Napco Security Technologies, Inc.

Gross profit margin for Q1 2026 of 56.6% vs 55.9% in prior fiscal year quarter Diluted EPS increased YoY to $0.34 vs $0.30 The Board declared a quarterly dividend of $0.14 per share, payable on January 2, 2026 to shareholders of record on December 12, 2025.

SEC original ↗Napco Security Technologies, Inc. — Earnings release (8-K exhibit)EX-99Nov 3, 2025

As such we are pleased to continue our dividend program and will be paying the next quarterly dividend of $0.14 per share on January 2, 2026 to shareholders of record on December 12, 2025.

SEC original ↗Napco Security Technologies, Inc. — Earnings release (8-K exhibit)EX-99Nov 3, 2025

14 per share) ( 4,992 ) ( 4,992 ) Balances at September 30, 2025 39,778,938 $ 398 $ 25,589 ( 4,114,614 ) $ ( 56,315 ) $ 206,256 $ 185 $ 176,113 Net income 13,503 13,503 Other comprehensive income, net of tax 6 6 Stock-based compensation expense 185 185 Cash dividend ($ .

SEC original ↗Napco Security Technologies, Inc. — 10-Q Quarterly report10-QMay 5, 2026

14 per share) ( 4,993 ) ( 4,993 ) Balances at December 31, 2025 39,778,938 $ 398 $ 25,774 ( 4,114,614 ) $ ( 56,315 ) $ 214,766 $ 191 $ 184,814 Net loss ( 408 ) ( 408 ) Other comprehensive loss, net of tax ( 16 ) ( 16 ) Stock-based compensation expense 290 290 Stock options exercised 63,013 Tax withholdings related to stock option exercises ( 1,541 ) ( 1,541 ) Cash dividend ($ .

SEC original ↗Napco Security Technologies, Inc. — 10-Q Quarterly report10-QMay 5, 2026

125 per share) ( 4,610 ) ( 4,610 ) Balances at September 30, 2024 39,771,035 $ 398 $ 24,137 ( 3,086,967 ) $ ( 26,801 ) $ 180,875 $ $ 178,609 Net income 10,467 10,467 Other comprehensive income, net of tax 47 47 Stock-based compensation expense 386 386 Purchase of treasury shares ( 282,647 ) ( 10,728 ) ( 10,728 ) Cash dividend ($ .

SEC original ↗Napco Security Technologies, Inc. — 10-Q Quarterly report10-QMay 5, 2026

125 per share) ( 4,554 ) ( 4,554 ) Balances at December 31, 2024 39,771,035 $ 398 $ 24,523 ( 3,369,614 ) $ ( 37,529 ) $ 186,788 $ 47 $ 174,227 Net income 10,122 10,122 Other comprehensive income, net of tax 66 66 Stock-based compensation expense 386 386 Purchase of treasury shares ( 745,000 ) ( 18,786 ) ( 18,786 ) Cash dividend ($ .

SEC original ↗Napco Security Technologies, Inc. — 10-Q Quarterly report10-QMay 5, 2026

We remain focused on expanding RSR solutions across all our platforms, including wireless fire and intrusion alarms, enterprise access control systems, and architectural locking products, including our MVP Access platform which is gaining traction in the marketplace as we support and educate our dealers on the benefits of adopting this new solution.

SEC original ↗Napco Security Technologies, Inc. — Earnings release (8-K exhibit)EX-99Nov 3, 2025

These forward-looking statements include, but are not limited to, statements relating to the impact of COVID-19 pandemic; supply chain challenges and developments; the growth of recurring service revenues and annual run rate; the strength of our balance sheet; our expectations regarding future results; the introduction of new access control and locking products; the opportunities for school security products; business trends , including the replacement of 3G radios, and our ability to execute our business strategies.

SEC original ↗Napco Security Technologies, Inc. — Earnings release (8-K exhibit)EX-99Nov 3, 2025

2023-06, Disclosure Improvements: Codification Amendments in Response to the SEC s Disclosure Update and Simplification Initiative , which modifies the disclosure or presentation requirements of a variety of Topics in the Codification.

SEC original ↗Napco Security Technologies, Inc. — 10-Q Quarterly report10-QMay 5, 2026

Depreciation and amortization expense on property, plant, and equipment was approximately $ 1,447,000 and $ 1,469,000 for the nine months ended March 31, 2026 and 2025, respectively NOTE 8 - Income Taxes The income tax provision is calculated using an estimated annual effective tax rate based upon estimates of annual income, permanent items, statutory tax rates and planned tax strategies in the various jurisdictions in which the Company operates, except that certain discrete items such as the resolution of uncertain tax positions and stock-based accounting income tax benefits are treated separately.

SEC original ↗Napco Security Technologies, Inc. — 10-Q Quarterly report10-QMay 5, 2026

These forward-looking statements include, but are not limited to, statements relating to the impact of COVID-19 pandemic; supply chain challenges and developments; the growth of recurring service revenues and annual run rate; the strength of our balance sheet; our expectations regarding future results; the introduction of new access control and locking products; the opportunities for school security products; business trends , including the replacement of 3G radios, and our ability to execute our business strategies.

SEC original ↗Napco Security Technologies, Inc. — Earnings release (8-K exhibit)EX-99Nov 3, 2025

Legal Proceedings 35 ITEM 1A.

SEC original ↗Napco Security Technologies, Inc. — 10-Q Quarterly report10-QMay 5, 2026

The Company measures stock-based compensation at the grant date based on the fair value of the award, and estimates the fair value of each option granted on the date of the grant using the Black-Scholes option-pricing model, which contains uncertainties and requires us to estimate the risk-free interest rate, expected term, expected stock price volatility and dividend yield.

SEC original ↗Napco Security Technologies, Inc. — 10-Q Quarterly report10-QMay 5, 2026

Legal and Other Contingencies The outcomes of legal proceedings and claims brought against us are subject to significant uncertainty.

SEC original ↗Napco Security Technologies, Inc. — 10-Q Quarterly report10-QMay 5, 2026

An estimated loss from a loss contingency such as legal proceedings or claims is accrued by a charge to income if it is probable that an asset has been impaired, or a liability has been incurred, and the amount of the loss can be reasonably estimated.

SEC original ↗Napco Security Technologies, Inc. — 10-Q Quarterly report10-QMay 5, 2026

The Company determines that disaggregating revenue into these categories achieves the disclosure objective to depict how the nature, amount, timing, and uncertainty of revenue and cash flows are affected by economic factors.

SEC original ↗Napco Security Technologies, Inc. — 10-Q Quarterly report10-QMay 5, 2026