AMITYVILLE, N.Y. (AP) - Napco Security Systems Inc. said Tuesday that profit rose 20 percent in the fiscal second quarter on strong sales.
However, shares of the security-equipment maker fell $1.09, or 8.3 percent, to $12.04 in afternoon trading on the Nasdaq, at nearly three times their average daily volume. The stock fell as much as $1.78, or 13.6 percent to $11.35 earlier in the day.
The company's earnings increased to $872,000, or 10 cents per share, in the three months ended Dec. 31, from $728,000, or 8 cents per share, a year ago. The results last year were adjusted to reflect a 20 percent stock dividend in November.
Revenue rose 10 percent to $16 million from $14.6 million, driven by higher sales of the company's alarmed door lock, along with burglar and fire alarm products.
Chairman and President Richard Soloway predicted the second half of the company's fiscal year will bring "significant" sales gains and improved net income. The company did not provide specific guidance figures for the period in a press release.