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    Jeffrey Milton Bernstein • Silverberg Bernstein Capital

    Jeffrey Milton Bernstein's questions to NVE Corp (NVEC) leadership

    Jeffrey Milton Bernstein's questions to NVE Corp (NVEC) leadership • Q4 2025

    Question

    Jeffrey Milton Bernstein from Silverberg Bernstein Capital asked about the drivers of the Q4 revenue rebound, seeking to parse the impact of channel inventory replenishment versus new business wins. He also inquired about how new products expand the company's addressable market, the high-voltage capabilities of NVE's isolators, and the confidence behind the significant planned increase in capital expenditures for fiscal 2026.

    Answer

    President and CEO Daniel Baker stated that the strong revenue was a combination of both customers replenishing inventory and significant interest in new products. He explained that new products, like advanced omnidirectional sensors, target NVE's traditional strongholds in medical devices and industrial IoT. Baker highlighted that NVE's isolators have industry-leading voltage (7kV) and Common-Mode Transient Immunity (CMTI), making them ideal for new high-voltage systems. He noted that confidence in the increased CapEx stems from excellent customer feedback on prototypes, which suggests the investment will open significant new markets.

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    Jeffrey Milton Bernstein's questions to NVE Corp (NVEC) leadership • Q2 2025

    Question

    Jeffrey Milton Bernstein of Silverberg Bernstein Capital inquired about several topics, including the significant increase in contract R&D, the potential timeline for that R&D to convert to product sales, the performance and outlook for the unclonable functions business, the mix shift towards direct sales and its impact on gross margins, and the application of NVE's navigation sensors in medical catheters.

    Answer

    President and CEO Daniel Baker explained that the contract R&D is primarily for defense-related anti-tamper systems, which builds the company's IP portfolio, but product conversion timelines are uncertain due to procurement cycles. He noted that the unclonable functions business was strong in the quarter, benefiting from allied defense system sales, though sales can be lumpy. Baker confirmed that a semiconductor industry slowdown led to inventory buildup in distribution channels, causing a favorable mix shift to more profitable direct sales. Regarding medical sensors, he highlighted their advantages of small size and high sensitivity for precise catheter navigation, a key growth area.

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