NAPCO FY2026 10-K: Record $202.3M Revenue, $16M Litigation Charge, and New CEO Employment Terms
NSSC sits 67% above its 52-week low of $30.4.
Summary
NAPCO's FY2026 10-K shows record revenue of $202.3M and strong recurring service growth, offset by a $16M litigation settlement. The company remains debt-free with $126.9M in cash.
Key Events · Earnings and Guidance · NSSC
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Record FY2026 Revenue of $202.3M
Total revenue rose 11.4% to $202.3 million, driven by 13% growth in recurring service revenue to $97.5 million at 90.3% gross margin.
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$16M Litigation Settlement Charge
Net income of $43.0 million includes a one-time $16.0 million charge for the Zornberg securities class action settlement in principle, subject to court approval.
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IEEPA Tariff Refunds of $3.35M
The company realized $3.35 million in IEEPA tariff refunds in FY2026, with $2.93 million recognized as a receivable and $1.0 million pertaining to prior periods.
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New CEO Employment Agreement
Kevin Buchel's new employment agreement effective July 8, 2026 provides a $900,000 base salary, 50% target bonus, and 50% target equity award.
Analysis · NSSC · Manufacturing
NAPCO's annual report confirms a strong fiscal 2026 with revenue up 11.4% to $202.3 million and recurring service revenue up 13% to $97.5 million at 90.3% gross margin. Net income of $43.0 million was held back by a one-time $16 million litigation settlement charge related to the Zornberg securities class action. The company also recognized $3.35 million in IEEPA tariff refunds and disclosed new employment agreements for its leadership transition, with the new CEO receiving a $900,000 base salary. The balance sheet remains debt-free with $126.9 million in cash and equivalents.
How filings like this one have moved
In the 30 days to Aug 24, 2026, 29.4% of the 2796 measured filings Wiseek scored 7 moved their stock by 5% or more by the next session's close. The median move was -0.03%. These are measured outcomes after filings of this importance, not a forecast for this one.
Measured one observation per ticker per day, after exclusions. Current figures: Filing Impact Tracker · open dataset
At the time of this filing, NSSC was trading at $50.81 on NASDAQ in the Manufacturing sector, with a market capitalization of approximately $1.8B. The 52-week trading range was $30.40 to $51.00. This filing was assessed with neutral market sentiment and an importance score of 7 out of 10.