NAPCO Security Technologies, Inc.

USDC – Eastern District of New York

August 22, 2023

CLASS PERIOD: 11/7/2022 – 8/18/2023
LEAD PLAINTIFF DEADLINE: OCTOBER 30, 2023

Principle Contacts

Pamela Mayer

PMayer@kaplanfox.com

Laurence D. King

LKing@kaplanfox.com

NAPCO: KAPLAN FOX INVESTIGATES POTENTIAL SECURITIES FRAUD AT NAPCO SECURITY TECHNOLOGIES, INC.

NEW YORK, NY – August 22, 2023 – Kaplan Fox & Kilsheimer LLP (www.kaplanfox.com) is investigating claims on behalf of investors of NAPCO Security Technologies, Inc. (“NAPCO” or the “Company”)(NASDAQ: NSSC). Click Here to Join Investigation.

If you acquired NAPCO securities and would like to discuss our investigation, please click here or contact us by emailing pmayer@kaplanfox.com or by calling (646) 315-9003.

On August 18, 2023, NAPCO issued a press release disclosing that the first three quarters of fiscal 2023 for the quarters ended September 30, 2022, December 31, 2022 and March 31, 2023 should no longer be relied upon and will be restated due to cost accounting errors.  The press release further disclosed that management “identified certain errors related to the Company’s calculation of cost of goods sold (‘COGS’) and inventory for each of the first three quarters of fiscal 2023” and that the Company’s costing procedures did not appropriately account for component cost fluctuations. As a result, the Company said that “inventories were overstated and COGS was understated, resulting in overstated gross profit, operating income and net income for each period.”

Following this news, NAPCO shares fell $17.30 per share, about 45%, to close at $21.11 per share on August 21, 2023.

WHY CONTACT KAPLAN FOX

Kaplan Fox is a leading national law firm focusing on complex litigation with offices in New York, Oakland, Los Angeles, Chicago and New Jersey.  With over 50 years of experience in securities litigation, Kaplan Fox offers the professional experience and track record that clients demand.  Through prosecuting cases on the federal and state levels, Kaplan Fox has successfully shaped the law through winning many important decisions on behalf of our clients.  For more information about Kaplan Fox & Kilsheimer LLP, you may visit our website at www.kaplanfox.com. 

If you have any questions about this investigation, please contact:

Pamela A. Mayer
KAPLAN FOX & KILSHEIMER LLP
800 Third Avenue, 38th Floor
New York, New York 10022
(646) 315-9003
E-mail: pmayer@kaplanfox.com

Laurence D. King
KAPLAN FOX & KILSHEIMER LLP
1999 Harrison Street, Suite 1560
Oakland, California 94612
(415) 772-4704
Fax:  (415) 772-4707
E-mail: lking@kaplanfox.com