NVE | 10-Q: FY2026 Q2 Revenue: USD 6.347 M

Revenue: As of FY2026 Q2, the actual value is USD 6.347 M.

EPS: As of FY2026 Q2, the actual value is USD 0.68.

EBIT: As of FY2026 Q2, the actual value is USD 3.174 M.

Segment Revenue

• Product Sales: $6,138,772 for the quarter ended September 30, 2025, compared to $6,104,433 for the same period in 2024, representing a 1% increase.
• Contract Research and Development: $208,220 for the quarter ended September 30, 2025, compared to $654,257 for the same period in 2024, representing a 68% decrease.

Operational Metrics

• Net Income: $3,310,838 for the quarter ended September 30, 2025, compared to $4,026,145 for the same period in 2024, representing a 16.3% decrease.
• Gross Margin: 78.3% for the quarter ended September 30, 2025, compared to 86.0% for the same period in 2024, representing a decrease in gross margin percentage.
• Operating Profit: $3,658,109 for the quarter ended September 30, 2025, compared to $4,395,592 for the same period in 2024, representing a 16.8% decrease.
• Operating Margin: 57.7% for the quarter ended September 30, 2025, compared to 65.1% for the same period in 2024.
• Operating Costs: Total operating expenses decreased by 7% for the quarter ended September 30, 2025, compared to the same period in 2024.

Cash Flow

• Operating Cash Flow: Net cash provided by operating activities was $7,983,212 for the six months ended September 30, 2025.
• Free Cash Flow: Not explicitly stated, but cash and cash equivalents decreased by $2,929,083 during the first six months of fiscal 2026.

Unique Metrics

• Interest Income: $484,330 for the quarter ended September 30, 2025, compared to $464,429 for the same period in 2024, representing a 4% increase.

Future Outlook and Strategy

• Core Business Focus: NVE Corporation plans to continue focusing on product sales, with an emphasis on nondefense product sales, which have shown significant growth.
• Non-Core Business: The company expects to complete a production expansion with an additional $1,000,000 to $1,500,000 of fixed asset purchases in the last six months of the fiscal year.
• Priority: The company expects a full-year tax rate of 16% to 17% in fiscal 2026 due to anticipated advanced manufacturing investment tax credits.