0001171843-24-001955 | 10-Q | XBRL Viewer | Northern Technologies International Corp

Property, Plant and Equipment Disclosure [Text Block]

4. PROPERTY AND EQUIPMENT, NET

Property and equipment, net consisted of the following:

	February 29, 2024			August 31, 2023
Land	$	496,965		$	496,965
Buildings and improvements		18,752,517			17,250,392
Machinery and equipment		6,057,366			5,984,364
		25,306,848			23,731,721
Less accumulated depreciation		(10,343,662	)		(9,666,367	)
	$	14,963,186		$	14,065,354

Depreciation expense was $290,393 and $597,403 for the three and six months ended February 29, 2024, respectively, compared to $225,962 and $488,838 for the three and six months ended February 28, 2023, respectively.

Document And Entity Information - shares	3 Months Ended
Document And Entity Information - shares	Feb. 29, 2024	Apr. 09, 2024
Document Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Feb. 29, 2024
Document Transition Report	false
Entity File Number	001-11038
Entity Registrant Name	NORTHERN TECHNOLOGIES INTERNATIONAL CORPORATION
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	41-0857886
Entity Address, Address Line One	4201 Woodland Road
Entity Address, City or Town	Circle Pines
Entity Address, State or Province	MN
Entity Address, Postal Zip Code	55014
City Area Code	763
Local Phone Number	225-6600
Title of 12(b) Security	Common stock, par value $0.02 per share
Trading Symbol	NTIC
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding (in shares)		9,427,598
Entity Central Index Key	0000875582
Current Fiscal Year End Date	--08-31
Document Fiscal Year Focus	2024
Document Fiscal Period Focus	Q2
Amendment Flag	false

Note 8 - Stockholders' Equity - Dividends Declared (Details) - $ / shares					3 Months Ended		6 Months Ended
	Jan. 17, 2024	Oct. 18, 2023	Jan. 20, 2023	Oct. 20, 2022	Feb. 29, 2024	Feb. 28, 2023	Feb. 29, 2024	Feb. 28, 2023
CASH DIVIDENDS DECLARED PER COMMON SHARE (in dollars per share)	$ 0.07	$ 0.07	$ 0.07	$ 0.07	$ 0.07	$ 0.07	$ 0.14	$ 0.14
Record Date	Jan. 31, 2024	Nov. 01, 2023	Feb. 01, 2023	Nov. 03, 2022
Payable Date	Feb. 14, 2024	Nov. 15, 2023	Feb. 15, 2023	Nov. 16, 2022

Note 8 - Stockholders' Equity (Details Textual) - shares			6 Months Ended
	Sep. 01, 2023	Sep. 01, 2022	Feb. 29, 2024	Feb. 28, 2023
Stock Repurchased and Retired During Period, Shares (in shares)			0	0
Stock Issued During Period, Shares, Employee Stock Purchase Plans	3,496	3,620
ESPP [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award, Number of Shares Available for Grant			58,538

Note 6 - Investments in Joint Ventures

3 Months Ended

Feb. 29, 2024

Equity Method Investments and Joint Ventures Disclosure [Text Block]

6. 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 venture in Germany, Excor Korrosionsschutz – Technologien und Produkte GmbH (EXCOR), and all the Company’s other joint ventures are summarized as follows:

	As of February 29, 2024
	Total		EXCOR		All Other
Current assets	$	56,241,025	$	26,949,248	$	29,291,777
Total assets		60,974,536		29,383,315		31,591,221
Current liabilities		13,269,055		2,933,713		10,335,342
Noncurrent liabilities		399,445		—		399,445
Joint ventures’ equity		47,306,036		26,449,601		20,856,435
NTIC’s share of joint ventures’ equity		23,460,869		13,224,802		10,236,067
NTIC’s share of joint ventures’ undistributed earnings		23,645,685		14,260,800		9,384,885

	Three Months Ended February 29, 2024
	Total		EXCOR		All Other
Net sales	$	23,479,980	$	9,163,636	$	14,316,344
Gross profit		10,139,080		4,829,931		5,309,149
Net income		2,353,152		1,378,844		974,308
NTIC’s share of equity in income from joint ventures		1,177,990		690,882		487,109
NTIC’s dividends received from joint ventures		2,020,147		1,624,950		395,197

	Six Months Ended February 29, 2024
	Total		EXCOR		All Other
Net sales	$	47,040,641	$	17,584,596	$	29,456,045
Gross profit		20,242,880		9,205,006		11,037,874
Net income		4,557,634		2,405,751		2,151,883
NTIC’s share of equity in income from joint ventures		2,280,231		1,204,335		1,075,896
NTIC’s dividends received from joint ventures		2,391,251		1,624,950		766,301

	As of August 31, 2023
	Total		EXCOR		All Other
Current assets	$	55,339,662	$	27,862,458	$	27,477,204
Total assets		59,729,348		30,054,277		29,675,071
Current liabilities		11,464,247		2,687,064		8777,183
Noncurrent liabilities		323,762		—		323,762
Joint ventures’ equity		47,941,339		27,367,213		20,574,126
NTIC’s share of joint ventures’ equity		23,705,714		13,683,608		10,022,106
NTIC’s share of joint ventures’ undistributed earnings		20,493,861		12,075,524		8,418,337

	Three Months Ended February 28, 2023
	Total		EXCOR		All Other
Net sales	$	25,482,590	$	9,708,482	$	15,774,108
Gross profit		10,035,811		4,733,435		5,302,376
Net income		1,969,046		1,365,170		603,876
NTIC’s share of equity in income from joint ventures		1,128,731		676,800		451,931
NTIC’s dividends received from joint ventures		422,048		—		422,048

	Six Months Ended February 28, 2023
	Total		EXCOR		All Other
Net sales	$	50,212,879	$	19,854,403	$	30,358,476
Gross profit		19,729,379		9,453,477		10,275,902
Net income		4,615,954		3,107,457		1,508,497
NTIC’s share of equity in income from joint ventures		2,318,135		1,547,944		770,191
NTIC’s dividends received from joint ventures		3,464,736		2,459,500		1,005,236

Note 9 - Net Income Per Common Share

3 Months Ended

Feb. 29, 2024

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.

The following is a reconciliation of the net income per share computation for the three and six months ended February 29, 2024 and February 28, 2023:

	Three Months Ended				Six Months Ended
Numerator:	February 29, 2024		February 28, 2023		February 29, 2024		February 28, 2023
Net income attributable to NTIC	$	1,701,169	$	411,497	$	2,596,690	$	913,739
Denominator:
Basic – weighted shares outstanding		9,427,598		9,366,357		9,427,588		9,353,989
Weighted shares assumed upon exercise of stock options		296,073		381,104		287,533		391,177
Diluted – weighted shares outstanding		9,723,671		9,747,461		9,715,121		9,745,166
Basic net income per share:	$	0.18	$	0.04	$	0.28	$	0.10
Diluted net income per share:	$	0.17	$	0.04	$	0.27	$	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. Net income per common share was based on the weighted average number of common shares outstanding during the periods when computing basic net income per share. When dilutive, stock options are included as equivalents using the treasury stock market method when computing the diluted net income per share. Excluded from the computation of diluted net income per share for the three and six months ended February 29, 2024 were options outstanding to purchase 580,869 shares of common stock. Excluded from the computation of diluted net income per share for the three and six months ended February 28, 2023, were options outstanding to purchase 305,514 shares of common stock.

Note 3 - Inventories

3 Months Ended

Feb. 29, 2024

Inventory Disclosure [Text Block]

3. INVENTORIES

Inventories consisted of the following:

	February 29, 2024		August 31, 2023
Production materials	$	4,610,217	$	4,960,355
Finished goods		7,928,642		8,136,134
	$	12,538,859	$	13,096,489

Note 3 - Inventories (Tables)

3 Months Ended

Feb. 29, 2024

Schedule of Inventory, Current [Table Text Block]

	February 29, 2024		August 31, 2023
Production materials	$	4,610,217	$	4,960,355
Finished goods		7,928,642		8,136,134
	$	12,538,859	$	13,096,489

Note 14 - Income Taxes (Details Textual) - USD ($)	3 Months Ended		6 Months Ended
Note 14 - Income Taxes (Details Textual) - USD ($)	Feb. 29, 2024	Feb. 28, 2023	Feb. 29, 2024	Feb. 28, 2023
Foreign Withholding Tax	$ 289,195	$ 181,795	$ 515,991	$ 292,528

Note 6 - Investments in Joint Ventures - Condensed Income Statement of EXCOR and All Other Joint Ventures (Details) - USD ($)	3 Months Ended		6 Months Ended
	Feb. 29, 2024	Feb. 28, 2023	Feb. 29, 2024	Feb. 28, 2023
Net sales	$ 20,842,538	$ 18,270,825	$ 41,024,213	$ 38,223,591
Gross profit	8,339,164	6,303,068	15,673,438	12,656,192
Net income	1,701,169	411,497	2,596,690	913,739
Northern Technologies International Corporation’s share of equity in income of joint ventures	1,177,990	1,128,731	2,280,231	2,318,135
EXCOR and All Other Joint Venturs [Member]
Net income	2,353,152	1,969,046	4,557,634	4,615,954
Northern Technologies International Corporation’s share of equity in income of joint ventures	1,177,990	1,128,731	2,280,231	2,318,135
Northern Technologies International Corporation’s dividends received from joint ventures	2,020,147	422,048	2,391,251	3,464,736
EXCOR [Member]
Net income	1,378,844	1,365,170	2,405,751	3,107,457
Northern Technologies International Corporation’s share of equity in income of joint ventures	690,882	676,800	1,204,335	1,547,944
Northern Technologies International Corporation’s dividends received from joint ventures	1,624,950	0	1,624,950	2,459,500
All Other [Member]
Net income	974,308	603,876	2,151,883	1,508,497
Northern Technologies International Corporation’s share of equity in income of joint ventures	487,109	451,931	1,075,896	770,191
Northern Technologies International Corporation’s dividends received from joint ventures	395,197	422,048	766,301	1,005,236
EXCOR and All Other Joint Venturs [Member]
Net sales	23,479,980	25,482,590	47,040,641	50,212,879
Gross profit	10,139,080	10,035,811	20,242,880	19,729,379
EXCOR [Member]
Net sales	9,163,636	9,708,482	17,584,596	19,854,403
Gross profit	4,829,931	4,733,435	9,205,006	9,453,477
All Other [Member]
Net sales	14,316,344	15,774,108	29,456,045	30,358,476
Gross profit	$ 5,309,149	$ 5,302,376	$ 11,037,874	$ 10,275,902

Consolidated Statements of Comprehensive Income (Unaudited) - USD ($)	3 Months Ended		6 Months Ended
	Feb. 29, 2024	Feb. 28, 2023	Feb. 29, 2024	Feb. 28, 2023
NET INCOME	$ 1,868,528	$ 520,068	$ 2,953,469	$ 1,153,748
OTHER COMPREHENSIVE (LOSS) INCOME – FOREIGN CURRENCY TRANSLATION ADJUSTMENT	(345,605)	534,713	(44,286)	480,796
COMPREHENSIVE INCOME	1,522,923	1,054,781	2,909,183	1,634,544
COMPREHENSIVE LOSS ATTRIBUTABLE TO NON-CONTROLLING INTERESTS	(144,183)	(111,958)	(327,980)	(250,183)
COMPREHENSIVE INCOME ATTRIBUTABLE TO NTIC	$ 1,378,740	$ 942,823	$ 2,581,203	$ 1,384,361

Amount after tax of increase (decrease) in equity from transactions and other events and circumstances from net income (loss) and other comprehensive income (loss), attributable to noncontrolling interests. Excludes changes in equity resulting from investments by owners and distributions to owners.

+ References + Details

Amount after tax of increase (decrease) in equity from transactions and other events and circumstances from net income and other comprehensive income. Excludes changes in equity resulting from investments by owners and distributions to owners.

+ References + Details

The consolidated profit or loss for the period, net of income taxes, including the portion attributable to the noncontrolling interest.

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-Name Accounting Standards Codification
-Section 50
-Paragraph 1A
-Subparagraph (a)(1)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481203/810-10-50-1A

Reference 39: http://www.xbrl.org/2003/role/disclosureRef
-Topic 810
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 1A
-Subparagraph (c)(1)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481203/810-10-50-1A

Note 3 - Inventories - Inventories (Details) - USD ($)	Feb. 29, 2024	Aug. 31, 2023
Production materials	$ 4,610,217	$ 4,960,355
Finished goods	7,928,642	8,136,134
Inventory, Net	$ 12,538,859	$ 13,096,489

Note 7 - Corporate Debt (Details Textual)	Jan. 06, 2023 USD ($)	Feb. 29, 2024 USD ($)	Aug. 31, 2023 USD ($)	May 30, 2023 USD ($)	May 30, 2023 CNY (¥)	Apr. 10, 2023 USD ($)	Apr. 10, 2023 CNY (¥)
Term Loan in April [Member] \| NTIC China [Member]
Debt Instrument, Face Amount						$ 1,450,000	¥ 10,000,000
Debt Instrument, Interest Rate, Stated Percentage						3.25%	3.25%
Long-Term Debt		$ 2,782,686	$ 2,757,176
Term Loan in May [Member] \| NTIC China [Member]
Debt Instrument, Face Amount				$ 1,450,000	¥ 10,000,000
Debt Instrument, Interest Rate, Stated Percentage				3.25%	3.25%
Long-Term Debt		2,782,686	2,757,176
Revolving Credit Facility [Member] \| JP Morgan Chase Bank [Member]
Line of Credit Facility, Maximum Borrowing Capacity	$ 10,000,000
Long-Term Line of Credit		$ 1,192,645	$ 3,600,000
CB Floating Rate Floor	2.50%
Debt Instrument, Covenants, Fixed Charge Coverage Ratio	1.25
Revolving Credit Facility [Member] \| JP Morgan Chase Bank [Member] \| Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate [Member]
Debt Instrument, Basis Spread on Variable Rate	0.10%
Revolving Credit Facility [Member] \| JP Morgan Chase Bank [Member] \| Adjusted SOFR Rate Applicable Margin [Member]
Debt Instrument, Basis Spread on Variable Rate	2.15%
Standby Letters of Credit [Member] \| JP Morgan Chase Bank [Member]
Line of Credit Facility, Maximum Borrowing Capacity	$ 5,000,000

Note 11 - Segment and Geographic Information - Net Sales by Segment (Details) - USD ($)	3 Months Ended		6 Months Ended
	Feb. 29, 2024	Feb. 28, 2023	Feb. 29, 2024	Feb. 28, 2023
Net sales	$ 20,842,538	$ 18,270,825	$ 41,024,213	$ 38,223,591
Poland	$ 1,303,059	$ 1,252,746	$ 2,552,017	$ 2,434,551
Poland	100.00%	100.00%	100.00%	100.00%
POLAND
Poland	$ 217,786	$ 199,927	$ 412,383	$ 396,792
Poland	16.70%	16.00%	16.20%	16.30%
GERMANY
Poland	$ 206,740	$ 202,964	$ 415,803	$ 386,623
Poland	15.90%	16.20%	16.30%	15.90%
FRANCE
Poland	$ 195,176	$ 118,938	$ 248,076	$ 301,715
Poland	15.00%	9.50%	9.70%	12.40%
JAPAN
Poland	$ 111,995	$ 153,795	$ 317,142	$ 228,295
Poland	8.60%	12.30%	12.40%	9.40%
SWEDEN
Poland	$ 102,984	$ 112,615	$ 213,520	$ 213,051
Poland	7.90%	9.00%	8.40%	8.80%
FINLAND
Poland	$ 95,748	$ 91,620	$ 199,492	$ 182,052
Poland	7.30%	7.30%	7.80%	7.50%
THAILAND
Poland	$ 90,264	$ 91,601	$ 169,702	$ 174,557
Poland	6.90%	7.30%	6.60%	7.20%
CZECHIA
Poland	$ 84,789	$ 91,001	$ 162,601	$ 171,333
Poland	6.50%	7.30%	6.40%	7.00%
KOREA, REPUBLIC OF
Poland	$ 63,381	$ 65,803	$ 138,338	$ 129,197
Poland	4.90%	5.30%	5.40%	5.30%
UNITED KINGDOM
Poland	$ 55,101	$ 65,648	$ 118,251	$ 123,339
Poland	4.20%	5.20%	4.60%	5.10%
Other Countries [Member]
Net sales	$ 3,812,566	$ 3,076,885	$ 6,373,323	$ 5,590,505
Poland	$ 79,095	$ 58,834	$ 156,709	$ 127,597
Poland	6.10%	4.70%	6.10%	5.20%
ZERUST [Member]
Net sales	$ 15,218,095	$ 14,458,747	$ 30,623,840	$ 29,828,748
NaturTec [Member]
Net sales	$ 5,624,443	$ 3,812,078	$ 10,400,373	$ 8,394,843

Note 1 - Interim Financial Information

3 Months Ended

Feb. 29, 2024

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 February 29, 2024 and August 31, 2023 and the results of the Company’s operations for the three and six months ended February 29, 2024 and February 28, 2023, the changes in stockholders’ equity for the three and six months ended February 29, 2024 and February 28, 2023, and the Company’s cash flows for the six months ended February 29, 2024 and February 28, 2023, 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, 2023. 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 and six months ended February 29, 2024 are not necessarily indicative of the results that may be expected for the full fiscal year ending August 31, 2024.

The Company evaluates events occurring after the date of the consolidated financial statements, through the date the consolidated financial statements were available to be issued, requiring recording or disclosure in the consolidated financial statements.

Note 13 - Supplemental Cash Flow Information - Supplemental Disclosures of Cash Flow Information (Details) - USD ($)	3 Months Ended		6 Months Ended
	Feb. 29, 2024	Feb. 28, 2023	Feb. 29, 2024	Feb. 28, 2023
Cash paid for interest	$ 77,758	$ 115,144	$ 188,896	$ 206,475

Note 11 - Segment and Geographic Information

3 Months Ended

Feb. 29, 2024

Segment Reporting Disclosure [Text Block]

11. SEGMENT AND GEOGRAPHIC INFORMATION

Segment Information

The Company’s chief operating decision maker is its Chief Executive Officer. The Company’s business is organized into two reportable segments: ZERUST® and Natur-Tec®. The Company has been selling its proprietary ZERUST® rust and corrosion inhibiting products and services to the automotive, electronics, electrical, mechanical, military and retail consumer markets for almost 50 years and, more recently, has targeted and expanded into the oil and gas industry. The Company also sells a portfolio of bio-based and compostable (fully biodegradable) polymer resins and finished products under the Natur-Tec® brand.

The following table sets forth the Company’s net sales for the three and six months ended February 29, 2024 and February 28, 2023 by segment:

	Three Months Ended				Six Months Ended
	February 29, 2024		February 28, 2023		February 29, 2024		February 28, 2023
ZERUST® net sales	$	15,218,095	$	14,458,747	$	30,623,840	$	29,828,748
Natur-Tec® net sales		5,624,443		3,812,078		10,400,373		8,394,843
Total net sales	$	20,842,538	$	18,270,825	$	41,024,213	$	38,223,591

The following table sets forth the Company’s cost of goods sold for the three and six months ended February 29, 2024 and February 28, 2023 by segment:

	Three Months Ended										Six Months Ended
	February 29, 2024		% of Product Sales*			February 28, 2023		% of Product Sales*			February 29, 2024		% of Product Sales*			February 28, 2023		% of Product Sales*
Direct cost of goods sold
ZERUST®	$	8,082,163		53.1	%	$	8,115,451		56.1	%	$	16,826,187		54.9	%	$	17,294,705		58.0	%
Natur-Tec®		3,568,719		63.5	%		2,931,036		76.9	%		6,797,302		65.4	%		6,501,709		77.4	%
Indirect cost of goods sold		852,492		—			921,270		—			1,727,286		—			1,770,985		—
Total net cost of goods sold	$	12,503,374				$	11,967,757				$	25,350,775				$	25,567,399

* 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.

Geographic Information

Net sales by geographic location for the three and six months ended February 29, 2024 and February 28, 2023 were as follows:

	Three Months Ended				Six Months Ended
	February 29, 2024		February 28, 2023		February 29, 2024		February 28, 2023
Inside the U.S.A. to unaffiliated customers	$	6,840,855	$	6,750,997	$	14,073,236	$	14,229,158
Outside the U.S.A. to:
Joint ventures in which the Company is a shareholder directly and indirectly		611,926		1,529,763		1,463,377		2,163,228
Unaffiliated customers		13,389,757		9,990,065		25,487,600		21,831,205
	$	20,842,538	$	18,270,825	$	41,024,213	$	38,223,591

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 and six months ended February 29, 2024 and February 28, 2023 were as follows:

	Three Months Ended
	February 29, 2024		% of Total Fees for Services Provided to Joint Ventures			February 28, 2023		% of Total Fees for Services Provided to Joint Ventures
Poland	$	217,786		16.7	%	$	199,927		16.0	%
Germany		206,740		15.9	%		202,964		16.2	%
France		195,176		15.0	%		118,938		9.5	%
Japan		111,995		8.6	%		153,795		12.3	%
Sweden		102,984		7.9	%		112,615		9.0	%
Finland		95,748		7.3	%		91,620		7.3	%
Thailand		90,264		6.9	%		91,601		7.3	%
Czech Republic		84,789		6.5	%		91,001		7.3	%
South Korea		63,381		4.9	%		65,803		5.3	%
United Kingdom		55,101		4.2	%		65,648		5.2	%
Other		79,095		6.1	%		58,834		4.7	%
	$	1,303,059		100.0	%	$	1,252,746		100.0	%

	Six Months Ended
	February 29, 2024		% of Total Fees for Services Provided to Joint Ventures			February 28, 2023		% of Total Fees for Services Provided to Joint Ventures
Poland	$	415,803		16.3	%	$	386,623		15.9	%
Germany		412,383		16.2	%		396,792		16.3	%
France		317,142		12.4	%		228,295		9.4	%
Japan		248,076		9.7	%		301,715		12.4	%
Sweden		213,520		8.4	%		213,051		8.8	%
Finland		199,492		7.8	%		182,052		7.5	%
Thailand		169,702		6.6	%		174,557		7.2	%
Czech Republic		162,601		6.4	%		171,333		7.0	%
South Korea		138,338		5.4	%		129,197		5.3	%
United Kingdom		118,251		4.6	%		123,339		5.1	%
Other		156,709		6.1	%		127,597		5.2	%
	$	2,552,017		100.0	%	$	2,434,551		100.0	%

The geographical distribution of total property and equipment and net sales is as follows:

	At February 29, 2024		At August 31, 2023
China	$	5,680,609	$	5,729,080
Other		804,148		745,469
United States		8,478,429		7,590,805
Total property and equipment, net	$	14,963,186	$	14,065,354

	Three Months Ended
	February 29, 2024		February 28, 2023
China	$	3,455,846	$	2,871,795
Brazil		1,326,867		1,206,790
India		5,406,404		4,364,358
Other		3,812,566		3,076,885
United States		6,840,855		6,750,997
Total net sales	$	20,842,538	$	18,270,825

	Six Months Ended
	February 29, 2024		February 28, 2023
China	$	7,134,369	$	6,618,435
Brazil		2,856,490		2,574,208
India		10,586,795		9,211,285
Other		6,373,323		5,590,505
United States		14,073,236		14,229,158
Total net sales	$	41,024,213	$	38,223,591

Long-lived assets consist of property and equipment. 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.

Sales to the Company’s joint ventures are included in the foregoing segment and geographic information; however, sales by the Company’s joint ventures to other parties are not included. The foregoing segment and geographic information represents only sales recognized directly by the Company and sold in that geographic territory.

All joint venture operations, including equity in income, fees for services and related dividends, are primarily related to ZERUST® products and services.

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 22
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482810/280-10-50-22

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 15
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482810/280-10-50-15

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 31
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482810/280-10-50-31

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 32
-Subparagraph (d)
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-URI https://asc.fasb.org//1943274/2147482810/280-10-50-32

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
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-URI https://asc.fasb.org//1943274/2147482810/280-10-50-42

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
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Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 40
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-URI https://asc.fasb.org//1943274/2147482810/280-10-50-40

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
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-URI https://asc.fasb.org//280/tableOfContent

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 26
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-URI https://asc.fasb.org//1943274/2147482810/280-10-50-26

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 34
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482810/280-10-50-34

Reference 11: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
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-Name Accounting Standards Codification
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Reference 12: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
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-Paragraph 21
-Subparagraph (a)
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-URI https://asc.fasb.org//1943274/2147482810/280-10-50-21

Reference 13: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
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-Paragraph 21
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Reference 14: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 32
-Subparagraph (e)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482810/280-10-50-32

Consolidated Statements of Operations (Unaudited) - USD ($)	3 Months Ended		6 Months Ended
	Feb. 29, 2024	Feb. 28, 2023	Feb. 29, 2024	Feb. 28, 2023
NET SALES:
Net sales	$ 20,842,538	$ 18,270,825	$ 41,024,213	$ 38,223,591
Cost of goods sold	12,503,374	11,967,757	25,350,775	25,567,399
Gross profit	8,339,164	6,303,068	15,673,438	12,656,192
JOINT VENTURE OPERATIONS:
Equity in income from joint ventures	1,177,990	1,128,731	2,280,231	2,318,135
Fees for services provided to joint ventures	1,303,059	1,252,746	2,552,017	2,434,551
Total joint venture operations	2,481,049	2,381,477	4,832,248	4,752,686
OPERATING EXPENSES:
Selling expenses	4,134,894	3,595,717	7,820,952	7,103,151
General and administrative expenses	3,236,792	3,134,189	6,753,853	6,264,788
Research and development expenses	1,242,256	1,141,083	2,348,177	2,397,807
Total operating expenses	8,613,942	7,870,989	16,922,982	15,765,746
OPERATING INCOME	2,206,271	813,556	3,582,704	1,643,132
INTEREST INCOME	29,210	3,451	75,652	9,619
INTEREST EXPENSE	(77,758)	(115,144)	(188,896)	(206,475)
INCOME BEFORE INCOME TAX EXPENSE	2,157,723	701,863	3,469,460	1,446,276
INCOME TAX EXPENSE	289,195	181,795	515,991	292,528
NET INCOME	1,868,528	520,068	2,953,469	1,153,748
NET INCOME ATTRIBUTABLE TO NON-CONTROLLING INTERESTS	167,359	108,571	356,779	240,009
NET INCOME ATTRIBUTABLE TO NTIC	$ 1,701,169	$ 411,497	$ 2,596,690	$ 913,739
NET INCOME ATTRIBUTABLE TO NTIC PER COMMON SHARE:
Basic (in dollars per share)	$ 0.18	$ 0.04	$ 0.28	$ 0.1
Diluted (in dollars per share)	$ 0.17	$ 0.04	$ 0.27	$ 0.09
WEIGHTED AVERAGE COMMON SHARES ASSUMED OUTSTANDING:
Basic (in shares)	9,427,598	9,366,357	9,427,588	9,353,989
Diluted (in shares)	9,723,671	9,747,461	9,715,121	9,745,166
CASH DIVIDENDS DECLARED PER COMMON SHARE (in dollars per share)	$ 0.07	$ 0.07	$ 0.14	$ 0.14

Note 5 - Intangible Assets, Net (Details Textual) - USD ($)	3 Months Ended		6 Months Ended
	Feb. 29, 2024	Feb. 28, 2023	Feb. 29, 2024	Feb. 28, 2023
Amortization of Intangible Assets	$ 147,571	$ 147,062	$ 295,226	$ 294,873

Note 7 - Corporate Debt

3 Months Ended

Feb. 29, 2024

Debt Disclosure [Text Block]

7. CORPORATE DEBT

On January 6, 2023, the Company entered into a Credit Agreement (the Credit Agreement) with JPMorgan Chase Bank, N.A. (JPM), which provides the Company with a senior secured revolving line of credit (the Credit Facility) of up to $10.0 million, which includes a $5.0 million sublimit for standby letters of credit. Borrowings of $1,192,645 and $3,600,000 were outstanding under the Credit Facility as of February 29, 2024 and August 31, 2023, respectively.

Unless terminated earlier, the principal amount under the Credit Facility, together with all accrued unpaid interest and other amounts owing thereunder, if any, will be payable in full on the maturity date. On January 5, 2024, the Company and JPM renewed its Credit Agreement to extend the maturity date of the Credit Facility from January 6, 2024 to January 6, 2025. All other terms of the Credit Facility and the Credit Agreement remain the same.

Borrowings under the Credit Agreement bear interest at a floating rate, at the option of the Company, equal to either the CB Floating Rate or the Adjusted SOFR Rate. The term “CB Floating Rate” means the greater of the Prime Rate in the United States or 2.50%. The term “Adjusted SOFR Rate” means the term secured overnight financing rate for either one, three or six months (depending on the interest period selected by the Company) plus 0.10% per annum. With respect to any borrowings using an Adjusted SOFR Rate, there is an applicable margin of 2.15% applied per annum. There is no applicable margin with respect to borrowings using a CB Floating Rate.

To secure the Credit Agreement, the Company assigned JPM a continuing security interest in all of its right, title and interested in collateral made up for the assets of the Company.

The Credit Agreement contains customary affirmative and negative covenants, including, among other matters, limitations on the Company’s ability to incur additional debt, grant liens, engage in certain business operations and transactions, make certain investments, modify its organizational documents or form any new subsidiaries, subject to certain exceptions. Further, the Credit Agreement contains a negative covenant that restricts the ability of the Company to redeem or repurchase its common stock or pay dividends if the result of which would cause an event of default under the Credit Agreement. The Credit Agreement also requires the Company to maintain a Fixed Charge Coverage Ratio of at least 1.25 to 1.00. The term “Fixed Charge Coverage Ratio” means the ratio, computed for the Company on a consolidated basis, of net income plus income tax expense, plus amortization expense, plus depreciation expense, plus interest expense, and plus dividends received from joint ventures, minus unfinanced capital expenditures and equity in income from joint ventures, all computed for the twelve month period then ending, to scheduled principal payments made, plus scheduled finance lease payments made, plus interest expense paid, plus income tax expense paid, and plus cash distributions and dividends paid, all computed for the same twelve month period then ending. The Company was in compliance with all covenants as of February 29, 2024.

The Credit Agreement also contains customary events of default, including, without limitation, payment defaults, material inaccuracy of representations and warranties, covenant defaults, bankruptcy and insolvency proceedings, cross-defaults to certain other agreements, breach of any financial covenant and change of control. Upon the occurrence and during the continuance of any event of default, JPM may accelerate the payment of the obligations thereunder and exercise various other customary default remedies.

On each of April 10, 2023 and May 30, 2023, the Company’s wholly-owned subsidiary in China, NTIC China, entered into a loan agreement with China Construction Bank Corporation. Each term loan provided NTIC China with a RMB 10,000,000 (USD $1.45 million). Each of the term loans matures after one year with the principal due at that time, after which an extension of the loan agreement is required. Both term loans have an annual interest rate of 3.25% with interest due monthly. Both term loans are secured by an office building owned by NTIC China and the loan agreements contain certain financial and other covenants. The Company was in compliance with the covenants as of February 29, 2024. The current outstanding balance for both term loans was USD $2,782,686 as of February 29, 2024 and USD $2,757,176 as of August 31, 2023.

The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants.

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1B
-Subparagraph (h)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481139/470-20-50-1B

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Topic 235
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
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Note 10 - Stock-based Compensation

3 Months Ended

Feb. 29, 2024

Share-Based Payment Arrangement [Text Block]

10. STOCK-BASED COMPENSATION

A summary of stock option activities under the Northern Technologies International Corporation 2024 Stock Incentive Plan (the 2024 Plan), the Northern Technologies International Corporation Amended and Restated 2019 Stock Incentive Plan (the 2019 Plan) and the Northern Technologies International Corporation Amended and Restated 2007 Stock Incentive Plan (the 2007 Plan) is as follows:

	Number of Options Outstanding		Weighted Average Exercise Price
Outstanding as of August 31, 2023		1,557,131	$	11.08
Granted		269,845	$	13.25
Exercised		—		—
Cancelled		—		—
Outstanding as of February 29, 2024		1,826,976	$	11.40

The weighted average per share fair value of options granted during the six months ended February 29, 2024 and February 28, 2023 was $5.04 and $4.75, respectively. The weighted average remaining contractual life of the options outstanding as of February 29, 2024 and February 28, 2023 was 6.31 years and 6.42 years, respectively.

The Company recognized compensation expense of $694,874 and $667,008 during the six months ended February 29, 2024 and February 28, 2023, respectively. As of February 29, 2024, there was $1,693,930 of unrecognized compensation expense. The amount is expected to be recognized over a period of 2.5 years.

Note 11 - Segment and Geographic Information (Tables)

3 Months Ended

Feb. 29, 2024

Reconciliation of Revenue from Segments to Consolidated [Table Text Block]

	Three Months Ended				Six Months Ended
	February 29, 2024		February 28, 2023		February 29, 2024		February 28, 2023
ZERUST® net sales	$	15,218,095	$	14,458,747	$	30,623,840	$	29,828,748
Natur-Tec® net sales		5,624,443		3,812,078		10,400,373		8,394,843
Total net sales	$	20,842,538	$	18,270,825	$	41,024,213	$	38,223,591

	Three Months Ended
	February 29, 2024		% of Total Fees for Services Provided to Joint Ventures			February 28, 2023		% of Total Fees for Services Provided to Joint Ventures
Poland	$	217,786		16.7	%	$	199,927		16.0	%
Germany		206,740		15.9	%		202,964		16.2	%
France		195,176		15.0	%		118,938		9.5	%
Japan		111,995		8.6	%		153,795		12.3	%
Sweden		102,984		7.9	%		112,615		9.0	%
Finland		95,748		7.3	%		91,620		7.3	%
Thailand		90,264		6.9	%		91,601		7.3	%
Czech Republic		84,789		6.5	%		91,001		7.3	%
South Korea		63,381		4.9	%		65,803		5.3	%
United Kingdom		55,101		4.2	%		65,648		5.2	%
Other		79,095		6.1	%		58,834		4.7	%
	$	1,303,059		100.0	%	$	1,252,746		100.0	%

	Six Months Ended
	February 29, 2024		% of Total Fees for Services Provided to Joint Ventures			February 28, 2023		% of Total Fees for Services Provided to Joint Ventures
Poland	$	415,803		16.3	%	$	386,623		15.9	%
Germany		412,383		16.2	%		396,792		16.3	%
France		317,142		12.4	%		228,295		9.4	%
Japan		248,076		9.7	%		301,715		12.4	%
Sweden		213,520		8.4	%		213,051		8.8	%
Finland		199,492		7.8	%		182,052		7.5	%
Thailand		169,702		6.6	%		174,557		7.2	%
Czech Republic		162,601		6.4	%		171,333		7.0	%
South Korea		138,338		5.4	%		129,197		5.3	%
United Kingdom		118,251		4.6	%		123,339		5.1	%
Other		156,709		6.1	%		127,597		5.2	%
	$	2,552,017		100.0	%	$	2,434,551		100.0	%

Reconciliation of Cost of Goods Sold from Segments to Consolidated [Table Text Block]

	Three Months Ended										Six Months Ended
	February 29, 2024		% of Product Sales*			February 28, 2023		% of Product Sales*			February 29, 2024		% of Product Sales*			February 28, 2023		% of Product Sales*
Direct cost of goods sold
ZERUST®	$	8,082,163		53.1	%	$	8,115,451		56.1	%	$	16,826,187		54.9	%	$	17,294,705		58.0	%
Natur-Tec®		3,568,719		63.5	%		2,931,036		76.9	%		6,797,302		65.4	%		6,501,709		77.4	%
Indirect cost of goods sold		852,492		—			921,270		—			1,727,286		—			1,770,985		—
Total net cost of goods sold	$	12,503,374				$	11,967,757				$	25,350,775				$	25,567,399

Schedule of Revenue from External Customers Attributed to Foreign Countries by Geographic Area [Table Text Block]

	Three Months Ended				Six Months Ended
	February 29, 2024		February 28, 2023		February 29, 2024		February 28, 2023
Inside the U.S.A. to unaffiliated customers	$	6,840,855	$	6,750,997	$	14,073,236	$	14,229,158
Outside the U.S.A. to:
Joint ventures in which the Company is a shareholder directly and indirectly		611,926		1,529,763		1,463,377		2,163,228
Unaffiliated customers		13,389,757		9,990,065		25,487,600		21,831,205
	$	20,842,538	$	18,270,825	$	41,024,213	$	38,223,591

Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas [Table Text Block]

	At February 29, 2024		At August 31, 2023
China	$	5,680,609	$	5,729,080
Other		804,148		745,469
United States		8,478,429		7,590,805
Total property and equipment, net	$	14,963,186	$	14,065,354

Revenue from External Customers by Geographic Areas [Table Text Block]

	Three Months Ended
	February 29, 2024		February 28, 2023
China	$	3,455,846	$	2,871,795
Brazil		1,326,867		1,206,790
India		5,406,404		4,364,358
Other		3,812,566		3,076,885
United States		6,840,855		6,750,997
Total net sales	$	20,842,538	$	18,270,825

	Six Months Ended
	February 29, 2024		February 28, 2023
China	$	7,134,369	$	6,618,435
Brazil		2,856,490		2,574,208
India		10,586,795		9,211,285
Other		6,373,323		5,590,505
United States		14,073,236		14,229,158
Total net sales	$	41,024,213	$	38,223,591

Note 5 - Intangible Assets, Net (Tables)

3 Months Ended

Feb. 29, 2024

Schedule of Finite-Lived Intangible Assets [Table Text Block]

	As of February 29, 2024
	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
Patents and trademarks	$	3,401,882	$	(2,764,626	)	$	637,256
Customer relationships		6,347,000		(1,057,833	)		5,289,167
Total intangible assets, net	$	9,748,882	$	(3,822,459	)	$	5,926,423

	As of August 31, 2023
	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
Patents and trademarks	$	3,339,717	$	(2,680,965	)	$	658,752
Customer relationships		6,347,000		(846,267	)		5,500,733
Total intangible assets, net	$	9,686,717	$	(3,527,232	)	$	6,159,485

Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block]

Remainder of fiscal 2024	$	409,890
Fiscal 2025		543,721
Fiscal 2026		517,990
Fiscal 2027		492,221
Fiscal 2028		479,012
Thereafter		3,483,589
Total	$	5,926,423

Note 11 - Segment and Geographic Information - Total Net Sales by Geographic Distribution (Details) - USD ($)	3 Months Ended		6 Months Ended
	Feb. 29, 2024	Feb. 28, 2023	Feb. 29, 2024	Feb. 28, 2023
Net sales	$ 20,842,538	$ 18,270,825	$ 41,024,213	$ 38,223,591
CHINA
Net sales	3,455,846	2,871,795	7,134,369	6,618,435
BRAZIL
Net sales	1,326,867	1,206,790	2,856,490	2,574,208
INDIA
Net sales	5,406,404	4,364,358	10,586,795	9,211,285
Other Countries [Member]
Net sales	3,812,566	3,076,885	6,373,323	5,590,505
UNITED STATES
Net sales	$ 6,840,855	$ 6,750,997	$ 14,073,236	$ 14,229,158

Amount of revenue recognized from goods sold, services rendered, insurance premiums, or other activities that constitute an earning process. Includes, but is not limited to, investment and interest income before deduction of interest expense when recognized as a component of revenue, and sales and trading gain (loss).

Note 9 - Net Income Per Common Share (Details Textual) - shares	3 Months Ended		6 Months Ended
	Feb. 29, 2024	Feb. 28, 2023	Feb. 29, 2024	Feb. 28, 2023
Share-Based Payment Arrangement, Option [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	580,869	305,514	580,869	305,514

Note 5 - Intangible Assets, Net - Future Amortization Expense (Details) - USD ($)	Feb. 29, 2024	Aug. 31, 2023
Fiscal 2024	$ 409,890
Fiscal 2025	543,721
Fiscal 2026	517,990
Fiscal 2027	492,221
Fiscal 2028	479,012
Thereafter	3,483,589
Total	$ 5,926,423	$ 6,159,485

Note 11 - Segment and Geographic Information - Total Long-lived Assets by Geographic Distribution (Details) - USD ($)	Feb. 29, 2024	Aug. 31, 2023
Property, plant, and equipment	$ 14,963,186	$ 14,065,354
CHINA
Property, plant, and equipment	5,680,609	5,729,080
Other Countries [Member]
Property, plant, and equipment	804,148	745,469
UNITED STATES
Property, plant, and equipment	$ 8,478,429	$ 7,590,805

Note 6 - Investments in Joint Ventures (Tables)

3 Months Ended

Feb. 29, 2024

Condensed Balance Sheet [Table Text Block]

	As of February 29, 2024
	Total		EXCOR		All Other
Current assets	$	56,241,025	$	26,949,248	$	29,291,777
Total assets		60,974,536		29,383,315		31,591,221
Current liabilities		13,269,055		2,933,713		10,335,342
Noncurrent liabilities		399,445		—		399,445
Joint ventures’ equity		47,306,036		26,449,601		20,856,435
NTIC’s share of joint ventures’ equity		23,460,869		13,224,802		10,236,067
NTIC’s share of joint ventures’ undistributed earnings		23,645,685		14,260,800		9,384,885

	As of August 31, 2023
	Total		EXCOR		All Other
Current assets	$	55,339,662	$	27,862,458	$	27,477,204
Total assets		59,729,348		30,054,277		29,675,071
Current liabilities		11,464,247		2,687,064		8777,183
Noncurrent liabilities		323,762		—		323,762
Joint ventures’ equity		47,941,339		27,367,213		20,574,126
NTIC’s share of joint ventures’ equity		23,705,714		13,683,608		10,022,106
NTIC’s share of joint ventures’ undistributed earnings		20,493,861		12,075,524		8,418,337

Condensed Income Statement [Table Text Block]

	Three Months Ended February 29, 2024
	Total		EXCOR		All Other
Net sales	$	23,479,980	$	9,163,636	$	14,316,344
Gross profit		10,139,080		4,829,931		5,309,149
Net income		2,353,152		1,378,844		974,308
NTIC’s share of equity in income from joint ventures		1,177,990		690,882		487,109
NTIC’s dividends received from joint ventures		2,020,147		1,624,950		395,197

	Six Months Ended February 29, 2024
	Total		EXCOR		All Other
Net sales	$	47,040,641	$	17,584,596	$	29,456,045
Gross profit		20,242,880		9,205,006		11,037,874
Net income		4,557,634		2,405,751		2,151,883
NTIC’s share of equity in income from joint ventures		2,280,231		1,204,335		1,075,896
NTIC’s dividends received from joint ventures		2,391,251		1,624,950		766,301

	Three Months Ended February 28, 2023
	Total		EXCOR		All Other
Net sales	$	25,482,590	$	9,708,482	$	15,774,108
Gross profit		10,035,811		4,733,435		5,302,376
Net income		1,969,046		1,365,170		603,876
NTIC’s share of equity in income from joint ventures		1,128,731		676,800		451,931
NTIC’s dividends received from joint ventures		422,048		—		422,048

	Six Months Ended February 28, 2023
	Total		EXCOR		All Other
Net sales	$	50,212,879	$	19,854,403	$	30,358,476
Gross profit		19,729,379		9,453,477		10,275,902
Net income		4,615,954		3,107,457		1,508,497
NTIC’s share of equity in income from joint ventures		2,318,135		1,547,944		770,191
NTIC’s dividends received from joint ventures		3,464,736		2,459,500		1,005,236

Note 11 - Segment and Geographic Information - Cost of Goods Sold by Segment (Details) - USD ($)

3 Months Ended

6 Months Ended

Feb. 29, 2024

Feb. 28, 2023

Feb. 29, 2024

Feb. 28, 2023

Direct Cost of Goods Sold [Member] | ZERUST [Member]

$ 12,503,374

$ 11,967,757

$ 25,350,775

$ 25,567,399

Cost of goods sold, percentage

$ 8,082,163

$ 8,115,451

$ 16,826,187

$ 17,294,705

^[1]

53.10%

56.10%

54.90%

58.00%

Direct Cost of Goods Sold [Member] | NaturTec [Member]

Cost of goods sold, percentage

$ 3,568,719

$ 2,931,036

$ 6,797,302

$ 6,501,709

^[1]

63.50%

76.90%

65.40%

77.40%

Indirect Cost of Goods Sold [Member]

$ 852,492

$ 921,270

$ 1,727,286

$ 1,770,985

[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 10 - Stock-based Compensation (Tables)

3 Months Ended

Feb. 29, 2024

Share-Based Payment Arrangement, Option, Activity [Table Text Block]

	Number of Options Outstanding		Weighted Average Exercise Price
Outstanding as of August 31, 2023		1,557,131	$	11.08
Granted		269,845	$	13.25
Exercised		—		—
Cancelled		—		—
Outstanding as of February 29, 2024		1,826,976	$	11.40

Note 4 - Property and Equipment, Net (Details Textual) - USD ($)	3 Months Ended		6 Months Ended
	Feb. 29, 2024	Feb. 28, 2023	Feb. 29, 2024	Feb. 28, 2023
Depreciation expense	$ 290,393	$ 225,962	$ 597,403	$ 488,838

Note 8 - Stockholders' Equity (Tables)

3 Months Ended

Feb. 29, 2024

Dividends Declared [Table Text Block]

Declaration Date	Amount		Record Date	Payable Date
October 18, 2023	$	0.07	November 1, 2023	November 15, 2023
January 17, 2024	$	0.07	January 31, 2024	February 14, 2024

Declaration Date	Amount		Record Date	Payable Date
October 20, 2022	$	0.07	November 3, 2022	November 16, 2022
January 20, 2023	$	0.07	February 1, 2023	February 15, 2023

Insider Trading Arrangements	3 Months Ended
Insider Trading Arrangements	Feb. 29, 2024
Insider Trading Arr Line Items
Material Terms of Trading Arrangement [Text Block]	ITEM 5. OTHER INFORMATION During the three months ended February 29, 2024, none of our directors or “officers” (as defined in Rule 16a-1(f) under the Exchange Act) adopted or terminated a “Rule 10b5-1 trading arrangement” or “non-Rule 10b5-1 trading arrangement,” as each term is defined in Item 408 of SEC Regulation S-K.
Rule 10b5-1 Arrangement Adopted [Flag]	false
Non-Rule 10b5-1 Arrangement Adopted [Flag]	false
Rule 10b5-1 Arrangement Terminated [Flag]	false
Non-Rule 10b5-1 Arrangement Terminated [Flag]	false

Note 4 - Property and Equipment, Net (Tables)

3 Months Ended

Feb. 29, 2024

Property, Plant and Equipment [Table Text Block]

	February 29, 2024			August 31, 2023
Land	$	496,965		$	496,965
Buildings and improvements		18,752,517			17,250,392
Machinery and equipment		6,057,366			5,984,364
		25,306,848			23,731,721
Less accumulated depreciation		(10,343,662	)		(9,666,367	)
	$	14,963,186		$	14,065,354

Consolidated Statements of Equity (Unaudited) - USD ($)	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	AOCI Attributable to Parent [Member]	Noncontrolling Interest [Member]	Total
BALANCE (in shares) at Aug. 30, 2022	9,232,483
BALANCE at Aug. 30, 2022	$ 184,650	$ 19,939,131	$ 50,716,613	$ (7,245,132)	$ 3,649,034	$ 67,244,296
Stock options exercised (in shares)	130,254
Stock options exercised	$ 2,605	413,958	0	0	0	416,563
Dividends paid to shareholders	0	0	(1,311,290)	0	0	(1,311,290)
Dividend received by non-controlling interest	0	0	0	0	(455,574)	(455,574)
Net income	0	0	913,739	0	240,009	1,153,748
Other comprehensive income (loss)	0	0	0	470,622	10,174	480,796
Stock option expense	$ 0	667,008	0	0	0	667,008
Stock issued for employee stock purchase plan (in shares)	3,620
Stock issued for employee stock purchase plan	$ 72	38,624	0	0	0	38,696
BALANCE (in shares) at Feb. 28, 2023	9,366,357
BALANCE at Feb. 28, 2023	$ 187,327	21,058,721	50,319,062	(6,774,510)	3,443,643	68,234,243
BALANCE (in shares) at Nov. 29, 2022	9,366,357
BALANCE at Nov. 29, 2022	$ 187,327	20,721,235	50,563,210	(7,305,836)	3,707,259	67,873,195
Stock options exercised (in shares)	0
Stock options exercised	$ 0	337,486	0	0	0	337,486
Dividends paid to shareholders	0	0	(655,645)	0	0	(655,645)
Dividend received by non-controlling interest	0	0	0	0	(375,574)	(375,574)
Net income	0	0	411,497	0	108,571	520,068
Other comprehensive income (loss)	$ 0	0	0	531,326	3,387	534,713
BALANCE (in shares) at Feb. 28, 2023	9,366,357
BALANCE at Feb. 28, 2023	$ 187,327	21,058,721	50,319,062	(6,774,510)	3,443,643	68,234,243
BALANCE (in shares) at Aug. 30, 2023	9,424,102
BALANCE at Aug. 30, 2023	$ 188,482	21,986,767	51,004,426	(6,823,403)	4,342,524	70,698,796
Dividends paid to shareholders	0	0	(1,319,866)	0	0	(1,319,866)
Dividend received by non-controlling interest	0	0	0	0	(1,075,076)	(1,075,076)
Net income	0	0	2,596,690	0	356,779	2,953,469
Other comprehensive income (loss)	0	0	0	(15,487)	(28,799)	(44,286)
Stock option expense	$ 0	694,874	0	0	0	694,874
Stock issued for employee stock purchase plan (in shares)	3,496
Stock issued for employee stock purchase plan	$ 70	40,026	0	0	0	40,096
BALANCE (in shares) at Feb. 29, 2024	9,427,598
BALANCE at Feb. 29, 2024	$ 188,552	22,721,667	52,281,250	(6,838,890)	3,595,428	71,948,007
BALANCE (in shares) at Nov. 29, 2023	9,427,598
BALANCE at Nov. 29, 2023	$ 188,552	22,377,726	51,240,015	(6,516,461)	3,726,321	71,016,153
Dividends paid to shareholders	0	0	(659,934)	0	0	(659,934)
Dividend received by non-controlling interest	0	0	0	0	(275,076)	(275,076)
Net income	0	0	1,701,169	0	167,359	1,868,528
Other comprehensive income (loss)	0	0	0	(322,429)	(23,176)	(345,605)
Stock option expense	$ 0	343,941	0	0	0	343,941
BALANCE (in shares) at Feb. 29, 2024	9,427,598
BALANCE at Feb. 29, 2024	$ 188,552	$ 22,721,667	$ 52,281,250	$ (6,838,890)	$ 3,595,428	$ 71,948,007

Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - USD ($)	Feb. 29, 2024	Aug. 31, 2023
Accounts Receivable, Allowance for Credit Loss, Current	$ 533,000	$ 533,000
Preferred Stock, No Par Value (in dollars per share)	$ 0	$ 0
Preferred Stock, Shares Authorized (in shares)	10,000	10,000
Preferred Stock, Shares Issued (in shares)	0	0
Preferred Stock, Shares Outstanding (in shares)	0	0
Common Stock, Par or Stated Value Per Share (in dollars per share)	$ 0.02	$ 0.02
Common Stock, Shares Authorized (in shares)	15,000,000	15,000,000
Common Stock, Shares, Issued (in shares)	9,427,598	9,424,101
Common Stock, Shares, Outstanding (in shares)	9,427,598	9,424,101

Note 12 - Commitments and Contingencies

3 Months Ended

Feb. 29, 2024

Commitments and Contingencies Disclosure [Text Block]

12. COMMITMENTS AND CONTINGENCIES

Concentrations

Two joint ventures (consisting of the Company’s joint ventures in Korea and Thailand) accounted for 68.4% of the Company’s trade joint venture receivables as of February 29, 2024, and three joint ventures (consisting of the Company’s joint ventures in South Korea, Sweden, France) accounted for 68.1% of the Company’s trade joint venture receivables as of February 28, 2023.

Legal Matters

From time to time, the Company is subject to various other claims and legal actions in the ordinary course of its business. The Company records a liability in its consolidated financial statements for costs related to claims, including future legal costs, settlements and judgments, where the Company has assessed that a loss is probable, and an amount could be reasonably estimated. If the reasonable estimate of a probable loss is a range, the Company records the most probable estimate of the loss or the minimum amount when no amount within the range is a better estimate than any other amount. The Company discloses a contingent liability even if the liability is not probable or the amount is not estimable, or both, if there is a reasonable possibility that material loss may have been incurred. In the opinion of management, as of February 29, 2024, the amount of liability, if any, with respect to these matters, individually or in the aggregate, will not materially affect the Company’s consolidated results of operations, financial position or cash flows.

Note 8 - Stockholders' Equity

3 Months Ended

Feb. 29, 2024

Equity [Text Block]

8. STOCKHOLDERS’ EQUITY

During the six months ended February 29, 2024, the Company’s Board of Directors declared cash dividends on the following dates in the following amounts to the following holders of the Company’s common stock:

Declaration Date	Amount		Record Date	Payable Date
October 18, 2023	$	0.07	November 1, 2023	November 15, 2023
January 17, 2024	$	0.07	January 31, 2024	February 14, 2024

During the six months ended February 28, 2023, the Company’s Board of Directors declared cash dividends on the following dates in the following amounts to the following holders of the Company’s common stock:

Declaration Date	Amount		Record Date	Payable Date
October 20, 2022	$	0.07	November 3, 2022	November 16, 2022
January 20, 2023	$	0.07	February 1, 2023	February 15, 2023

During the six months ended February 29, 2024 and February 28, 2023, the Company repurchased no shares of its common stock.

The Company issued 3,496 and 3,620 shares of common stock on September 1, 2023 and 2022, respectively, under the Northern Technologies International Corporation Employee Stock Purchase Plan (ESPP). The ESPP is compensatory for financial reporting purposes. As of February 29, 2024, 58,538 shares of common stock remained available for sale under the ESPP.

The entire disclosure for equity.

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Consolidated Balance Sheets (Current Period Unaudited) - USD ($)	Feb. 29, 2024	Aug. 31, 2023
CURRENT ASSETS:
Cash and cash equivalents	$ 4,835,031	$ 5,406,173
Receivables:
Trade, excluding joint ventures, less allowance for doubtful accounts of $533,000 as of February 29, 2024 and August 31, 2023	14,800,592	15,645,130
Trade, joint ventures	891,929	187,912
Fees for services provided to joint ventures	1,227,711	1,296,594
Dividend receivable from joint venture	509,716	1,986,027
Income taxes	0	34,202
Inventories	12,538,859	13,096,489
Prepaid expenses	2,529,476	2,019,029
Total current assets	37,333,314	39,671,556
PROPERTY AND EQUIPMENT, NET	14,963,186	14,065,354
OTHER ASSETS:
Investments in joint ventures	23,460,869	23,705,714
Deferred income tax, net	504,913	530,944
Intangible asset, net	5,926,423	6,159,485
Goodwill	4,782,376	4,782,376
Operating lease right of use assets	336,169	428,874
Total other assets	35,010,750	35,607,393
Total assets	87,307,250	89,344,303
CURRENT LIABILITIES:
Line of credit	1,192,645	3,600,000
Term loan	2,782,686	2,757,176
Accounts payable	6,487,718	6,056,329
Income taxes payable	13,798	13,053
Accrued liabilities:
Payroll and related benefits	1,425,274	2,305,400
Other	1,284,894	1,648,615
Current portion of operating leases	170,840	340,799
Total current liabilities	13,357,855	16,721,372
LONG-TERM LIABILITIES:
Deferred income tax, net	1,836,059	1,836,059
Operating leases, less current portion	165,329	88,075
Total long-term liabilities	2,001,388	1,924,134
Commitments and Contingencies
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 15,000,000 shares as of February 29, 2024 and August 31, 2023; issued and outstanding 9,427,598 and 9,424,101, respectively	188,552	188,482
Additional paid-in capital	22,721,667	21,986,767
Retained earnings	52,281,250	51,004,427
Accumulated other comprehensive loss	(6,838,890)	(6,823,403)
Stockholders’ equity	68,352,579	66,356,273
Non-controlling interests	3,595,428	4,342,524
Total equity	71,948,007	70,698,797
Total liabilities and equity	87,307,250	89,344,303
Intangible Assets Excluding Patents and Trademarks [Member]
OTHER ASSETS:
Intangible asset, net	$ 5,926,423	$ 6,159,485

Note 11 - Segment and Geographic Information - Net Sales by Geographic Location (Details) - USD ($)	3 Months Ended		6 Months Ended
	Feb. 29, 2024	Feb. 28, 2023	Feb. 29, 2024	Feb. 28, 2023
Net sales	$ 20,842,538	$ 18,270,825	$ 41,024,213	$ 38,223,591
Inside the USA to Unaffiliated Customers [Member]
Net sales	6,840,855	6,750,997	14,073,236	14,229,158
Joint Ventures in Which the Company is a Shareholder Directly and Indirectly Outside the USA [Member]
Net sales	611,926	1,529,763	1,463,377	2,163,228
Unaffiliated Customers Outside the USA [Member]
Net sales	$ 13,389,757	$ 9,990,065	$ 25,487,600	$ 21,831,205

Note 10 - Stock-based Compensation - Stock Option Activity (Details)	6 Months Ended
	Feb. 29, 2024 $ / shares shares
Outstanding, shares (in shares) \| shares	1,557,131
Outstanding, weighted average exercise price (in dollars per share) \| $ / shares	$ 11.08
Options granted, shares (in shares) \| shares	269,845
Options granted, weighted average exercise price (in dollars per share) \| $ / shares	$ 13.25
Options exercised, shares (in shares) \| shares	0
Options exercised, weighted average exercise price (in dollars per share) \| $ / shares	$ 0
Cancelled, shares (in shares) \| shares	0
Cancelled, weighted average exercise price (in dollars per share) \| $ / shares	$ 0
Outstanding, shares (in shares) \| shares	1,826,976
Outstanding, weighted average exercise price (in dollars per share) \| $ / shares	$ 11.4

Note 5 - Intangible Assets, Net

3 Months Ended

Feb. 29, 2024

Intangible Assets Disclosure [Text Block]

5. INTANGIBLE ASSETS, NET

Intangible assets, net consisted of the following:

	As of February 29, 2024
	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
Patents and trademarks	$	3,401,882	$	(2,764,626	)	$	637,256
Customer relationships		6,347,000		(1,057,833	)		5,289,167
Total intangible assets, net	$	9,748,882	$	(3,822,459	)	$	5,926,423

	As of August 31, 2023
	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
Patents and trademarks	$	3,339,717	$	(2,680,965	)	$	658,752
Customer relationships		6,347,000		(846,267	)		5,500,733
Total intangible assets, net	$	9,686,717	$	(3,527,232	)	$	6,159,485

Amortization expense related to intangible assets was $147,571 and $295,226 for the three and six months ended February 29, 2024, respectively, compared to $147,062 and $294,873 for the three and six months ended February 28, 2023, respectively.

As of February 29, 2024, future amortization expense related to intangible assets for each of the next five fiscal years and thereafter is estimated as follows:

Remainder of fiscal 2024	$	409,890
Fiscal 2025		543,721
Fiscal 2026		517,990
Fiscal 2027		492,221
Fiscal 2028		479,012
Thereafter		3,483,589
Total	$	5,926,423

Note 2 - Accounting Pronouncements

3 Months Ended

Feb. 29, 2024

Accounting Standards Update and Change in Accounting Principle [Text Block]

2. ACCOUNTING PRONOUNCEMENTS

Recently Adopted Accounting Pronouncements

In June 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2016-13, Measurement of Credit Losses on Financial Instruments, which revises guidance for the accounting for credit losses on financial instruments within its scope, and in November 2018, issued ASU No. 2018-19 and in April 2019, issued ASU No. 2019-04 and in May 2019, issued ASU No. 2019-05, and in November 2019, issued ASU No. 2019-11, which amended the standard. The new standard introduces an approach, based on expected losses, to estimate credit losses on certain types of financial instruments and modifies the impairment model for available-for-sale debt securities. The new approach to estimating credit losses (referred to as the current expected credit losses model) applies to most financial assets measured at amortized cost and certain other instruments, including trade and other receivables, loans, held-to-maturity debt securities, net investments in leases and off-balance-sheet credit exposures. This ASU is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. Entities are required to apply the standard’s provisions as a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is adopted. The Company adopted this pronouncement on September 1, 2023 which did not have a material impact on the Company’s consolidated financial position or operating results.

The entire disclosure for change in accounting principle. Includes, but is not limited to, nature, reason, and method of adopting amendment to accounting standards or other change in accounting principle.

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Note 14 - Income Taxes

3 Months Ended

Feb. 29, 2024

Income Tax Disclosure [Text Block]

14. INCOME TAXES

Income tax expense for the three and six months ended February 29, 2024 was $289,195 and $515,991, respectively, compared to $181,795 and $292,528, respectively, for the three and six months ended February 28, 2023. The expense was largely due to foreign operations. The Company has federal and state tax credit carry forwards, net operating loss carry forwards and foreign tax carry forwards. The Company has recorded a full valuation allowance against the U.S. deferred tax assets as of February 29, 2024 and August 31, 2023.

The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.

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Note 9 - Net Income Per Common Share - Reconciliation of the Earnings Per Share Computations (Details) - USD ($)	3 Months Ended		6 Months Ended
	Feb. 29, 2024	Feb. 28, 2023	Feb. 29, 2024	Feb. 28, 2023
Net income	$ 1,701,169	$ 411,497	$ 2,596,690	$ 913,739
Basic-weighted shares outstanding (in shares)	9,427,598	9,366,357	9,427,588	9,353,989
Weighted shares assumed upon exercise of stock options (in shares)	296,073	381,104	287,533	391,177
Diluted – weighted shares outstanding (in shares)	9,723,671	9,747,461	9,715,121	9,745,166
Basic net income per share: (in dollars per share)	$ 0.18	$ 0.04	$ 0.28	$ 0.1
Diluted net income per share: (in dollars per share)	$ 0.17	$ 0.04	$ 0.27	$ 0.09

The amount of net income (loss) for the period per each share of common stock or unit outstanding during the reporting period.

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The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

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Note 11 - Segment and Geographic Information (Details Textual)	6 Months Ended
	Feb. 29, 2024
2	2

Consolidated Statements of Cash Flows (Unaudited) - USD ($)	6 Months Ended
	Feb. 29, 2024	Feb. 28, 2023
CASH FLOWS FROM OPERATING ACTIVITIES:
NET INCOME	$ 2,953,469	$ 1,153,748
Adjustments to reconcile net income to net cash provided by operating activities:
Stock-based compensation	694,874	667,008
Depreciation expense	597,403	488,838
Amortization expense	295,226	294,873
Loss on disposable of assets	0	(8,534)
Equity in income from joint ventures	(2,280,231)	(2,318,135)
Dividends received from joint ventures	2,391,251	3,464,736
Deferred income taxes	(28,088)	70,166
Changes in current assets and liabilities:
Trade, excluding joint ventures	900,127	(338,014)
Trade, joint ventures	(704,017)	(917,073)
Fees for services provided to joint ventures	68,883	656,210
Dividends receivable from joint venture	1,986,027	0
Income taxes	(475,514)	(313,270)
Inventories	568,467	996,522
Prepaid expenses and other	(551,739)	259,712
Accounts payable	417,650	(1,293,897)
Income tax payable	789	(29,503)
Accrued liabilities	(1,247,746)	(488,221)
Net cash provided by operating activities	5,643,007	2,204,834
CASH FLOWS FROM INVESTING ACTIVITIES:
Proceeds from the sale of available for sale securities	0	5,590
Proceeds from sale of property and equipment	0	13,000
Purchases of property and equipment	(1,443,762)	(1,871,903)
Investments in patents	(62,165)	(70,023)
Net cash used in investing activities	(1,505,927)	(1,923,336)
CASH FLOWS FROM FINANCING ACTIVITIES
Net (payments) proceeds from line of credit	(2,407,355)	1,200,000
Dividends paid on NTIC common stock	(1,319,866)	(1,311,290)
Proceeds from the exercise of stock options	0	416,563
Dividends received by non-controlling interest	(1,075,076)	(455,574)
Proceeds from employee stock purchase plan	40,096	38,696
Net cash used in financing activities	(4,762,201)	(111,605)
EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS	53,978	(52,672)
NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS	(571,143)	117,221
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD	5,406,174	5,333,890
CASH AND CASH EQUIVALENTS AT END OF PERIOD	$ 4,835,031	$ 5,451,111

Note 13 - Supplemental Cash Flow Information (Tables)

3 Months Ended

Feb. 29, 2024

Schedule of Cash Flow, Supplemental Disclosures [Table Text Block]

	Three Months Ended				Six Months Ended
	February 29, 2024		February 28, 2023		February 29, 2024		February 28, 2023
Cash paid for interest	$	77,758	$	115,144	$	188,896	$	206,475

Note 13 - Supplemental Cash Flow Information

3 Months Ended

Feb. 29, 2024