Core Insights - IDT Corporation reported strong financial results for the first quarter of fiscal year 2026, with significant growth in revenue, gross profit, and Adjusted EBITDA, driven by its National Retail Solutions (NRS) and Fintech segments [4][5][7]. Financial Performance - Consolidated revenue increased by 4% year-over-year to $322.8 million, with gross profit rising by 10% to $118.2 million, resulting in a gross margin of 36.6% [7][40]. - Adjusted EBITDA grew by 26% to $37.9 million, and net income attributable to IDT increased by 30% to $22.3 million, leading to a GAAP EPS rise from $0.68 to $0.89 [7][40]. Segment Performance National Retail Solutions (NRS) - Recurring revenue for NRS increased by 22% to $35.3 million, with income from operations up by 35% to $8.9 million and Adjusted EBITDA rising by 33% to $10.3 million [7][10]. - The segment added approximately 800 net active terminals and payment processing accounts, reflecting both seasonal and non-seasonal factors [11]. - NRS launched partnerships with DoorDash and Grubhub to enhance retail delivery options, contributing to revenue growth [12]. Fintech Segment - BOSS Money digital revenue grew by 20% to $27.9 million, with total Fintech revenue increasing by 15% to $42.7 million [7][15]. - Income from operations in the Fintech segment nearly doubled year-over-year, driven by transaction growth and improved operating leverage [6][17]. - Digital channel send volume increased by 34%, indicating strong demand for BOSS Money services [16]. net2phone - Subscription revenue for net2phone rose by 10% to $23.0 million, with income from operations increasing by 94% to $1.9 million [7][18]. - The segment introduced AI solutions to enhance customer service and operational efficiency, contributing to profitability despite increased investments in AI development [19]. Traditional Communications - Revenue for the Traditional Communications segment decreased slightly by 0.5% to $219.5 million, with income from operations up by 1% to $15.8 million [7][20]. - IDT Digital Payments showed growth, with a 90% year-over-year increase in revenue from the Zendit B2B platform [21]. Cash Flow and Capital Expenditures - Net cash used in operating activities was $10.1 million, a decline from the previous year, attributed to working capital timing [24]. - Capital expenditures increased to $5.8 million from $5.3 million in the prior year [25]. Outlook - IDT maintains its FY 2026 guidance, expecting to generate Adjusted EBITDA in the range of $141-$145 million [29]. - The company declared a quarterly cash dividend of $0.06 per share, payable on December 23, 2025 [30].

NEWARK, NJ, Dec. 03, 2025 (GLOBE NEWSWIRE) -- IDT Corporation (NYSE: IDT), a global provider of fintech and communications services, commented on the decision issued today by the Delaware Supreme Court affirming the Court of Chancery’s post-trial decision dismissing all claims against IDT and finding no harm to Straight Path Communications Inc. (“Straight Path”) shareholders. “We are very pleased by today’s decision from the Delaware Supreme Court, which puts to rest this lawsuit by affirming the post-trial ...

Core Viewpoint - IDT Corporation is set to release its financial and operational results for the first quarter of fiscal year 2026 on December 4, 2025, with an earnings conference call scheduled for the same day [1][2]. Financial Results Announcement - IDT Corporation will report its financial results for the three months ended October 31, 2025, on December 4, 2025, at approximately 4:30 PM Eastern [1]. - The earnings release will be available on the IDT investor relations website [1]. Earnings Conference Call - An earnings conference call will take place at 5:30 PM Eastern, featuring management's discussion of the results followed by a Q&A session with investors [2]. - Participants can join the call by dialing 1-888-506-0062 (toll-free from the US) or 1-973-528-0011 (international) with the access code 586702 [2]. Call Replay Information - A replay of the conference call will be available approximately three hours after the call concludes and will remain accessible until December 18, 2025 [3]. - To access the replay, dial 1-877-481-4010 (toll-free from the US) or 1-919-882-2331 (international) with the replay passcode 53127 [3]. - The replay will also be available via streaming audio on the IDT investor relations website [3]. Company Overview - IDT Corporation is a global provider of fintech and communications solutions, operating through various synergistic businesses [4]. - Key business segments include National Retail Solutions (NRS), BOSS Money, net2phone, IDT Digital Payments, BOSS Revolution, IDT Global, and IDT Express, each offering unique services in retail, remittances, cloud communications, and international messaging [4].

Core Thesis - IDT Corporation has transformed from a declining telecommunications provider into a diversified business model, but faces significant headwinds across its various segments, leading to concerns about valuation risks and growth projections [2][4]. Business Transformation - IDT has diversified into areas such as POS systems, global remittances, and UCaaS, leveraging its telecommunications expertise and retail distribution network [2]. - The company has achieved strong EBITDA growth and total shareholder returns, with shares trading around 10x EBITDA and maintaining a net cash position [2]. Segment Performance - The NRS segment, which serves niche markets, is experiencing plateauing growth due to market saturation and reduced quarterly net additions [2]. - BOSS Money, the fintech remittance business, is under regulatory pressure, leading to declining transaction volumes, particularly to Mexico [3]. - The net2phone segment faces slowing seat growth and pricing pressure in a commoditized market [3]. - Traditional Communications has stabilized through cost management, but structural declines in voice traffic limit further EBITDA growth [3]. Market Challenges - Each segment (NRS, BOSS Money, net2phone, and Traditional Communications) faces structural, regulatory, or competitive challenges that could hinder future growth [4]. - The market may be underestimating these headwinds, making IDT a potential short for investors concerned about over-optimistic growth projections [4]. Historical Context - A previous bullish thesis highlighted IDT's diversification and strong operational performance, but the current bearish perspective emphasizes the challenges faced across its business segments [5].

Core Insights - IDT Corporation is recognized as one of the 12 Best Stocks to Own for Grandchildren, focusing on fintech and communications solutions [1] - The company is committed to returning value to shareholders, as evidenced by its quarterly cash dividend announcement [2] - IDT aims to achieve $1.3 billion in revenue by 2028, supported by disciplined capital management and growth in its core business segments [4] Financial Performance - A quarterly cash dividend of $0.06 per share was announced, payable on October 10, indicating financial stability [2] - The NRS segment reported a 3.5% year-over-year increase in same-store sales for June 2025, reflecting effective integrated solutions [3] Future Outlook - IDT Corporation projects $1.3 billion in revenue and $104.9 million in earnings by 2028, positioning itself as a resilient investment opportunity [4]

Financial Data and Key Metrics Changes - IDT reported a 43% increase in consolidated adjusted EBITDA to a record $129 million for the fiscal year 2025, with full-year adjusted EBITDA totaling $128.7 million, surpassing the updated guidance of $126 million [4][11][26] - Consolidated revenue increased by 2% for fiscal 2025, marking the first full-year increase since 2021, with Q4 revenue up by 3% [12][11] - Consolidated income from operations increased by 9% to $21.9 million in Q4 and by 55% to $100.4 million for the full year [13] Business Line Data and Key Metrics Changes - NRS's income from operations decreased by 3% to $5.8 million in Q4, while adjusted EBITDA increased by 32% to $9.3 million [14] - The fintech segment saw income from operations increase by 88% to $4.8 million in Q4, with adjusted EBITDA climbing over threefold to $5.5 million [16] - Net2phone's income from operations increased by 74% to $1.5 million in Q4, and adjusted EBITDA increased by 42% to $3.5 million [19] Market Data and Key Metrics Changes - BOSS Money's digital channel expansion contributed over 80% of remittance volume, with digital transactions increasing by 28% in Q4 and the amount sent increasing by 41% [5][17] - The average recurring revenue per terminal at NRS reached $299 in Q4, benefiting from increased penetration of NRS pay offerings [15] - The strengthening dollar impacted financial results from key South American markets, muting positive impacts from continued seat growth in net2phone [20] Company Strategy and Development Direction - The company plans to continue focusing on high-margin growth segments, with expectations of 20%-25% revenue growth and faster adjusted EBITDA growth in fiscal 2026 [16] - IDT is exploring opportunities in AI-driven solutions, particularly in net2phone, with a shift from a seat-based model to a usage-based model for AI agents [7][19] - The company is committed to returning cash to stockholders through buybacks and dividends while evaluating potential acquisitions [9][24] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about fiscal 2026, citing strong customer enthusiasm and the potential for continued growth despite challenges in the remittance business due to immigration policy changes [9][47] - The upcoming 1% federal tax on remittances is expected to accelerate the migration to digital channels, which are exempt from the tax [18] - Management acknowledged the competitive landscape and the need to adapt to changing market conditions while maintaining a focus on operational efficiency [41][42] Other Important Information - The company will report a revised measure of non-GAAP adjusted EBITDA starting Q1 FY 2026, excluding non-cash compensation expenses [24][25] - IDT's cash position increased by $30 million to $254 million, reflecting strong cash generation across all segments [23] Q&A Session Summary Question: What is the progress with stablecoins and Visa-linked wallets? - Management indicated that wallets have been launched in a beta phase and expect stablecoins to play a significant role in future transactions [28] Question: What is the WhatsApp launch date? - The WhatsApp feature is set to launch in the next few days for existing customers, with a broader rollout expected within 30-45 days [30] Question: What is causing the increase in churn rate in NRS terminals? - Management noted factors such as increased immigration enforcement, competition, and technical issues with equipment as contributors to churn [41][42] Question: Can the strong growth in BOSS Money be sustained? - Management believes that while growth may slow slightly, initiatives like wallets and WhatsApp will help maintain a competitive edge [46][49] Question: What is the focus for future acquisitions? - Management indicated a preference for smaller acquisitions over larger ones, emphasizing organic growth and internal investments [54]

Core Insights - IDT Corporation reported a strong financial performance for the fourth quarter and full fiscal year 2025, with significant increases in gross profit, income from operations, and adjusted EBITDA, indicating robust growth across its business segments [1][7][11]. Financial Performance - 4Q25 gross profit increased by 12% to $114 million, while FY 2025 gross profit rose by 14% to $446 million [1]. - Income from operations for 4Q25 grew by 9% to $22 million, and for FY 2025, it surged by 55% to $100 million [1][11]. - Adjusted EBITDA for 4Q25 was up 33% to $33 million, and for FY 2025, it increased by 43% to a record $129 million [1][11]. - 4Q25 earnings per share (EPS) were $0.67, with non-GAAP EPS at $0.76; FY 2025 EPS reached $3.01, and non-GAAP EPS was $3.19 [1][11]. Segment Performance National Retail Solutions (NRS) - NRS reported a 22% increase in recurring revenue to $32.6 million, with adjusted EBITDA rising by 32% to $9.3 million [4]. - The segment added approximately 1,500 net active terminals in 4Q25, contributing to a total of 37,200 active POS terminals [14]. - NRS is addressing customer churn through AI for prediction and enhanced service levels [14]. BOSS Money / Fintech Segment - BOSS Money digital revenue increased by 31% to $27.6 million, with total revenue up 21% to $38.2 million [4]. - The segment's income from operations grew by 88% to $4.8 million, and adjusted EBITDA soared by 267% to $5.5 million [4]. - BOSS Money's digital channel now accounts for over 80% of remittance volume, reflecting a significant shift from retail to digital [9][19]. net2phone - Subscription revenue for net2phone increased by 8% to $22.2 million, with income from operations rising by 74% to $1.5 million [4][20]. - The segment is focusing on AI solutions, with expectations that 30% of sales will involve AI offerings by year-end [10][23]. Traditional Communications - Traditional communications revenue decreased by 3% to $217.4 million, with gross profit up 2% to $41 million [22]. - The segment's income from operations increased by 11% to $15.4 million, indicating some resilience despite overall revenue decline [22]. Cash Flow and Capital Expenditures - Net cash provided by operating activities in 4Q25 increased to $31 million from $25.4 million in 4Q24, with FY 2025 net cash rising to $127.1 million from $78.2 million in FY 2024 [28][29]. - Capital expenditures for FY 2025 increased to $20.8 million from $18.9 million in FY 2024, reflecting ongoing investments in growth initiatives [29]. Future Outlook - IDT expects to generate between $141 million and $145 million of adjusted EBITDA in FY 2026, following a revision in its non-GAAP Adjusted EBITDA definition [30][31]. - The company plans to continue investing in new growth initiatives and return cash to stockholders through dividends and share repurchases [12][34].

Summary of IDT Conference Call - September 17, 2025 Company Overview - **Company**: IDT Corporation (NYSE:IDT) - **Market Cap**: Approximately $1.6 billion, an increase of nearly 80% over the past year [2] - **Headquarters**: Newark, New Jersey - **Financial Position**: Profitable with $224 million in cash and no debt, providing strategic flexibility [3] Key Business Segments High-Growth, High-Margin Businesses 1. **National Retail Solutions (NRS)** - Largest point-of-sale platform for independent retailers in the U.S. with 37,200 active terminals across over 32,000 stores [4][5] - Recurring revenue increased 23% year-over-year to $29.4 million, with a 70% CAGR from 2021 to 2024 [6] - Recurring revenue per terminal increased to $279.79 per month, up 3% year-over-year [7] - Merchant services revenue grew 37% year-over-year to $20 million, with a four-year CAGR of 91% [8] - Adjusted EBITDA for NRS was $7.2 million with a 23% EBITDA margin [10] 2. **BOSS Money** - International money remittance business generating over 90% of fintech segment revenue [11] - Digital transaction volume increased 32% in Q3, with send volume up 40% [12] - Digital revenue grew 31% to $24.5 million in Q3, with a four-year annualized growth rate of 27% [12] - Adjusted EBITDA for BOSS Money was over $5 million, with a 13% margin [15] 3. **net2phone** - Provides cloud communications services, focusing on SMB and mid-market enterprises [16] - Served 415,000 UCaaS and CCaaS seats, with an 8% year-over-year increase [17] - Adjusted EBITDA increased 50% year-over-year to $3.2 million, with a margin of 15% [17] Traditional Communication Segment - Generated $867 million in revenue over the trailing 12 months, accounting for 71% of consolidated revenue [18] - Focus on expanding digital prepaid platforms while managing declines in legacy businesses [19] Financial Performance - Consolidated gross profit margin reached a record 37.1%, up 470 basis points year-over-year [20] - Adjusted EBITDA for the trailing 12 months was $120.4 million, with expectations of at least $126 million for fiscal year 2025 [22] - Regular quarterly dividend increased from 5% to 6% ($0.06 per share) [22] Market and Regulatory Environment - Immigration policy impacts money transfer operators; IDT positioned well due to its digital focus [24] - A 1% remittance transaction tax will take effect on January 1, 2026, primarily affecting cash transactions [25] - Retailers in immigrant-heavy communities are not significantly impacted by immigration issues, with an 8% year-over-year sales increase reported [27] Future Outlook - Guidance for fiscal 2026 to be provided in the upcoming Q4 earnings report [29] - Focus on increasing recurring revenue per terminal and expanding the customer base through upselling and cross-marketing initiatives [30][32] Additional Insights - The company is actively scouting M&A opportunities to enhance growth [22] - The shift towards digital transactions is expected to continue driving revenue growth and customer acquisition [25][26]

Company Overview - IDT Corporation is a global provider of fintech and communications solutions, operating through a portfolio of synergistic businesses including National Retail Solutions, BOSS Money, net2phone, IDT Digital Payments, and IDT Global [4] Upcoming Event - IDT Corporation will participate in the Sidoti September Virtual Investor Conference on September 17th and 18th, 2025 [1] - Marcelo Fischer, IDT's Chief Financial Officer, and Bill Ulrey, VP Investor Relations, will present an overview of the company's operations, strategy, and financial results for the third quarter of fiscal year 2025 on September 17th from 10:45 to 11:15 AM Eastern Time [2] Presentation Details - The IDT presentation will be available via webcast on the Sidoti website, and registration for the presentation is free and open to the public [2]

Core Viewpoint - IDT Corporation is set to release its financial and operational results for the fourth quarter and full fiscal year 2025 on September 29, 2025, highlighting its ongoing commitment to transparency and investor engagement [1]. Financial Reporting - The earnings release will be available on the IDT investor relations website at approximately 4:30 PM Eastern on the reporting date [1]. - An earnings conference call will follow at 5:30 PM Eastern, featuring management's discussion of the results and a Q&A session with investors [2]. Conference Call Details - Investors can participate in the conference call by dialing 1-888-506-0062 (toll-free from the US) or 1-973-528-0011 (international), using access code 849358 [2]. - A replay of the conference call will be available approximately three hours after the call concludes, accessible until October 13, 2025 [3]. - The replay can be accessed by dialing 1-877-481-4010 (toll-free from the US) or 1-919-882-2331 (international), using replay passcode 52805, and will also be available via streaming audio on the IDT investor relations website [3]. Company Overview - IDT Corporation is a global provider of fintech and communications solutions, operating through various synergistic businesses [4]. - Key business segments include National Retail Solutions (NRS), BOSS Money, net2phone, IDT Digital Payments, BOSS Revolution, IDT Global, and IDT Express, each offering unique services in retail, remittances, cloud communications, and international messaging [4].