Company: NSSC
Filing Date: 2025-05-05
Form Type: 10-Q
Source: 0001558370-25-006267
Chunk: 15

Company: NAPCO SECURITY TECHNOLOGIES, INC
Filing Date: 2025-05-05
Form: 10-Q
Item: Part I, Item 2
Chunk 15
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 is a leading manufacturer and designer of high-tech electronic security devices, wireless communication services for intrusion and fire alarm systems as well as a provider of school safety solutions. We offer a diversified array of security products, encompassing access control systems, door-locking products, intrusion and fire alarm systems and video surveillance products, used for commercial, residential, institutional, industrial and governmental applications. We have experienced significant growth in recent years, primarily driven by our recurring service revenues from wireless communication services for intrusion and fire alarm systems.

NAPCO has established a heritage and proven record in the professional security community for reliably delivering both advanced technology and high-quality security solutions. We are dedicated to developing innovative technology and producing the next generation of reliable security solutions that utilize remote communications and wireless networks.

Highlights from the three and nine months ended March 31, 2025 compared with the comparable periods in fiscal 2024 included:

●Net sales decreased 10.8% to $44.0 million and 5.5% to $130.9 million, for the three and nine months.

●Recurring service revenue (“RSR”) increased 10.6% and 15.4% to $21.6 and $63.9 million for the three and nine months. 

●Total gross profit margin increased from 53.8% to 57.2% and 53.4% to 56.7% for the three and nine months.

●Gross margin for RSR decreased to 90.8% as compared to 91.8% for the three months and increased to 91.1% as compared to 90.5% for the nine months.

●Generated $38.9 million in cash flows from operations for the nine months ended March 31, 2025 as compared to $31.0 in fiscal 2024.