By Connor Hart
Shares of Napco Security Technologies rose after the company's fiscal fourth-quarter results beat Wall Street expectations and its CEO expressed confidence regarding its current year.
The stock climbed 15%, to $36.50, in premarket trading Monday. Through Friday's close, shares had lost about 43% of their value in the past year.
The maker of security products before the bell posted a profit of $11.6 million for its three months ended June 30, compared with $13.5 million a year earlier. Quarterly earnings of 33 cents a share topped the 27 cents that analysts polled by FactSet expected.
Net sales ticked 0.8% higher to $50.7 million, ahead of the $44.4 million that Wall Street modeled.
Equipment revenues ebbed 5.5%, offset by a 10% increase in service revenues.
Chief Executive Richard Soloway said the Amityville, N.Y., company faced challenges with its equipment-revenue performance throughout its past fiscal year, in part due to distributor destocking.
"However we are encouraged by the 27% increase in equipment sales from 3Q to 4Q, and we are optimistic that equipment sales will grow in fiscal 2026," he said. "As we enter fiscal 2026 we remain confident that our net income, Adjusted Ebitda and cash flow will continue to be strong."
Soloway added that he believes the company is well positioned amid the evolving tariff environment.
Write to Connor Hart at connor.hart@wsj.com
(END) Dow Jones Newswires
August 25, 2025 09:07 ET (13:07 GMT)
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