v3.26.1
Note 7 - Investments in Joint Ventures
6 Months Ended
Feb. 28, 2026
Notes to Financial Statements  
Equity Method Investments and Joint Ventures Disclosure [Text Block]

7.         INVESTMENTS IN JOINT VENTURES

 

The consolidated 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 conform with U.S. GAAP in all material respects. All material profits on sales recorded that remain on the consolidated balance sheet from the Company to its joint ventures and from joint ventures to other joint ventures have been eliminated for financial reporting purposes.

 

Financial information from the audited and unaudited financial statements of the Company’s joint ventures in Germany, Excor Korrosionsschutz – Technologien und Produkte GmbH (EXCOR), France, ACOBAL SAS (Acobal), Finland, Zerust OY, and all the Company’s other joint ventures are summarized as follows:

 

    As of February 28, 2026  
   

Total

   

EXCOR

   

Acobal

   

Zerust OY

   

Other

 

Current assets

  $ 62,503,865     $ 31,809,238     $ 6,684,550     $ 2,884,239     $ 21,125,837  

Total assets

    72,326,199       38,912,946       7,596,463       3,151,560       22,665,230  

Current liabilities

    12,003,432       2,052,186       2,575,991       905,909       6,469,345  

Non-current liabilities

    336,458    

   

          336,458  

Joint ventures’ equity

    59,986,309       36,860,760       5,020,471       2,245,650       15,859,427  

NTIC’s share of joint ventures’ equity

    29,748,064       18,430,382       2,510,234       1,122,814       7,684,634  

NTIC’s share of joint ventures’ undistributed earnings

    28,803,395       17,610,532       2,900,410       1,405,155       6,887,298  

 

   

Three Months Ended February 28, 2026

 
   

Total

   

EXCOR

   

Acobal

   

Zerust OY

   

Other

 

Net sales

  $ 23,483,578     $ 8,336,442     $ 3,255,573     $ 1,330,157     $ 10,561,406  

Gross profit

    10,401,649       4,565,626       1,311,235       807,480       3,717,307  

Net income

    2,216,229       910,462       621,935       228,395       455,437  

NTIC’s share of equity in income from joint ventures

    1,100,670       452,219       309,283       113,370       225,796  

NTIC’s dividends received from joint ventures

    1,184,193    

      747,477       436,716    

 

 

   

Six Months Ended February 28, 2026

 
   

Total

   

EXCOR

   

Acobal

   

Zerust OY

   

Other

 

Net sales

  $ 48,015,009     $ 17,102,159     $ 6,857,925     $ 2,730,272     $ 21,324,653  

Gross profit

    21,084,388       9,138,346       2,711,994       1,666,838       7,567,210  

Net income

    4,660,463       1,946,732       1,230,612       507,537       975,582  

NTIC’s share of equity in income from joint ventures

    2,322,786       970,355       613,621       252,941       485,869  

NTIC’s dividends received from joint ventures

    1,402,525    

      747,477       436,716       218,332  

 

   

As of August 31, 2025

 
   

Total

   

EXCOR

   

Acobal

   

Zerust OY

   

Other

 

Current assets

  $ 60,062,085     $ 29,870,525     $ 6,971,262     $ 3,029,614     $ 20,190,684  

Total assets

    69,815,251       36,941,008       7,900,298       3,313,909       21,660,036  

Current liabilities

    11,743,525       2,391,029       2,660,430       719,172       5,972,894  

Noncurrent liabilities

    336,557    

   

   

      336,557  

Joint ventures’ equity

    57,735,169       34,549,979       5,239,868       2,594,737       15,350,585  

NTIC’s share of joint ventures’ equity

    28,611,777       17,274,991       2,619,932       1,297,358       7,419,496  

NTIC’s share of joint ventures’ undistributed earnings

    27,667,432       17,244,086       2,619,932       1,277,358       6,526,056  

 

   

Three Months Ended February 28, 2025

 
   

Total

   

EXCOR

   

All Other

 

Net sales

  $ 19,799,875     $ 6,904,045     $ 12,895,830  

Gross profit

    8,241,116       3,598,163       4,642,953  

Net income

    1,219,970       520,787       699,183  

NTIC’s share of equity in income from joint ventures

    620,730       268,251       352,479  

NTIC’s dividends received from joint ventures

    680,737             680,737  

 

   

Six Months Ended February 28, 2025

 
   

Total

   

EXCOR

   

All Other

 

Net sales

  $ 43,636,885     $ 15,642,859     $ 27,994,026  

Gross profit

    18,556,399       8,355,849       10,200,550  

Net income

    3,479,157       1,768,287       1,710,870  

NTIC’s share of equity in income from joint ventures

    1,750,323       892,001       858,322  

NTIC’s dividends received from joint ventures

    680,737             680,737