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IDT Corporation Reports Record Second Quarter 2025 Results
IDTIDT(IDT) GlobeNewswire·2025-03-06 21:30

Core Insights - IDT Corporation reported record levels of gross profit, income from operations, and Adjusted EBITDA for the second quarter of fiscal year 2025, with gross profit increasing by 16% to 112millionandincomefromoperationsrisingby77112 million and income from operations rising by 77% to 28.3 million [1][6][10] - The company raised its quarterly dividend by 20% to 0.06pershare,reflectingasolidfinancialpositionandpositiveoutlook[1][10]−GAAPEPSincreasedto0.06 per share, reflecting a solid financial position and positive outlook [1][10] - GAAP EPS increased to 0.80 from 0.57,whileNon−GAAPEPSroseto0.57, while Non-GAAP EPS rose to 0.84 from 0.67,indicatingstrongearningsgrowth[1][10]FinancialPerformance−Totalrevenuefor2Q25was0.67, indicating strong earnings growth [1][10] Financial Performance - Total revenue for 2Q25 was 303.3 million, a 2% increase from 296.1millionin2Q24[40]−AdjustedEBITDAforthequarterwas296.1 million in 2Q24 [40] - Adjusted EBITDA for the quarter was 34.0 million, up 56% from the previous year [1][10] - Net income attributable to IDT increased by 41% to 20.3million[1][10]SegmentPerformanceNationalRetailSolutions(NRS)−Recurringrevenuegrewby3220.3 million [1][10] Segment Performance National Retail Solutions (NRS) - Recurring revenue grew by 32% to 31.6 million, with income from operations increasing by 71% to 9.1million[5][11]−ActivePOSterminalsroseby219.1 million [5][11] - Active POS terminals rose by 21% year-over-year to 34,800, and payment processing accounts increased by 32% to 23,900 [11][17] BOSS Money / Fintech Segment - BOSS Money transactions increased by 36% to 5.7 million, with revenue rising by 34% to 33.5 million [5][18] - The Fintech segment's income from operations improved to 3.1millionfromalossof3.1 million from a loss of (0.7) million [5][18] net2phone - Subscription revenue increased by 9% to 21.0million,withincomefromoperationsrisingto21.0 million, with income from operations rising to 1.1 million from 0.4million[5][20]−Thesegment′sAdjustedEBITDAgrewby550.4 million [5][20] - The segment's Adjusted EBITDA grew by 55% to 2.9 million [5][20] Traditional Communications - Revenue for this segment was 212.0million,adecreaseof5212.0 million, a decrease of 5% year-over-year, but gross profit increased by 2% to 43.1 million [22][33] - Adjusted EBITDA surpassed 20millionforthefirsttimesincefiscal2022,indicatingimprovedcashgeneration[10][33]CapitalManagement−Thecompanyrepurchased179,338sharesofClassBcommonstockfor20 million for the first time since fiscal 2022, indicating improved cash generation [10][33] Capital Management - The company repurchased 179,338 shares of Class B common stock for 8.5 million during 2Q25 [1][10] - Capital expenditures increased by 6% to 4.8million[1][10]CashPosition−AsofJanuary31,2025,IDTheld4.8 million [1][10] Cash Position - As of January 31, 2025, IDT held 171.1 million in cash and cash equivalents, with total current assets of $462.1 million [26][27] - The company had no outstanding debt at the end of the quarter [26][27]