NAPCO Security Technologies, Inc (NASDAQ:NSSC) reported its quarterly annual revenues for Q2 2024 today and, once again, the security technology company has smashed records set in Q1 of this year with a record-breaking income of $12.6 million for the quarter, up 221% YOY from 2023.

The news sent NAPCO shares skyrocketing in after-hours trading, rising 12% from previous closing value. As of writing this article, the stock sits at $38.74 per share, roughly 8% above its previous closing price. Diluted earnings per share for the quarter clocked in at $0.34 over $0.11 last year, a 209% increase.

Net sales for the Q2 2024 were also the highest quarterly sales in the company’s history at $47.5 million, a 12% increase YOY while recurring service revenue (RSR) increased 25% YOY to 18.5 million.

Napco’s adjusted EBITDA for Q2 2024 increased 191% YOY to yet another quarterly record of $15.1 million from $5.2 million in 2024.

Cash and cash equivalents, other investments and marketable securities were $79.0 million at December 31, 2023 as compared to $66.7 million at June 30, 2023, an 18% increase.

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The company also announced it will be increasing its quarterly dividend from $0.08 per share to $0.10 per share, representing a 25% increase for shareholders, with the company bearing no debt as of December 31, 2023.

In addressing shareholders, Richard Soloway, Chairman and President of NAPCO, commented, “NAPCO’s record-breaking results for Q2 of fiscal year 2024, was primarily the result of the continued growth and profitability from recurring revenues as well as the strong sales from our Alarm Lock and Marks locking product lines. Radio sales in Q2 improved over Q1, increasing by approximately 63%.

“While such sales were still 13% below the radio sales for Q2 last year, when the impending 3G Verizon sunset was rapidly approaching, the increase over last quarter was significant. We expect radio sales to continue to be a key contributor to our hardware sales and continue to lead to the continued growth of our highly profitable recurring revenues.”

During the call, the company also noted that its Alarm Lock and Marks locking hardware lines have continued to see growth in campus security, retail-loss prevention and—more recently—MDU and residential applications. According to Soloway, these avenues of business have grown 10% YOY and 18% compared to last quarter.

Locking sales represented 61% of hardware sales in Q2, with Soloway reiterating the company’s commitment to further penetrate these respective markets.

NAPCO recently released the Prima All-in-One Panel for security, fire, video and connected home. Soloway is quoted as saying that the product will “address an important mass segment of the security market, including residential and small business systems” while also serving as a valuable driver for recurring revenue among security dealers.

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