105,202			5	%		87,851		4.8	%
	United Kingdom		74,697			3.5	%		67,058		3.6	%
	Other		188,108			8.9	%		133,980		7.4	%
		$	2,109,648			100	%	$	1,846,277		100	%

Note_14_Fair_Value_Measurement1

Note 14 - Fair Value Measurements (Tables)	3 Months Ended
	Nov. 30, 2013
Disclosure Text Block [Abstract]	'
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Table Text Block]	'
				Fair Value Measurements
				Using Inputs Considered as
		Fair Value as of		Level 1		Level 2		Level 3
		30-Nov-13
	Cash equivalents	$	1,019,000	$	1,019,000	$	—	$	—
				Fair Value Measurements
				Using Inputs Considered as
		Fair Value as of		Level 1		Level 2		Level 3
		31-Aug-13
	Cash equivalents	$	1,020,000	$	1,020,000	$	—	$	—

Note_3_Inventories_Details_Inv

Note 3 - Inventories (Details) - Inventories (USD $)	Nov. 30, 2013	Aug. 31, 2013
Inventories [Abstract]	'	'
Production materials	$1,462,617	$1,096,693
Finished goods	3,966,590	4,014,856
	$5,429,207	$5,111,549

Note_4_Property_and_Equipment_2

Note 4 - Property and Equipment, Net (Details) - Components of Property and Equipment, Net (USD $)	Nov. 30, 2013	Aug. 31, 2013
Components of Property and Equipment, Net [Abstract]	'	'
Land	$310,365	$310,365
Buildings and improvements	4,751,404	4,613,879
Machinery and equipment	3,216,738	3,189,671
	8,278,507	8,113,915
Less accumulated depreciation	-2,905,538	-2,790,303
	$5,372,969	$5,323,612

Note_5_Patents_and_Trademarks_2

Note 5 - Patents and Trademarks, Net (Details) (USD $)	3 Months Ended
	Nov. 30, 2013
Note 5 - Patents and Trademarks, Net (Details) [Line Items]	'
Finite-Lived Intangible Assets, Amortization Expense, Next Twelve Months	80,000
Finite-Lived Intangible Assets, Amortization Expense, Year Two	80,000
Finite-Lived Intangible Assets, Amortization Expense, Year Three	80,000
Finite-Lived Intangible Assets, Amortization Expense, Year Four	80,000
Finite-Lived Intangible Assets, Amortization Expense, Year Five	80,000
Patents and Trademarks [Member]	'
Note 5 - Patents and Trademarks, Net (Details) [Line Items]	'
Finite-Lived Intangible Asset, Useful Life	'7 years

Note_5_Patents_and_Trademarks_3

Note 5 - Patents and Trademarks, Net (Details) - Patents and Trademarks, Net (USD $)	Nov. 30, 2013	Aug. 31, 2013
Patents and Trademarks, Net [Abstract]	'	'
Patents and trademarks	$2,122,294	$2,064,128
Less accumulated amortization	-1,024,922	-1,003,489
	$1,097,372	$1,060,639

Note_6_Investments_in_Joint_Ve2

Note 6 - Investments in Joint Ventures (Details) (USD $)	3 Months Ended
	Nov. 30, 2013
Note 6 - Investments in Joint Ventures (Details) [Line Items]	'
Other than Temporary Impairment Losses, Investments	$50,000
Mutec [Member]	'
Note 6 - Investments in Joint Ventures (Details) [Line Items]	'
Other than Temporary Impairment Losses, Investments	50,000
Financing Receivable, Net	$168,000

Note_6_Investments_in_Joint_Ve3

Note 6 - Investments in Joint Ventures (Details) - Condensed Balance Sheet of EXCOR and NTI ASEAN, and All Other Joint Ventures (USD $)	Nov. 30, 2013	Aug. 31, 2013
Condensed Balance Sheet Statements, Captions [Line Items]	'	'
Current assets	$69,537,387	$63,052,410
Total assets	75,031,656	68,417,142
Current liabilities	18,698,770	16,107,597
Noncurrent liabilities	2,649,141	2,488,057
Joint venturesb equity	53,683,746	49,821,488
Northern Technologies International Corporationbs share of joint venturesb equity	26,628,577	24,702,981
Northern Technologies International Corporationbs share of joint venturesb undistributed earnings	24,654,443	22,281,510
EXCOR [Member]	'	'
Condensed Balance Sheet Statements, Captions [Line Items]	'	'
Current assets	28,620,328	25,955,136
Total assets	31,073,588	28,391,787
Current liabilities	3,679,090	3,572,004
Joint venturesb equity	27,394,498	24,819,783
Northern Technologies International Corporationbs share of joint venturesb equity	13,697,250	12,409,893
Northern Technologies International Corporationbs share of joint venturesb undistributed earnings	13,666,345	12,378,988
China [Member]	'	'
Condensed Balance Sheet Statements, Captions [Line Items]	'	'
Current assets	13,276,704	11,200,355
Total assets	13,300,849	11,226,755
Current liabilities	4,819,611	3,080,118
Noncurrent liabilities	875,652	871,886
Joint venturesb equity	7,605,586	7,274,751
Northern Technologies International Corporationbs share of joint venturesb equity	3,802,793	3,637,375
Northern Technologies International Corporationbs share of joint venturesb undistributed earnings	3,752,793	3,587,375
All Other [Member]	'	'
Condensed Balance Sheet Statements, Captions [Line Items]	'	'
Current assets	27,640,355	25,896,919
Total assets	30,657,219	28,798,600
Current liabilities	10,200,069	9,455,475
Noncurrent liabilities	1,773,489	1,616,171
Joint venturesb equity	18,683,661	17,726,954
Northern Technologies International Corporationbs share of joint venturesb equity	9,128,534	8,655,713
Northern Technologies International Corporationbs share of joint venturesb undistributed earnings	$7,235,305	$6,315,147

Note_6_Investments_in_Joint_Ve4

Note 6 - Investments in Joint Ventures (Details) - Condensed Income Statement of EXCOR and NTI ASEAN, and All Other Joint Ventures: (USD $)	3 Months Ended
	Nov. 30, 2013	Nov. 30, 2012
Condensed Income Statements, Captions [Line Items]	'	'
Net sales	$29,661,218	$27,524,934
Gross profit	14,166,070	13,127,067
Net income	2,837,565	2,440,560
Northern Technologies International Corporationbs share of equity in income of joint ventures	1,427,748	1,154,296
EXCOR [Member]	'	'
Condensed Income Statements, Captions [Line Items]	'	'
Net sales	9,476,403	8,609,463
Gross profit	5,063,662	4,434,290
Net income	1,853,307	1,570,374
Northern Technologies International Corporationbs share of equity in income of joint ventures	926,654	785,187
China [Member]	'	'
Condensed Income Statements, Captions [Line Items]	'	'
Net sales	4,294,138	3,568,798
Gross profit	2,016,809	1,730,402
Net income	298,708	294,003
Northern Technologies International Corporationbs share of equity in income of joint ventures	149,354	147,001
All Other [Member]	'	'
Condensed Income Statements, Captions [Line Items]	'	'
Net sales	15,890,677	15,346,673
Gross profit	7,085,599	6,962,375
Net income	685,550	576,183
Northern Technologies International Corporationbs share of equity in income of joint ventures	$351,740	$222,108

Note_7_Corporate_Debt_Details

Note 7 - Corporate Debt (Details) (USD $)	3 Months Ended
	Nov. 30, 2013	Aug. 31, 2013	Nov. 30, 2012
Note 7 - Corporate Debt (Details) [Line Items]	'	'	'
Long-term Debt, Gross (in Dollars)	$914,384	'	'
Term Loan and Line of Credit Agreements "Loan Agreements" [Member]	'	'	'
Note 7 - Corporate Debt (Details) [Line Items]	'	'	'
Debt Instrument, Covenants, Fixed Charge Coverage Ratio	'1.10:1.00	'	'
Revolving Credit Facility [Member]	'	'	'
Note 7 - Corporate Debt (Details) [Line Items]	'	'	'
Line of Credit Facility, Maximum Borrowing Capacity (in Dollars)	3,000,000	'	'
Line of Credit Facility, Amount Outstanding (in Dollars)	$0	$0	'
Debt Instrument, Basis Spread on Variable Rate	2.15%	'	'
Line of Credit Facility, Interest Rate at Period End	2.99%	'	3.03%
Debt, Weighted Average Interest Rate	3.06%	'	3.11%

Note_8_Stockholders_Equity_Det

Note 8 - Stockholders' Equity (Details) (USD $)	3 Months Ended
	Nov. 30, 2013	Nov. 30, 2012
Note 8 - Stockholders' Equity (Details) [Line Items]	'	'
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross (in Shares)	56,373	96,294
2007 Plan [Member]	'	'
Note 8 - Stockholders' Equity (Details) [Line Items]	'	'
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross (in Shares)	56,373	118,294
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price (in Dollars per share)	14.83	10.25

Note_8_Stockholders_Equity_Det1

Note 8 - Stockholders' Equity (Details) - Exercised Stock Options (USD $)	3 Months Ended
	Nov. 30, 2013	Nov. 30, 2012	Nov. 30, 2012
	Exercise 1 [Member]	Exercise 2 [Member]	Exercise 3 [Member]
Note 8 - Stockholders' Equity (Details) - Exercised Stock Options [Line Items]	'	'	'
Options Exercised	1,000	25,140	1,734
Exercise Price (in Dollars per share)	$7.65	$9.95	$7.65

Note_9_Net_Income_Per_Common_S2

Note 9 - Net Income Per Common Share (Details)	3 Months Ended
	Nov. 30, 2013	Nov. 30, 2012
		Employee Stock Option [Member]
Note 9 - Net Income Per Common Share (Details) [Line Items]	'	'
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	0	48,000

Note_9_Net_Income_Per_Common_S3

Note 9 - Net Income Per Common Share (Details) - Reconciliation of the Earnings Per Share Computations (USD $)	3 Months Ended
	Nov. 30, 2013	Nov. 30, 2012
Reconciliation of the Earnings Per Share Computations [Abstract]	'	'
Net income attributable to NTIC (in Dollars)	$858,586	$389,622
Basic b weighted shares outstanding	4,434,770	4,406,205
Weighted shares assumed upon exercise of stock options	117,899	34,231
Diluted b weighted shares outstanding	4,552,669	4,440,436
Basic earnings per share: (in Dollars per share)	$0.19	$0.09
Diluted earnings per share: (in Dollars per share)	$0.19	$0.09

Note_10_StockBased_Compensatio2

Note 10 - Stock-Based Compensation (Details) (USD $)	3 Months Ended
	Nov. 30, 2013	Nov. 30, 2012
Note 10 - Stock-Based Compensation (Details) [Line Items]	'	'
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term	'10 years	'
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross (in Shares)	56,373	96,294
Stock or Unit Option Plan Expense	$127,927	$43,393
Allocated Share-based Compensation Expense, Net of Tax, Per Share (in Dollars per share)	$0.03	$0.01
Allocated Share-based Compensation Expense, Estimate, Remainder of Fiscal Year	326,089	'
Allocated Share-based Compensation Expense, Estimate, Next Fiscal Year	186,598	'
Allocated Share-based Compensation Expense, Estimate, Fiscal Year Two	99,985	'
Estimated Forfeiture Rate For Stock Options	10.00%	'
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value (in Dollars per share)	$8.54	$5.53
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term	'5 years 98 days	'4 years 299 days
Net of Estimated Forfeitures [Member]	'	'
Note 10 - Stock-Based Compensation (Details) [Line Items]	'	'
Employee Service Share-based Compensation, Nonvested Awards, Compensation Not yet Recognized, Stock Options	612,673	'
Employee Stock Option [Member]	'	'
Note 10 - Stock-Based Compensation (Details) [Line Items]	'	'
Stock or Unit Option Plan Expense	$127,927	$43,393
2007 Plan [Member]	'	'
Note 10 - Stock-Based Compensation (Details) [Line Items]	'	'
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized (in Shares)	800,000	'
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term	'5 years	'
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross (in Shares)	56,373	118,294
2007 Plan [Member] | Minimum [Member]	'	'
Note 10 - Stock-Based Compensation (Details) [Line Items]	'	'
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period	'3 years	'
2007 Plan [Member] | Maximum [Member]	'	'
Note 10 - Stock-Based Compensation (Details) [Line Items]	'	'
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period	'4 years	'
ESPP [Member]	'	'
Note 10 - Stock-Based Compensation (Details) [Line Items]	'	'
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized (in Shares)	100,000	'
Share-based Compensation Arrangement by Share-based Payment Award, Discount from Market Price, Offering Date	90.00%	'
Minimum [Member]	'	'
Note 10 - Stock-Based Compensation (Details) [Line Items]	'	'
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term	'	'5 years
Maximum [Member]	'	'
Note 10 - Stock-Based Compensation (Details) [Line Items]	'	'
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term	'	'10 years

Note_10_StockBased_Compensatio3

Note 10 - Stock-Based Compensation (Details) - Black-Scholes Option-Pricing Model Assumptions	3 Months Ended
	Nov. 30, 2013	Nov. 30, 2012
Note 10 - Stock-Based Compensation (Details) - Black-Scholes Option-Pricing Model Assumptions [Line Items]	'	'
Dividend yield	0.00%	0.00%
Expected volatility	47.30%	48.00%
Expected life of option (years)	'10 years	'
Average risk-free interest rate	1.36%	0.71%
Minimum [Member]	'	'
Note 10 - Stock-Based Compensation (Details) - Black-Scholes Option-Pricing Model Assumptions [Line Items]	'	'
Expected life of option (years)	'	'5 years
Maximum [Member]	'	'
Note 10 - Stock-Based Compensation (Details) - Black-Scholes Option-Pricing Model Assumptions [Line Items]	'	'
Expected life of option (years)	'	'10 years

Note_11_Geographic_And_Segment2

Note 11 - Geographic And Segment Information (Details) - Net Sales By Geographic Location as Percentage of Total Consolidated Net Sales (Percentage of Total Consolidated Net Sales [Member])	3 Months Ended
	Nov. 30, 2013	Nov. 30, 2012
Note 11 - Geographic And Segment Information (Details) - Net Sales By Geographic Location as Percentage of Total Consolidated Net Sales [Line Items]	'	'
Net Sales, Percentage	100.00%	100.00%
Inside the U.S.A to Unaffiliated Customers [Member]	'	'
Note 11 - Geographic And Segment Information (Details) - Net Sales By Geographic Location as Percentage of Total Consolidated Net Sales [Line Items]	'	'
Net Sales, Percentage	71.10%	71.20%
Joint Ventures In Which The Company Is A Shareholder Directly And Indirectly - Outside the U.S.A [Member]	'	'
Note 11 - Geographic And Segment Information (Details) - Net Sales By Geographic Location as Percentage of Total Consolidated Net Sales [Line Items]	'	'
Net Sales, Percentage	10.60%	15.30%
Unaffiliated Customers - Outside the U.S.A [Member]	'	'
Note 11 - Geographic And Segment Information (Details) - Net Sales By Geographic Location as Percentage of Total Consolidated Net Sales [Line Items]	'	'
Net Sales, Percentage	18.30%	13.50%

Note_11_Geographic_And_Segment3

Note 11 - Geographic And Segment Information (Details) - Fees For Services Provided to Joint Ventures By Geographic Location as a Percentage of Total Fees for Services Provided to Joint Ventures (USD $)	3 Months Ended
	Nov. 30, 2013		Nov. 30, 2012
Segment Reporting, Revenue Reconciling Item [Line Items]	'		'
Fees for Services Provided to Joint Ventures (in Dollars)	$2,109,648		$1,846,277
Percentage of Total Fees for Services Provided to Joint Ventures	100.00%		100.00%
China [Member]	'		'
Segment Reporting, Revenue Reconciling Item [Line Items]	'		'
Fees for Services Provided to Joint Ventures (in Dollars)	588,182	[1]	493,312	[1]
Percentage of Total Fees for Services Provided to Joint Ventures	27.90%	[1]	26.70%	[1]
Germany [Member]	'		'
Segment Reporting, Revenue Reconciling Item [Line Items]	'		'
Fees for Services Provided to Joint Ventures (in Dollars)	263,555		242,700
Percentage of Total Fees for Services Provided to Joint Ventures	12.50%		13.10%
Japan [Member]	'		'
Segment Reporting, Revenue Reconciling Item [Line Items]	'		'
Fees for Services Provided to Joint Ventures (in Dollars)	173,282		201,981
Percentage of Total Fees for Services Provided to Joint Ventures	8.20%		10.90%
Poland [Member]	'		'
Segment Reporting, Revenue Reconciling Item [Line Items]	'		'
Fees for Services Provided to Joint Ventures (in Dollars)	164,567		111,472
Percentage of Total Fees for Services Provided to Joint Ventures	7.80%		6.00%
Korea [Member]	'		'
Segment Reporting, Revenue Reconciling Item [Line Items]	'		'
Fees for Services Provided to Joint Ventures (in Dollars)	161,424	[1]	138,742	[1]
Percentage of Total Fees for Services Provided to Joint Ventures	7.70%	[1]	7.50%	[1]
Thailand [Member]	'		'
Segment Reporting, Revenue Reconciling Item [Line Items]	'		'
Fees for Services Provided to Joint Ventures (in Dollars)	152,558	[1]	153,687	[1]
Percentage of Total Fees for Services Provided to Joint Ventures	7.20%	[1]	8.30%	[1]
France [Member]	'		'
Segment Reporting, Revenue Reconciling Item [Line Items]	'		'
Fees for Services Provided to Joint Ventures (in Dollars)	128,103		128,502
Percentage of Total Fees for Services Provided to Joint Ventures	6.10%		7.00%
Sweden [Member]	'		'
Segment Reporting, Revenue Reconciling Item [Line Items]	'		'
Fees for Services Provided to Joint Ventures (in Dollars)	109,970		86,992
Percentage of Total Fees for Services Provided to Joint Ventures	5.20%		4.70%
Finland [Member]	'		'
Segment Reporting, Revenue Reconciling Item [Line Items]	'		'
Fees for Services Provided to Joint Ventures (in Dollars)	105,202		87,851
Percentage of Total Fees for Services Provided to Joint Ventures	5.00%		4.80%
United Kingdom [Member]	'		'
Segment Reporting, Revenue Reconciling Item [Line Items]	'		'
Fees for Services Provided to Joint Ventures (in Dollars)	74,697		67,058
Percentage of Total Fees for Services Provided to Joint Ventures	3.50%		3.60%
Other Countries [Member]	'		'
Segment Reporting, Revenue Reconciling Item [Line Items]	'		'
Fees for Services Provided to Joint Ventures (in Dollars)	$188,108		$133,980
Percentage of Total Fees for Services Provided to Joint Ventures	8.90%		7.40%
[1]	Joint venture owned by NTI Asean.

Note_11_Geographic_And_Segment4

Note 11 - Geographic And Segment Information (Details) - Net Sales By Segment (USD $)	3 Months Ended
	Nov. 30, 2013	Nov. 30, 2012
Segment Reporting, Revenue Reconciling Item [Line Items]	'	'
Net Sales	$6,309,100	$5,291,747
ZERUST [Member]	'	'
Segment Reporting, Revenue Reconciling Item [Line Items]	'	'
Net Sales	5,749,013	4,795,283
Natur-Tec [Member]	'	'
Segment Reporting, Revenue Reconciling Item [Line Items]	'	'
Net Sales	$560,087	$496,464

Note_11_Geographic_And_Segment5

Note 11 - Geographic And Segment Information (Details) - Cost of Goods Sold By Segment (USD $)	3 Months Ended
	Nov. 30, 2013		Nov. 30, 2012
Direct cost of goods sold	'		'
Cost of Goods Sold	$4,158,031		$3,690,972
ZERUST [Member] | Direct Cost of Goods Sold [Member]	'		'
Direct cost of goods sold	'		'
Cost of Goods Sold	3,081,764		2,644,295
% of Product Sales	53.60%	[1]	55.10%	[1]
Natur-Tec [Member] | Direct Cost of Goods Sold [Member]	'		'
Direct cost of goods sold	'		'
Cost of Goods Sold	449,464		439,673
% of Product Sales	80.30%	[1]	88.60%	[1]
Indirect Cost of Goods Sold [Member]	'		'
Direct cost of goods sold	'		'
Cost of Goods Sold	$626,803		$607,004
% of Product Sales	'	[1]	'	[1]
[1]	The percent of segment sales is calculated by dividing the direct cost of goods sold for each individual segment category by the net sales for each segment category.

Note_11_Geographic_And_Segment6

Note 11 - Geographic And Segment Information (Details) - Total assets by geographic distribution (USD $)	Nov. 30, 2013	Aug. 31, 2013
Revenues from External Customers and Long-Lived Assets [Line Items]	'	'
Total assets	$51,778,006	$49,053,949
Brazil [Member]	'	'
Revenues from External Customers and Long-Lived Assets [Line Items]	'	'
Total assets	1,538,423	1,419,543
North America [Member]	'	'
Revenues from External Customers and Long-Lived Assets [Line Items]	'	'
Total assets	$50,239,583	$47,634,406

Note_11_Geographic_And_Segment7

Note 11 - Geographic And Segment Information (Details) - Operating income by geographic distribution (USD $)	3 Months Ended
	Nov. 30, 2013	Nov. 30, 2012
Segment Reporting Information [Line Items]	'	'
Total Net sales	$6,309,100	$5,291,747
Total operating income	1,514,299	873,664
Brazil [Member]	'	'
Segment Reporting Information [Line Items]	'	'
Total Net sales	602,362	551,814
Total operating income	-56,809	-23,148
North America [Member]	'	'
Segment Reporting Information [Line Items]	'	'
Total Net sales	5,706,738	4,739,933
Total operating income	$1,571,109	$896,812

Note_12_Research_and_Developme1

Note 12 - Research and Development (Details) (USD $)	3 Months Ended
	Nov. 30, 2013	Nov. 30, 2012
Research and Development [Abstract]	'	'
Research and Development Expense	$1,138,520	$938,206
Research and Development Arrangement, Contract to Perform for Others, Costs Incurred, Gross	$45,788	$68,682

Note_13_Commitments_and_Contin1

Note 13 - Commitments and Contingencies (Details) (USD $)	Nov. 30, 2013	Nov. 30, 2012	Aug. 31, 2012	Nov. 30, 2013
				Fiscal 2013 Bonus Plan [Member]
				Executive Officer [Member]
Note 13 - Commitments and Contingencies (Details) [Line Items]	'	'	'	'
Percentage of Individual Bonus Payout Determined By Actual Versus Targeted EBITOI Results	'	'	'	75.00%
Percentage of Individual's Payout Determined Upon Achievement of Certain Pre-Established Individual Performance Objectives	'	'	'	25.00%
Accrued Bonuses (in Dollars)	$299,000	$116,909	'	'
Operating Leases, Future Minimum Payments Due, Next Twelve Months (in Dollars)	59,500	'	'	'
Operating Leases, Future Minimum Payments, Due Thereafter (in Dollars)	$0	'	'	'
Entity-Wide Trade Joint Venture Receivables, Three Joint Ventures, Percentage	52.40%	'	'	'
EntityWideTradeJointVentureReceivablesTwoJointVenturesPercentage	'	'	49.00%	'

Note_14_Fair_Value_Measurement2

Note 14 - Fair Value Measurements (Details) - Assets and Liabilities Measured at Fair Value Recurring Basis (USD $)	Nov. 30, 2013	Aug. 31, 2013
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]	'	'
Cash equivalents	$1,019,000	$1,020,000
Fair Value, Inputs, Level 1 [Member]	'	'
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]	'	'
Cash equivalents	$1,019,000	$1,020,000