NAPCO Security Technologies(NSSC) - 2026 Q1 - Quarterly Results

Financial Performance - Record Q1 net revenues of $49.2 million, an 11.7% year-over-year increase[9] - Net income increased 8.8% year-over-year to a Q1 record of $12.2 million[5] - Diluted EPS increased year-over-year to $0.34 from $0.30[9] - Net income for Q3 2025 increased to $12,165,000, up from $11,185,000 in Q3 2024, representing a growth of 8.8%[16] - EBITDA for Q3 2025 was reported at $14,351,000, compared to $12,405,000 in Q3 2024, reflecting a year-over-year increase of 15.7%[18] - Adjusted EBITDA for Q3 2025 reached $14,942,000, up from $12,335,000 in Q3 2024, indicating a growth of 21.2%[18] - Adjusted EBITDA for Q1 2026 was $14.9 million, representing a 21.1% increase year-over-year[3] Revenue Breakdown - Equipment revenue increased 12.3% year-over-year to $25.7 million[9] - Recurring service revenue (RSR) increased 11.1% year-over-year to $23.4 million with a gross margin of 90%[9] - RSR has a prospective annual run rate of approximately $95 million based on October 2025 recurring service revenues[5] Profitability Metrics - Gross profit margin for Q1 2026 was 56.6%, compared to 55.9% in the prior fiscal year quarter[9] Cash Flow and Dividends - Cash flows from operating activities were $11.6 million, a decrease of 3.2% year-over-year[3] - Cash and cash equivalents at the end of Q3 2025 totaled $95,400,000, an increase from $85,596,000 at the end of Q3 2024, marking a rise of 11.1%[16] - Net cash provided by operating activities for Q3 2025 was $11,637,000, slightly down from $12,025,000 in Q3 2024, a decrease of 3.2%[16] - The company reported a net cash provided by investing activities of $5,674,000 in Q3 2025, compared to $15,456,000 in Q3 2024, a decline of 63.3%[16] - Dividends paid in Q3 2025 amounted to $4,992,000, with no dividends paid in Q3 2024[16] - The Board declared a quarterly dividend of $0.14 per share, payable on January 2, 2026[7] Shareholder Metrics - The diluted net income per share for Q3 2025 was $0.34, up from $0.30 in Q3 2024, representing a growth of 13.3%[18] - Adjusted EBITDA per diluted share for Q3 2025 was $0.42, compared to $0.33 in Q3 2024, reflecting an increase of 27.3%[18] Accounts Receivable - The company experienced a change in accounts receivable of $(561,000) in Q3 2025, contrasting with a positive change of $3,671,000 in Q3 2024[16]