NAPCO Security Technologies Declares Dividend and Authorizes Stock Repurchase Program

Napco Security Technologies, Inc. (NASDAQ: NSSC) announced key financial decisions in its recent 8-K filing. The company’s Board of Directors declared a cash dividend of $.125 per share on November 1, 2024, payable on January 3, 2025, to shareholders of record as of December 12, 2024. Additionally, the Board authorized Napco to repurchase up to 1,000,000 shares of its common stock on the same day, an addition to the previously authorized repurchases.

The results for the three months ended September 30, 2024, were highlighted in a press release issued on November 4, 2024, by Napco Security Technologies. The company reported that net sales for the quarter reached a new high of $44.0 million, reflecting a 6% increase from the previous quarter. Net income also rose by 7% to $11.2 million, setting a new quarterly record.

Adjusted EBITDA for the period decreased 4% to $12.3 million, compared to $12.9 million in the same period last year. Despite this decline, Napco Security Technologies remains optimistic about its financial health, with cash and cash equivalents, other investments, and marketable securities standing at $102.2 million as of September 30, 2024, showcasing a 5% increase.

Napco’s CEO, Richard Soloway, expressed satisfaction with the quarterly results, noting that fiscal 2025 began with record-breaking sales and profits, marking the sixteenth consecutive quarter of record sales for a quarterly reporting period. Soloway highlighted the company’s emphasis on innovation and technical superiority, driving profitability and financial strength.

The company also provided forward-looking statements regarding its expectations for future results, introducing new products to expand its market presence. Additionally, the increasing demand for Napco’s school safety solutions and recurring service revenues indicates positive growth prospects moving forward.

During the fiscal quarter, the company witnessed a 22% increase in recurring service revenues, amounting to $21.1 million, with a gross margin of 91%. Napco’s balance sheet reflected strong financial health, with no outstanding debt and improved operating cash flow generating $12.0 million, a 7% increase from the same period last year.

Napco Security Technologies continues to focus on product innovation and market expansion to drive growth and profitability throughout fiscal year 2025. The company’s commitment to consistent financial performance and shareholder value is demonstrated by the declared dividend and stock repurchase initiative.

The full details of Napco Security Technologies’ financial results and forward-looking statements can be accessed through the company’s official filings and financial reports.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Napco Security Technologies’s 8K filing here.

About Napco Security Technologies

Napco Security Technologies, Inc develops, manufactures, and sells electronic security systems for commercial, residential, institutional, industrial, and governmental applications in the United States and internationally. Its access control systems include various types of identification readers, control panels, PC-based computers, and electronically activated door-locking devices; intrusion and fire alarm systems, consists of various detectors, a control panel, a digital keypad and signaling equipment; and door locking devices comprise microprocessor-based electronic door locks with push button, card readers and bio-metric operation, door alarms, mechanical door locks, and simple dead bolt locks.