Business
NAPCO Announces Third Quarter Fiscal 2022 Results
-3rd Quarter Sales Increase 27% to a Record $35.9 Million- -3rd Quarter Recurring Service Revenues Increase 35% to $12.0 Million With Gross Margins of 87%-
About this update from Napco Security Technologies, Inc.
[{"type":"text","content":"-3rd Quarter Sales Increase 27% to a Record $35.9 Million-\n-3rd Quarter Recurring Service Revenues Increase 35% to $12.0 Million With Gross Margins of 87%-\n-Net Income of $2.9M and Adjusted EBITDA* of $5.2 Million for the Quarter Impacted by Supply Chain Disruptions-\nAMITYVILLE, N.Y., May 9, 2022 /PRNewswire/ -- NAPCO Security Technologies, Inc. (NASDAQ: NSSC), one of the leading manufacturers and designers of high-tech electronic security devices, wireless recurring communication services for intrusion and fire alarm systems as well as a leading provider of school safety solutions, today announced financial results for its third quarter of fiscal 2022.\nFinancial Highlights: \nNet sales for the quarter increased 27% to a quarterly record of $35.9 million as compared to $28.2 million for the same period last year.Recurring service revenue (\"RSR\") for the quarter increased 35% to $12.0 million as compared to $8.9 million for the same period last year. Recurring service revenue now has a prospective annual run rate of $49.9 million based on April 2022 recurring revenues.Gross margin for recurring service revenue for the quarter was 87% as compared to 86% for the same period last year.Net income for the quarter was $2.9M as compared to $4.4 million for the same period a year ago, a 34% decrease. This decrease was primarily due to increased costs resulting from supply chain disruptions.Earnings per share (diluted) for the quarter was $0.08 as compared to $0.12 for the same period a year ago.Adjusted EBITDA* for the quarter was $5.2 million as compared to $5.5 million for the same period a year ago, a 5% decrease.Adjusted EBITDA* per share (diluted) for the quarter was $0.14 as compared to $0.15 for the same period a year ago.Cash, cash equivalents and marketable securities were $47.4 million at March 31, 2022, an 18% increase as compared to $40.2 million at June 30, 2021. The Company had no debt as of March 31, 2022.Cash Provided by Operating Activities for the nine months was $8.4 million as compared to $16.4 million for the same period last year. This decrease was primarily due to Inventories increasing by $11.3 million as compared to a decrease of $5.7 million in the same period a year ago.The Company will likely delay filing its Form 10-Q for up to five business days as it re-evaluates its inventory reserves including metho...