Note 7 - Investments in Joint Ventures

12 Months Ended

Aug. 31, 2025

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 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

	Fiscal Year Ended August 31, 2025
	TOTAL		EXCOR		Acobal		Zerust OY		Other
Net sales	$	91,236,272	$	32,909,789	$	11,721,152	$	4,831,258	$	41,774,073
Gross profit		39,460,739		17,637,075		4,500,635		2,976,462		14,346,567
Net income		7,081,482		3,325,785		1,418,240		964,653		1,372,804
NTIC’s share of equity in income of joint ventures		3,539,057		1,664,532		708,333		483,754		682,436
NTIC’s dividends received from joint ventures		1,566,946	—			635,528		382,613		548,805

	As of August 31, 2024
	Total		EXCOR		OTHER
Current assets	$	56,420,503	$	26,234,664	$	30,185,839
Total assets		64,183,071		31,513,288		32,669,783
Current liabilities		12,553,716		2,221,726		10,331,990
Noncurrent liabilities		323,199		—		323,199
Joint ventures’ equity		51,306,156		29,291,562		22,014,594
NTIC’s share of joint ventures’ equity		25,397,287		14,645,783		10,751,504
NTIC’s share of joint ventures’ undistributed earnings		23,645,685		14,614,878		9,030,807

	Fiscal Year Ended August 31, 2024
	Total		EXCOR		OTHER
Net sales	$	95,940,014	$	35,720,889	$	60,219,125
Gross profit		41,247,036		18,288,258		22,958,778
Net income		8,450,411		4,599,088		3,851,323
NTIC’s share of equity in income of joint ventures		4,223,296		2,299,274		1,924,022
NTIC’s dividends received from joint ventures		2,997,164		1,624,950		1,372,214