NAPCO SECURITY TECHNOLOGIES, INC

NAPCO Security Technologies, Inc. (Nasdaq: NSSC) is a leading manufacturer and designer of high-tech electronic security devices and a provider of school safety solutions. The company operates through a diversified portfolio of security products and recurring communication services, serving commercial, residential, institutional, industrial, and governmental applications. The company's website is http://www.napcosecurity.com.

NAPCO's core business encompasses standalone and networked digital door locks, standard and custom locksets, panic devices, door closers, intrusion alarm equipment, and integrated cellular intrusion alarm systems. The company also manufactures access control systems, video surveillance products, and fire alarm control panels. A significant and growing portion of NAPCO's revenue derives from communication services, which represent approximately 48 percent of total revenue and generate gross margins approaching 90 percent. These recurring monthly service revenues are generated through the company's Networx Operations Center, which provides secure cellular and cloud access for intrusion and fire alarm communicators and other smart security devices.

The company operates manufacturing facilities in the Dominican Republic, where over 90 percent of products are manufactured in a vertically integrated, tax-advantaged free zone location. Administrative, research and development, design, and customer support functions are conducted at the company's 100,000-square-foot headquarters facility in Amityville, New York. NAPCO maintains a national network of approximately 2,200 active customers comprised of independent distributors, dealers, and installers of security equipment.

NAPCO has established recognized brands including NAPCO Security Technologies, Alarm Lock, NAPCO Access Pro, and Marks USA. The company employs 1,049 full-time employees, with 293 located in the United States and 756 at the Dominican Republic manufacturing facility. The company has built competitive advantages through its ability to design and manufacture an integrated platform of security solutions encompassing intrusion alarms, access control, connectivity, and locking devices, allowing customers to avoid incompatibility issues from multiple vendors. Founded in 1969 and incorporated in Delaware in 1971, NAPCO generates revenue through both equipment sales and recurring monthly service subscriptions.