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Dec 31, 2019
Napco Q2 2020 Earnings Report
Achieved record sales and profitability, driven by recurring service revenue growth.
Key Takeaways
NAPCO Security Technologies reported a 4% increase in sales to a record $25.8 million for the second fiscal quarter of 2020. Net income increased by 25% to a record $3.6 million, with earnings per share rising by 27% to $0.19. Recurring service revenues grew by 40% to $5.8 million.
Sales increased 4% to a record $25.8 million, marking the 22nd consecutive quarter of year-over-year growth.
Net income increased 25% to a record $3.6 million.
Recurring service revenues grew 40% to $5.8 million.
Earnings per share increased 27% to $0.19.
Napco
Napco
Napco Revenue by Segment
Revenue by Segment
Recurring Services Revenue
CapyFin.com Forward Guidance
NAPCO will continue to focus on driving recurring service revenue growth and gross margin expansion by launching new products in high-growth markets.
Positive Outlook
- Leveraging StarLink cellular communication technology into additional product categories.
- Rollout of NAPCO's new iSecure Cellular Security Alarm and Smart Home product line.
- Launching a line of cloud-based, wireless electronic locks and enterprise access control.
- Continuing to perform a vital role in protecting colleges, universities, and K-12 schools.
- Focus on driving strong levels of high recurring service revenue growth and gross margin expansion.