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Note 7 - Investments in Joint Ventures | 12 Months Ended
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Aug. 31, 2014
Equity Method Investments and Joint Ventures [Abstract] |
Equity Method Investments and Joint Ventures Disclosure [Text Block] | 7. INVESTMENTS IN JOINT VENTURES The 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 financial statements have subsequently been adjusted to conform with accounting principles generally accepted in the United States of America in all material respects. All material profits recorded on sales from the Company to its 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), joint venture in China and all of the Company’s other joint ventures, are summarized as follows:
|  | August 31, 2014 |
|  | TOTAL |  |  | EXCOR |  |  | China |  |  | All Other |
Current assets |  | $ | 61,491,957 |  |  | $ | 24,361,157 |  |  | $ | 9,774,680 |  |  | $ | 27,356,120 |
Total assets |  |  | 65,466,964 |  |  |  | 26,652,165 |  |  |  | 9,793,803 |  |  |  | 29,020,996 |
Current liabilities |  |  | 17,542,634 |  |  |  | 3,512,143 |  |  |  | 4,438,380 |  |  |  | 9,592,111 |
Noncurrent liabilities |  |  | 1,929,488 |  |  |  | — |  |  |  | 868,377 |  |  |  | 1,061,111 |
Joint ventures’ equity |  |  | 45,994,842 |  |  |  | 23,140,022 |  |  |  | 4,487,046 |  |  |  | 18,367,775 |
Northern Technologies International Corporation’s share of joint ventures’ equity |  |  | 22,961,989 |  |  |  | 11,570,013 |  |  |  | 2,243,524 |  |  |  | 9,148,452 |
Northern Technologies International Corporation's share of joint ventures’ undistributed earnings |  | $ | 20,540,523 |  |  | $ | 11,539,108 |  |  | $ | 2,193,524 |  |  | $ | 6,807,891 |
|  | August 31, 2013 |
|  | TOTAL |  |  | EXCOR |  |  | China |  |  | All Other |
Current assets |  | $ | 63,052,410 |  |  | $ | 25,955,136 |  |  | $ | 11,200,355 |  |  | $ | 25,896,919 |
Total assets |  |  | 68,417,142 |  |  |  | 28,391,787 |  |  |  | 11,226,755 |  |  |  | 28,798,600 |
Current liabilities |  |  | 16,107,597 |  |  |  | 3,572,004 |  |  |  | 3,080,118 |  |  |  | 9,455,475 |
Noncurrent liabilities |  |  | 2,488,057 |  |  |  | — |  |  |  | 871,886 |  |  |  | 1,616,171 |
Joint ventures’ equity |  |  | 49,821,488 |  |  |  | 24,819,783 |  |  |  | 7,274,751 |  |  |  | 17,726,954 |
Northern Technologies International Corporation’s share of joint ventures’ equity |  |  | 24,702,981 |  |  |  | 12,409,893 |  |  |  | 3,637,375 |  |  |  | 8,655,713 |
Northern Technologies International Corporation's share of joint ventures’ undistributed earnings |  | $ | 22,281,510 |  |  | $ | 12,378,988 |  |  | $ | 3,587,375 |  |  | $ | 6,315,147 |
|  | Fiscal Year Ended August 31, 2014 |
|  | TOTAL |  |  | EXCOR |  |  | China |  |  | All Other |
Net sales |  | $ | 118,848,890 |  |  | $ | 39,944,812 |  |  | $ | 15,920,685 |  |  | $ | 62,983,393 |
Gross profit |  |  | 56,960,918 |  |  |  | 21,045,091 |  |  |  | 7,463,168 |  |  |  | 28,452,659 |
Net income |  |  | 11,842,338 |  |  |  | 7,906,693 |  |  |  | 1,274,487 |  |  |  | 2,661,158 |
Northern Technologies International Corporation’s share of equity in income from joint ventures |  | $ | 5,920,603 |  |  | $ | 3,950,915 |  |  | $ | 626,763 |  |  | $ | 1,342,925 |
|  | Fiscal Year Ended August 31, 2013 |
|  | TOTAL |  |  | EXCOR |  |  | China |  |  | All Other |
Net sales |  | $ | 113,189,068 |  |  | $ | 36,476,544 |  |  | $ | 15,161,289 |  |  | $ | 61,551,235 |
Gross profit |  |  | 52,058,609 |  |  |  | 19,470,322 |  |  |  | 7,153,395 |  |  |  | 25,434,891 |
Net income |  |  | 10,650,542 |  |  |  | 7,009,897 |  |  |  | 1,157,995 |  |  |  | 2,482,650 |
Northern Technologies International Corporation’s share of equity in income from joint ventures |  | $ | 5,237,711 |  |  | $ | 3,507,057 |  |  | $ | 579,376 |  |  | $ | 1,151,278 |
The Company records expenses that are directly attributable to the joint ventures on its consolidated statements of operations on the line “Expenses incurred in support of joint ventures”. The expenses include items such as employee compensation and benefits, travel, consulting, legal and laboratory supplies and testing expenses. During fiscal 2014, NTI Asean invested $100,988 in its joint venture in Singapore. The Company did not make any other joint venture investments during fiscal 2014. During fiscal 2014, the Company agreed to sell its indirect ownership interest in Mütec GmbH (Mütec), one of the Company’s joint ventures in Germany which manufactures proprietary electronic sensing instruments. As of August 31, 2014, $156,854 is due to the Company related to this transaction. During fiscal 2013, the Company obtained an additional 10% ownership interest in NTI Asean in exchange for a license agreement. The Company accounted for the transaction resulting in the additional ownership as a business combination. Beginning in the first quarter of fiscal 2013, the Company consolidated the results of NTI Asean. Immediately prior to the transaction, the Company re-measured the fair value of NTI Asean and determined that there was no difference between the fair value and the book value of the entity. As a result, there was no accounting impact related to the business combination in the consolidated statements of operations. The Company did not make any other joint venture investments during fiscal 2013.

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- Definition The entire disclosure for equity method investments and joint ventures. Equity method investments are investments that give the investor the ability to exercise significant influence over the operating and financial policies of an investee. Joint ventures are entities owned and operated by a small group of businesses as a separate and specific business or project for the mutual benefit of the members of the group. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02.12) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 323 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=6382943&loc=d3e33918-111571 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 323 -SubTopic 10 -Section 35 -Paragraph 32 -URI http://asc.fasb.org/extlink&oid=35687916&loc=d3e32787-111569 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 323 -SubTopic 10 -Section 35 -Paragraph 35 -URI http://asc.fasb.org/extlink&oid=35687916&loc=d3e32847-111569 + Details
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