-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, UyLYS3QchoIGAYYWKtkEOhCiwzsK+dTXDcDG7Qvg4RI7tXLzjltvBex8xcfceLf5 SWp53JVKdFU5DYH5irTp6Q== 0000950123-06-011655.txt : 20060915 0000950123-06-011655.hdr.sgml : 20060915 20060915162156 ACCESSION NUMBER: 0000950123-06-011655 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20060913 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20060915 DATE AS OF CHANGE: 20060915 FILER: COMPANY DATA: COMPANY CONFORMED NAME: NAPCO SECURITY SYSTEMS INC CENTRAL INDEX KEY: 0000069633 STANDARD INDUSTRIAL CLASSIFICATION: COMMUNICATIONS EQUIPMENT, NEC [3669] IRS NUMBER: 112277818 STATE OF INCORPORATION: DE FISCAL YEAR END: 0630 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-10004 FILM NUMBER: 061093660 BUSINESS ADDRESS: STREET 1: 333 BAYVIEW AVE CITY: AMITYVILLE STATE: NY ZIP: 11701 BUSINESS PHONE: 5168429400 MAIL ADDRESS: STREET 1: 333 BAYVIEW AVE STREET 2: XXXXXXXXXXXXXXXXXXX CITY: AMITYVILLE STATE: NY ZIP: 11701 8-K 1 y25189e8vk.txt 8-K UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 -------- FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Date of Report (Date of earliest event reported) September 13, 2006 NAPCO SECURITY SYSTEMS, INC. (Exact name of registrant as specified in charter) Delaware 0-10004 11-2277818 - --------------- ------------ ------------------- (State or other (Commission (IRS Employer jurisdiction of File Number) Identification No.) incorporation) 333 Bayview Avenue, Amityville, New York 11701 (Address of principal executive offices) Registrant's telephone number, including area code (631) 842-9400 Check the appropriate box below if the Form 8-K filing is intended to satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2 below): [ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) [ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) [ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) [ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) INFORMATION TO BE INCLUDED IN THE REPORT ITEM 2.02. RESULTS OF OPERATIONS AND FINANCIAL CONDITION On September 13, 2006, the registrant issued a press release to report results for the year ended June 30, 2006. This press release is furnished as Exhibit 99.1. The information in this Current Report on Form 8-K, including the exhibits attached hereto, is furnished pursuant to Item 2.02 and shall not be deemed to be "filed" for the purposes of Section 18 of the Securities Exchange Act of 1934, or otherwise subject to the liabilities of that section. ITEM 9.01. FINANCIAL STATEMENTS AND EXHIBITS (d) Exhibits: 99.1 Press Release issued by Napco Security Systems, Inc. dated September 13, 2006. - ------------------------------------------------------------------------------- Page 2 SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunder duly authorized. NAPCO SECURITY SYSTEMS, INC. ----------------------------------- (Registrant) Date: September 15, 2006 By: /s/ Kevin S. Buchel ------------------------------------ Kevin S. Buchel Senior Vice President and Chief Financial Officer - ------------------------------------------------------------------------------- Page 3 EX-99.1 2 y25189exv99w1.txt PRESS RELEASE Exhibit 99.1 FOR IMMEDIATE RELEASE CONTACT: Richard L. Soloway, CEO Stephen D. Axelrod, CFA Kevin S. Buchel, Senior VP Alisa D. Steinberg (Media) NAPCO Security Systems, Inc. Wolfe Axelrod Weinberger Assoc. LLC (631) 842-9400 ext. 120 (212) 370-4500; (212) 370-4505 fax steve@wolfeaxelrod.com NAPCO SECURITY SYSTEMS, INC. REPORTS RECORD RESULTS FOR FISCAL 2006 - Revenues Increase 7% to $69.5 Million; Net Income Increases 9% to $6.1 Million - AMITYVILLE, NEW YORK - SEPTEMBER 13, 2006 -- NAPCO Security Systems, Inc., (Nasdaq: NSSC), one of the world's leading suppliers of high performance electronic security equipment for over 30 years, today announced financial results for its fiscal year ended June 30, 2006. Net sales for fiscal year ended June 30, 2006 were a record $69,548,000, an increase of 7% compared to $65,229,000 reported for the fiscal year ended June 30, 2005. Operating income rose 7% to a record $9,523,000 in fiscal 2006 from $8,910,000 in fiscal 2005. Net income for fiscal 2006 increased 9% to a record $6,119,000, or $0.30 per fully diluted share as compared to $5,629,000, or $0.28 per fully diluted share for fiscal 2005. Per share results are based on 20,604,000 and 20,284,000 fully diluted weighted average shares outstanding in fiscal 2006 and 2005, respectively, both reflecting the Company's two stock dividends during fiscal 2006. Richard Soloway, Chairman and President, stated, "I am very pleased that for the third consecutive year we were able to reach record sales and for the second consecutive year we reached record profit levels. Supported by an R&D budget of approximately $5 million, NAPCO has continually developed many new state-of-the art products to satisfy the sophisticated demands of the government, industrial, commercial and residential markets." Mr. Soloway added, "We believe our efforts with ADT, one of the largest companies in residential security and monitoring, to develop an easy to use, false alarm proof, alarm system, is gaining acceptance. NAPCO is optimistic that this product, called SafeWatch EZ by ADT, will be a significant contributor to the Company's sales for years to come. In addition, we are equally optimistic about the success in rolling out this technology to other alarm companies through our Freedom line. Both products incorporate unique NAPCO patented locking technology that is easy to install, has 6 to 64 zones of wireless and hardwire capability and are so simple to operate for consumers that they are virtually foolproof." - More - - ------------------------------------------------------------------------------- Page 4 Mr. Soloway concluded, "NAPCO's financial performance over the past several years has been impressive and our confidence in strong future growth is undiminished. We have solid financial resources to support our growth and the wherewithal to acquire companies that will be immediately accretive in market segments that mesh well with our own. We will continue to support our growth by expending the necessary financial resources on R&D to provide the marketplace with products and systems that will maintain NAPCO's position as the market leader in developing and providing security products and systems for the needs of the government, industrial, commercial and residential markets. We are cautiously optimistic that all the necessary components are in place to improve shareholder value even further in fiscal 2007." ---------------------------------- NAPCO Security Systems, Inc. is one of the world's leading manufacturers of technologically advanced electronic security equipment including intrusion and fire alarm systems, access control systems and electronic locking devices. The Company's products, including those of Alarm Lock and Continental Instruments, feature some of the most popular and best-selling security control panels and sensors, locking devices and access control products. They are used in residential, commercial, institutional, industrial and governmental applications. NAPCO security products have earned a reputation for technical excellence, reliability and innovation, poising the Company for revenue growth in the rapidly expanding electronic security market, a market whose current size exceeds $30 billion. For additional information on NAPCO, please visit the Company's web site at www.napcosecurity.com. This press release contains forward-looking statements that involve numerous risks and uncertainties. Actual results, performance or achievements could differ materially from those anticipated in such forward-looking statements as a result of certain factors, including those set forth in the Company's filings with the Securities and Exchange Commission. - Table to Follow - - ------------------------------------------------------------------------------- Page 5 NAPCO SECURITY SYSTEMS, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF INCOME (In Thousands, Except Share and Per Share Data)
Years Ended June 30, --------------------------- 2006 2005* --------- --------- Net sales $ 69,548 $ 65,229 Cost of sales 43,607 41,305 --------- --------- Gross Profit 25,941 23,924 Selling, general, and administrative expenses 16,418 15,014 --------- --------- Operating Income 9,523 8,910 --------- --------- Other (expense): Interest expense, net (258) (224) Other, net (14) (58) --------- --------- (272) (282) --------- --------- Income before minority interest and provision for income taxes 9,251 8,628 Minority interest in loss of subsidiary 132 228 --------- --------- Income before provision for income taxes 9,383 8,856 Provision for income taxes 3,264 3,227 --------- --------- Net Income $ 6,119 $ 5,629 ========= ========= Earnings per share: Basic $ 0.31 $ 0.29 ======= ======= Diluted $ 0.30 $ 0.28 ======= ======= Weighted average number of shares outstanding: Basic 19,785,000 19,265,000 ---------- ---------- Diluted 20,604,000 20,284,000 ---------- ----------
* The 3:2 stock split declared on November 29, 2005 and the 3:2 stock split declared on May 10, 2006, have been retroactively reflected in all 2006 and 2005 share and per share data. ### - ------------------------------------------------------------------------------- Page 6 -----END PRIVACY-ENHANCED MESSAGE-----