IDT Corporation (NYSE: IDT), a global provider of fintech, cloud
communications, and traditional communications services, today
reported results for the third quarter of its fiscal year 2023, the
three months ended April 30, 2023.
HIGHLIGHTS
(Throughout this release, unless otherwise
noted, results for the third quarter of fiscal year 2023 (3Q23) are
compared to the third quarter of fiscal year 2022 (3Q22). All
earnings per share (EPS) and other ‘per share’ results are per
diluted share.)
- National Retail
Solutions (NRS) added approximately 1,600 net active point-of-sale
(POS) terminals and 1,600 net NRS Pay Accounts during 3Q23 to end
the quarter with 23,900 active terminals and 14,100 NRS Pay
accounts. Recurring revenue* increased 65% to $16.5 million.
- net2phone
subscription revenue* increased 20% to $17.1 million. net2phone
added approximately 13,000 net seats during the quarter to end 3Q23
with approximately 340,000 seats served.
- BOSS Money
remittance revenue increased 29% to $19.4 million. Volume increased
by 38% to 3.28 million transactions.
- Consolidated
revenue decreased 9% to $299 million while consolidated direct cost
of revenue decreased 15% to $210 million.
- Consolidated
income from operations decreased to $10.4 million from $13.3
million, including the impact of a $3.9 million charge in the
Traditional Communications segment resulting from a legal
settlement.
- Net income
attributable to IDT increased to $6.9 million from $4.8
million.
- Consolidated
Adjusted EBITDA** increased 14% to $20.5 million.
- EPS increased
50% to $0.27 from $0.18. Non-GAAP EPS** more than doubled to $0.46
from $0.22.
- During 3Q23, IDT
repurchased 76,694 shares of its Class B common stock in the open
market for approximately $2.5 million. During the first nine months
of FY 2023, IDT repurchased 280,130 shares in the open market for
approximately $7.5 million.
*See ‘Explanation of Key Performance Metrics’ at
the end of this release.
**Adjusted EBITDA and Non-GAAP EPS are Non-GAAP
financial measures intended to provide useful information that
supplements IDT’s or the relevant segment’s results in accordance
with GAAP. Please refer to the Reconciliation of Non-GAAP Financial
Measures later in this release for an explanation of these terms
and their respective reconciliations to the most directly
comparable GAAP measures.
REMARKS BY SHMUEL JONAS,
CEO
“For the third quarter of our 2023 fiscal year,
IDT generated year-over-year increases in gross profit, Adjusted
EBITDA, and EPS highlighted by the continued expansion of our three
high growth, high-margin businesses and by the relatively resilient
cash-flows from our Traditional Communications segment, even as
revenue from this segment continued to decline.
“NRS added new POS terminals and payment
processing accounts at a record pace this quarter, and achieved
solid year-over-year increases in all three of its recurring
revenue verticals as well as in recurring revenue per terminal.
Advertising revenue decreased sequentially due to seasonal
reductions in demand and the advertising industry’s pull-back –
particularly in the digital out-of-home segment. Behind the scenes,
we are enhancing our advertising platform and diversifying our
network partnerships to pursue new opportunities both within and
outside of the digital out-of-home market. This foundational work
should pay off when advertising demand rebounds. Given our success
in accelerating the pace of new payment processing account
sign-ups, increasing merchant services’ ARPU, and bringing new
premium features to our platform, we expect that NRS will continue
to perform extremely well.
“net2phone increased its subscription revenue by
20% year-over-year while approaching cash-flow break-even. In the
coming weeks, we expect to launch exciting new offerings and
features that will help to build on our momentum, including
net2phone AI, which includes powerful analytic tools powered by
artificial intelligence technology.
“At BOSS Money, remittance volume increased by
38% year over year driving a 29% revenue increase. I am especially
pleased by the robust growth of BOSS Money’s retail channel over
the past few quarters. Throughout the rest of the BOSS ecosystem -
the synergies between retail and direct-to-consumer drive better
economics than we could achieve with a single-channel approach. We
believe that the same will be true for the money remittance
business. For that reason, we continue to focus on retail channel
expansion as we invest to achieve scale and long-term
profitability.
“With our diverse mix of businesses, backed by a
solid balance sheet and with no debt, IDT is positioned to continue
delivering solid results across a wide variety of economic
conditions while returning value to our stockholders.”
RESULTS BY SEGMENT
|
|
NRS |
|
|
net2phone |
|
|
Fintech |
|
|
Traditional Communications |
|
(In millions) |
|
3Q23 |
|
|
2Q23 |
|
|
3Q22 |
|
|
3Q23 |
|
|
2Q23 |
|
|
3Q22 |
|
|
3Q23 |
|
|
2Q23 |
|
|
3Q22 |
|
|
3Q23 |
|
|
2Q23 |
|
|
3Q22 |
|
Revenue |
|
$ |
18.1 |
|
|
$ |
19.8 |
|
|
$ |
11.4 |
|
|
$ |
18.4 |
|
|
$ |
17.8 |
|
|
$ |
15.6 |
|
|
$ |
21.8 |
|
|
$ |
20.3 |
|
|
$ |
17.2 |
|
|
$ |
241.0 |
|
|
$ |
256.0 |
|
|
$ |
284.2 |
|
Direct cost of revenue |
|
$ |
2.6 |
|
|
$ |
2.2 |
|
|
$ |
1.7 |
|
|
$ |
3.0 |
|
|
$ |
3.0 |
|
|
$ |
2.6 |
|
|
$ |
9.2 |
|
|
$ |
8.0 |
|
|
$ |
6.6 |
|
|
$ |
195.4 |
|
|
$ |
209.1 |
|
|
$ |
236.6 |
|
SG&A expense |
|
$ |
12.8 |
|
|
$ |
11.6 |
|
|
$ |
8.4 |
|
|
$ |
14.4 |
|
|
$ |
14.0 |
|
|
$ |
13.8 |
|
|
$ |
13.2 |
|
|
$ |
12.8 |
|
|
$ |
11.2 |
|
|
$ |
26.0 |
|
|
$ |
27.3 |
|
|
$ |
27.6 |
|
Income (loss) from
operations |
|
$ |
2.1 |
|
|
$ |
5.4 |
|
|
$ |
1.1 |
|
|
$ |
(0.4 |
) |
|
$ |
(0.6 |
) |
|
$ |
(2.3 |
) |
|
$ |
(1.3 |
) |
|
$ |
(0.8 |
) |
|
$ |
(1.1 |
) |
|
$ |
12.9 |
|
|
$ |
17.0 |
|
|
$ |
17.6 |
|
Adjusted EBITDA |
|
$ |
2.7 |
|
|
$ |
6.0 |
|
|
$ |
1.3 |
|
|
$ |
1.0 |
|
|
$ |
0.8 |
|
|
$ |
(0.9 |
) |
|
$ |
(0.6 |
) |
|
$ |
(0.5 |
) |
|
$ |
(0.5 |
) |
|
$ |
19.7 |
|
|
$ |
19.6 |
|
|
$ |
20.0 |
|
National Retail Solutions
(NRS)
In 3Q23 and 3Q22, the NRS segment contributed
6.0% and 3.5% of IDT’s consolidated revenue, respectively.
National Retail Solutions (NRS)(Terminals
and accounts at end of period. $ in millions, except for revenue
per terminal) |
|
|
3Q23 |
|
|
2Q23 |
|
|
3Q22 |
|
|
3Q23-3Q22 change % |
|
Terminals and payment
processing accounts |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Active POS
terminals |
|
|
23,900 |
|
|
|
22,400 |
|
|
|
17,900 |
|
|
|
+34% |
|
Payment processing
accounts |
|
|
14,100 |
|
|
|
12,500 |
|
|
|
9,200 |
|
|
|
+53% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Recurring
revenue |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Merchant Services and other |
|
$ |
8.7 |
|
|
$ |
7.4 |
|
|
$ |
4.8 |
|
|
|
+82% |
|
Advertising and Data |
|
$ |
5.8 |
|
|
$ |
9.0 |
|
|
$ |
3.7 |
|
|
|
+54% |
|
SaaS Fees |
|
$ |
2.1 |
|
|
$ |
1.9 |
|
|
$ |
1.5 |
|
|
|
+41% |
|
Total recurring
revenue |
|
$ |
16.5 |
|
|
$ |
18.3 |
|
|
$ |
10.0 |
|
|
|
+65% |
|
POS Terminal Sales |
|
$ |
1.6 |
|
|
$ |
1.5 |
|
|
$ |
1.4 |
|
|
|
+12% |
|
Total
revenue |
|
$ |
18.1 |
|
|
$ |
19.8 |
|
|
$ |
11.4 |
|
|
|
+59% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Monthly average
recurring revenue per terminal* |
|
$ |
237 |
|
|
$ |
283 |
|
|
$ |
193 |
|
|
|
+23% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income from
operations |
|
$ |
2.1 |
|
|
$ |
5.4 |
|
|
$ |
1.1 |
|
|
|
+93% |
|
Adjusted
EBITDA |
|
$ |
2.7 |
|
|
$ |
6.0 |
|
|
$ |
1.3 |
|
|
|
+110% |
|
Take-Aways:
- Sequentially,
NRS added 1,570 net active terminals in 3Q23 – slightly ahead of
the prior quarter’s record pace.
- Sequentially,
NRS added 1,609 net payment processing accounts in 3Q23, also a
record increase.
- Merchant
Services, Advertising and Data, and SaaS Fees all achieved robust
year-over-year revenue increases. Industry-wide seasonality and
advertising demand weakness resulted in a sequential decrease in
Advertising and Data revenue and in monthly average recurring
revenue per terminal.
net2phone
net2phone (Seats in thousands at end of
period. $ in millions) |
|
|
3Q23 |
|
|
2Q23 |
|
|
3Q22 |
|
|
3Q23-3Q22Change %, $ |
|
Seats |
|
|
340 |
|
|
|
327 |
|
|
|
279 |
|
|
|
+22% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Subscription revenue |
|
$ |
17.1 |
|
|
$ |
16.3 |
|
|
$ |
14.3 |
|
|
|
+20% |
|
Other revenue |
|
$ |
1.3 |
|
|
$ |
1.5 |
|
|
$ |
1.3 |
|
|
|
(2 |
)% |
Total
Revenue |
|
$ |
18.4 |
|
|
$ |
17.8 |
|
|
$ |
15.6 |
|
|
|
+18% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss from
operations |
|
$ |
(0.4 |
) |
|
$ |
(0.6 |
) |
|
$ |
(2.3 |
) |
|
|
+$1.9 |
|
Adjusted
EBITDA |
|
$ |
1.0 |
|
|
$ |
0.8 |
|
|
$ |
(0.9 |
) |
|
|
+$1.9 |
|
In 3Q23 and 3Q22, the net2phone segment
accounted for 6.2% and 4.7% of IDT’s consolidated revenue,
respectively.
Take-Aways:
- The growth in
net2phone’s seats-served reflected balanced geographic expansion
across key markets led by the U.S., Brazil, and Mexico.
- net2phone
continued to make progress toward operating profitability. Its loss
from operations narrowed to $0.4 million as the business, across
all regions, continues to scale. net2phone’s SG&A, expressed as
a percentage of revenue, declined from 89% to 78%.
- In April,
net2phone announced a strategic partnership with Bridgepointe, a
leading tech advisory firm. Bridgepointe is now offering
net2phone’s cloud communications solutions to its mid-market and
enterprise clients.
Fintech
In 3Q23 and 3Q22, the Fintech segment
contributed 7.3% and 5.2% of IDT’s consolidated revenue,
respectively.
Fintech (Transactions in thousands. $ in
millions except for revenue per transaction) |
|
|
3Q23 |
|
|
2Q23 |
|
|
3Q22 |
|
|
3Q23-3Q22Change %, $ |
|
BOSS Money
Transactions |
|
|
3,281 |
|
|
|
3,061 |
|
|
|
2,371 |
|
|
|
+38% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fintech
Revenue |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
BOSS Money |
|
$ |
19.4 |
|
|
$ |
17.6 |
|
|
$ |
15.1 |
|
|
|
+29% |
|
Other |
|
$ |
2.4 |
|
|
$ |
2.7 |
|
|
$ |
2.1 |
|
|
|
+10% |
|
Total
Revenue |
|
$ |
21.8 |
|
|
$ |
20.3 |
|
|
$ |
17.2 |
|
|
|
+27% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average revenue per
transaction* |
|
$ |
5.93 |
|
|
$ |
5.77 |
|
|
$ |
6.36 |
|
|
|
(7 |
)% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss from
operations |
|
$ |
(1.3 |
) |
|
$ |
(0.8 |
) |
|
$ |
(1.1 |
) |
|
$ |
(0.2 |
) |
Adjusted
EBITDA |
|
$ |
(0.6 |
) |
|
$ |
(0.5 |
) |
|
$ |
(0.5 |
) |
|
$ |
(0.1 |
) |
Take-Aways:
- BOSS Money
transaction volumes increased 38% compared to the year ago quarter
with similar contributions from both retail and digital
channels.
- The
year-over-year decrease in BOSS Money’s average revenue per
transaction was due to unusually favorable, but temporary, foreign
exchange spread opportunities in certain corridors in the year-ago
quarter.
Traditional Communications
In 3Q23 and 3Q22, the Traditional Communications
segment accounted for 80.5% and 86.6% of IDT’s consolidated
revenue, respectively.
Traditional Communications($ in
millions) |
|
|
3Q23 |
|
|
2Q23 |
|
|
3Q22 |
|
|
3Q23-3Q22 Change
% |
|
Revenue |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
IDT Digital
Payments |
|
$ |
101.0 |
|
|
$ |
106.1 |
|
|
$ |
115.9 |
|
|
|
(13 |
)% |
BOSS Revolution Calling |
|
$ |
77.6 |
|
|
$ |
82.8 |
|
|
$ |
91.8 |
|
|
|
(15 |
)% |
IDT Global |
|
$ |
54.5 |
|
|
$ |
58.6 |
|
|
$ |
67.1 |
|
|
|
(19 |
)% |
Other |
|
$ |
7.9 |
|
|
$ |
8.5 |
|
|
$ |
9.4 |
|
|
|
(17 |
%) |
Total
Revenue |
|
$ |
241.0 |
|
|
$ |
256.0 |
|
|
$ |
284.2 |
|
|
|
(15 |
)% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income from
operations |
|
$ |
12.9 |
|
|
$ |
17.0 |
|
|
$ |
17.6 |
|
|
|
(27 |
)% |
Adjusted
EBITDA |
|
$ |
19.7 |
|
|
$ |
19.6 |
|
|
$ |
20.0 |
|
|
|
(2 |
)% |
Take-Aways:
- As in the prior
quarter, the year-over-year decrease in IDT Digital Payments
revenue was due to the deterioration of a key international mobile
top-up corridor that was particularly impactful to sales in the
lower margin wholesale and retail channels.
- The decreases in
BOSS Revolution Calling and IDT Global’s carrier services revenues
reflected the long-standing industry-wide decline in the paid
minute calling markets and were in-line with expectations.
- During 3Q23, IDT
Digital Payments launched Zendit, a cloud-based,
prepaid-as-a-service platform enabling businesses to easily and
quickly add a curated menu of airtime top-ups and other
cross-border prepaid offerings to their apps and websites.
Subsequently, the Zendit team has formed new strategic alliances
globally, expanded its catalog to over 15,000 digital offerings,
and onboarded its initial customers.
- Income from
operations decreased mostly due to the impact of a $3.9 million
charge resulting from the settlement of an indemnification claim
resulting from a legal settlement.
NOTES ON FINANCIAL
STATEMENTS
Consolidated results for all periods presented
include corporate overhead. Corporate G&A expense in 3Q23
increased to $2.3 million from $1.8 million in 3Q22 reflecting
higher employee compensation and stock-based compensation
expense.
As of April 30, 2023, IDT held $138.5 million in
cash, cash equivalents, debt securities, and current equity
investments. Current assets totaled $390.0 million and current
liabilities totaled $301.7 million. IDT had no outstanding debt at
quarter end.
Net cash used in operating activities during
3Q23 was $6.9 million compared to net cash provided by operating
activities of $1.6 million during 3Q22. Exclusive of changes in
customer deposit balances at IDT’s Gibraltar-based bank, net cash
used in operating activities during 3Q23 was $4.3 million compared
to net cash provided by operating activities of $9.6 million during
3Q22. The decline in operating cash generation is due almost
entirely to the timing of certain working capital movements.
Capital expenditures increased to $5.5 million
in 3Q23 from $4.8 million in 3Q22.
IDT EARNINGS ANNOUNCEMENT
AND SUPPLEMENTAL INFORMATION
This release is available for download in the
“Investors & Media” section of the IDT Corporation website
(https://www.idt.net/investors-and-media) and has been filed on a
current report (Form 8-K) with the SEC.
IDT will host an earnings conference call
beginning at 5:30 PM Eastern today with management’s discussion of
results followed by Q&A with investors. To listen to the call
and participate in the Q&A, dial 1-888-506-0062 (toll-free from
the US) or 1-973-528-0011 (international) and request the IDT
Corporation call (participant access code: 568841).
A replay of the conference call will be
available approximately three hours after the call concludes
through June 19, 2023. To access the call replay, dial
1-877-481-4010 (toll-free from the US) or 1-919-882-2331
(international) and provide this replay number: 48437. The replay
will also be accessible via streaming audio at the IDT investor
relations website.
ABOUT
IDT:
IDT Corporation (NYSE: IDT) is a global provider
of fintech, cloud communications, and traditional communications
services. We make it easy for families to contact and support each
other across international borders. We also enable businesses to
transact and communicate with their customers with enhanced
intelligence and insight.
Our BOSS Money international remittance, IDT
Digital Payments and BOSS Revolution international calling services
make sending money, paying for products and services, and speaking
with friends and family around the world convenient and reliable.
National Retail Solutions’ (NRS) point-of-sale retail network
enables independent retailers to operate and process transactions
more effectively while providing advertisers and consumer marketers
with unprecedented reach into underserved consumer markets.
net2phone’s communications-as-a-service solutions provide
businesses with intelligently integrated cloud communications and
collaboration tools across channels and devices. Our IDT Global and
IDT Express wholesale offerings enable communications service
enterprises to provision and manage international voice and SMS
services.
All statements above that are not purely about
historical facts, including, but not limited to, those in which we
use the words “believe,” “anticipate,” “expect,” “plan,” “intend,”
“estimate,” “target” and similar expressions, are forward-looking
statements within the meaning of the Private Securities Litigation
Reform Act of 1995. While these forward-looking statements
represent our current judgment of what may happen in the future,
actual results may differ materially from the results expressed or
implied by these statements due to numerous important factors. Our
filings with the SEC provide detailed information on such
statements and risks and should be consulted along with this
release. To the extent permitted under applicable law, IDT assumes
no obligation to update any forward-looking statements.
CONTACT:
IDT Corporation Investor RelationsBill Ulrey
william.ulrey@idt.net973-438-3838
IDT CORPORATION
CONSOLIDATED BALANCE SHEETS
|
|
April 30,2023 |
|
|
July 31,2022 |
|
|
(Unaudited) |
|
|
|
|
|
(in thousands, except per share data) |
Assets |
|
|
|
|
|
|
|
Current assets: |
|
|
|
|
|
|
|
Cash and cash equivalents |
|
$ |
90,722 |
|
|
$ |
98,352 |
Restricted cash and cash equivalents |
|
|
94,321 |
|
|
|
91,210 |
Debt securities |
|
|
41,987 |
|
|
|
22,303 |
Equity investments |
|
|
5,776 |
|
|
|
17,091 |
Trade accounts receivable, net of allowance for doubtful accounts
of $6,133 at April 30, 2023 and $5,882 at July 31, 2022 |
|
|
65,942 |
|
|
|
64,315 |
Disbursement prefunding |
|
|
40,428 |
|
|
|
21,057 |
Prepaid expenses |
|
|
15,575 |
|
|
|
17,526 |
Other current assets |
|
|
35,211 |
|
|
|
30,773 |
|
|
|
|
|
|
|
|
Total current assets |
|
|
389,962 |
|
|
|
362,627 |
Property, plant, and
equipment, net |
|
|
39,083 |
|
|
|
36,866 |
Goodwill |
|
|
26,596 |
|
|
|
26,380 |
Other intangibles, net |
|
|
8,483 |
|
|
|
9,609 |
Equity investments |
|
|
10,263 |
|
|
|
7,426 |
Operating lease right-of-use
assets |
|
|
6,141 |
|
|
|
7,210 |
Deferred income tax assets,
net |
|
|
27,501 |
|
|
|
36,701 |
Other assets |
|
|
10,197 |
|
|
|
10,275 |
|
|
|
|
|
|
|
|
Total assets |
|
$ |
518,226 |
|
|
$ |
497,094 |
|
|
|
|
|
|
|
|
Liabilities,
redeemable noncontrolling interest, and equity |
|
|
|
|
|
|
|
Current liabilities: |
|
|
|
|
|
|
|
Trade accounts payable |
|
$ |
29,715 |
|
|
$ |
29,080 |
Accrued expenses |
|
|
109,177 |
|
|
|
117,109 |
Deferred revenue |
|
|
33,910 |
|
|
|
36,531 |
Customer deposits |
|
|
86,111 |
|
|
|
85,764 |
Other current liabilities |
|
|
42,762 |
|
|
|
36,588 |
|
|
|
|
|
|
|
|
Total current liabilities |
|
|
301,675 |
|
|
|
305,072 |
Operating lease
liabilities |
|
|
3,572 |
|
|
|
4,606 |
Other liabilities |
|
|
3,527 |
|
|
|
6,588 |
|
|
|
|
|
|
|
|
Total liabilities |
|
|
308,774 |
|
|
|
316,266 |
Commitments and
contingencies |
|
|
|
|
|
|
|
Redeemable noncontrolling
interest |
|
|
10,449 |
|
|
|
10,191 |
Equity: |
|
|
|
|
|
|
|
IDT Corporation stockholders’ equity: |
|
|
|
|
|
|
|
Preferred stock, $.01 par value; authorized shares—10,000; no
shares issued |
|
|
— |
|
|
|
— |
Class A common stock, $.01 par value; authorized shares—35,000;
3,272 shares issued and 1,574 shares outstanding at April 30, 2023
and July 31, 2022 |
|
|
33 |
|
|
|
33 |
Class B common stock, $.01 par value; authorized shares—200,000;
27,798 and 27,725 shares issued and 23,892 and 24,112 shares
outstanding at April 30, 2023 and July 31, 2022, respectively |
|
|
278 |
|
|
|
277 |
Additional paid-in capital |
|
|
300,328 |
|
|
|
296,005 |
Treasury stock, at cost, consisting of 1,698 and 1,698 shares of
Class A common stock and 3,906 and 3,613 shares of Class B common
stock at April 30, 2023 and July 31, 2022, respectively |
|
|
(109,410 |
) |
|
|
(101,565 |
Accumulated other comprehensive loss |
|
|
(14,475 |
) |
|
|
(11,305 |
Retained earnings (accumulated deficit) |
|
|
16,685 |
|
|
|
(15,830 |
|
|
|
|
|
|
|
|
Total IDT Corporation stockholders’ equity |
|
|
193,439 |
|
|
|
167,615 |
Noncontrolling interests |
|
|
5,564 |
|
|
|
3,022 |
|
|
|
|
|
|
|
|
Total equity |
|
|
199,003 |
|
|
|
170,637 |
|
|
|
|
|
|
|
|
Total liabilities, redeemable noncontrolling interest, and
equity |
|
$ |
518,226 |
|
|
$ |
497,094 |
IDT CORPORATION
CONSOLIDATED STATEMENTS OF
INCOME (Unaudited)
|
|
Three Months EndedApril 30, |
|
|
Nine Months EndedApril 30, |
|
|
|
2023 |
|
|
2022 |
|
|
2023 |
|
|
2022 |
|
|
|
(in thousands, except per share data) |
|
|
|
|
|
Revenues |
|
$ |
299,295 |
|
|
$ |
328,353 |
|
|
$ |
935,047 |
|
|
$ |
1,035,494 |
|
Costs and expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Direct cost of revenues (exclusive of depreciation and
amortization) |
|
|
210,250 |
|
|
|
247,565 |
|
|
|
664,281 |
|
|
|
796,516 |
|
Selling, general and administrative (i) |
|
|
68,574 |
|
|
|
62,772 |
|
|
|
202,591 |
|
|
|
183,948 |
|
Depreciation and amortization |
|
|
5,185 |
|
|
|
4,509 |
|
|
|
14,986 |
|
|
|
13,333 |
|
Severance |
|
|
145 |
|
|
|
— |
|
|
|
458 |
|
|
|
67 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total costs and expenses |
|
|
284,154 |
|
|
|
314,846 |
|
|
|
882,316 |
|
|
|
993,864 |
|
Other operating expense, net |
|
|
(4,764 |
) |
|
|
(179 |
) |
|
|
(3,948 |
) |
|
|
(709 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income from operations |
|
|
10,377 |
|
|
|
13,328 |
|
|
|
48,783 |
|
|
|
40,921 |
|
Interest income, net |
|
|
709 |
|
|
|
85 |
|
|
|
2,029 |
|
|
|
217 |
|
Other expense, net |
|
|
(382 |
) |
|
|
(5,068 |
) |
|
|
(2,610 |
) |
|
|
(24,234 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income before income
taxes |
|
|
10,704 |
|
|
|
8,345 |
|
|
|
48,202 |
|
|
|
16,904 |
|
Provision for income taxes |
|
|
(2,960 |
) |
|
|
(3,239 |
) |
|
|
(12,594 |
) |
|
|
(5,887 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
|
|
7,744 |
|
|
|
5,106 |
|
|
|
35,608 |
|
|
|
11,017 |
|
Net income attributable to noncontrolling interests |
|
|
(854 |
) |
|
|
(335 |
) |
|
|
(3,093 |
) |
|
|
(1,231 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income attributable to IDT
Corporation |
|
$ |
6,890 |
|
|
$ |
4,771 |
|
|
$ |
32,515 |
|
|
$ |
9,786 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per share
attributable to IDT Corporation common stockholders: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
$ |
0.27 |
|
|
$ |
0.18 |
|
|
$ |
1.27 |
|
|
$ |
0.38 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted |
|
$ |
0.27 |
|
|
$ |
0.18 |
|
|
$ |
1.27 |
|
|
$ |
0.37 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted-average number of
shares used in calculation of earnings per share: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
|
25,518 |
|
|
|
25,901 |
|
|
|
25,544 |
|
|
|
25,706 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted |
|
|
25,612 |
|
|
|
26,205 |
|
|
|
25,589 |
|
|
|
26,455 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(i) Stock-based compensation
included in selling, general and administrative expenses |
|
$ |
1,679 |
|
|
$ |
1,245 |
|
|
$ |
3,537 |
|
|
$ |
1,840 |
|
IDT CORPORATION
CONSOLIDATED STATEMENTS OF CASH
FLOWS
(Unaudited)
|
|
Nine Months EndedApril 30, |
|
|
|
2023 |
|
|
2022 |
|
|
|
(in thousands) |
|
Operating
activities |
|
|
|
|
|
|
|
|
Net income |
|
$ |
35,608 |
|
|
$ |
11,017 |
|
Adjustments to reconcile net
income to net cash provided by operating activities: |
|
|
|
|
|
|
|
|
Depreciation and amortization |
|
|
14,986 |
|
|
|
13,333 |
|
Deferred income taxes |
|
|
9,200 |
|
|
|
4,624 |
|
Provision for doubtful accounts receivable |
|
|
1,180 |
|
|
|
1,578 |
|
Net unrealized loss from marketable securities |
|
|
3,151 |
|
|
|
19,705 |
|
Stock-based compensation |
|
|
3,537 |
|
|
|
1,840 |
|
Other |
|
|
2,114 |
|
|
|
3,486 |
|
Change in assets and
liabilities: |
|
|
|
|
|
|
|
|
Trade accounts receivable |
|
|
(2,084 |
) |
|
|
(8,461 |
) |
Disbursement prefunding, prepaid expenses, other current assets,
and other assets |
|
|
(27,043 |
) |
|
|
(20,504 |
) |
Trade accounts payable, accrued expenses, other current
liabilities, and other liabilities |
|
|
(6,220 |
) |
|
|
(2,566 |
) |
Customer deposits at IDT Financial Services Limited
(Gibraltar-based bank) |
|
|
(2,570 |
) |
|
|
(9,843 |
) |
Deferred revenue |
|
|
(3,160 |
) |
|
|
(948 |
) |
|
|
|
|
|
|
|
|
|
Net cash provided by operating
activities |
|
|
28,699 |
|
|
|
13,261 |
|
Investing
activities |
|
|
|
|
|
|
|
|
Capital expenditures |
|
|
(16,033 |
) |
|
|
(13,794 |
) |
Purchase of convertible preferred stock in equity method
investment |
|
|
(168 |
) |
|
|
(1,051 |
) |
Payments for acquisitions, net of cash acquired |
|
|
— |
|
|
|
(7,546 |
) |
Purchases of debt securities and equity investments |
|
|
(44,166 |
) |
|
|
(11,277 |
) |
Proceeds from maturities and sales of debt securities and
redemptions of equity investments |
|
|
34,309 |
|
|
|
7,752 |
|
|
|
|
|
|
|
|
|
|
Net cash used in investing
activities |
|
|
(26,058 |
) |
|
|
(25,916 |
) |
Financing
activities |
|
|
|
|
|
|
|
|
Distributions to noncontrolling interests |
|
|
(293 |
) |
|
|
(359 |
) |
Proceeds from other liabilities |
|
|
300 |
|
|
|
2,301 |
|
Repayment of other liabilities. |
|
|
(2,031 |
) |
|
|
(1,319 |
) |
Proceeds from borrowings under revolving credit facility |
|
|
2,383 |
|
|
|
2,566 |
|
Repayment of borrowings under revolving credit facility. |
|
|
(2,383 |
) |
|
|
(2,566 |
) |
Proceeds from sale of redeemable equity in subsidiary |
|
|
— |
|
|
|
10,000 |
|
Proceeds from exercise of stock options |
|
|
172 |
|
|
|
137 |
|
Repurchases of Class B common stock |
|
|
(7,845 |
) |
|
|
(12,832 |
) |
|
|
|
|
|
|
|
|
|
Net cash used in financing
activities |
|
|
(9,697 |
) |
|
|
(2,072 |
) |
Effect of exchange rate
changes on cash, cash equivalents, and restricted cash and cash
equivalents |
|
|
2,537 |
|
|
|
(14,093 |
) |
|
|
|
|
|
|
|
|
|
Net decrease in cash, cash
equivalents, and restricted cash and cash equivalents |
|
|
(4,519 |
) |
|
|
(28,820 |
) |
Cash, cash equivalents, and
restricted cash and cash equivalents at beginning of period |
|
|
189,562 |
|
|
|
226,916 |
|
|
|
|
|
|
|
|
|
|
Cash, cash equivalents, and
restricted cash and cash equivalents at end of period |
|
$ |
185,043 |
|
|
$ |
198,096 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Supplemental schedule
of non-cash investing and financing activities |
|
|
|
|
|
|
|
|
Conversion of equity method investment’s secured promissory notes
into convertible preferred stock |
|
$ |
4,038 |
|
|
$ |
— |
|
|
|
|
|
|
|
|
|
|
Stock issued to certain executive officers for bonus payments |
|
$ |
615 |
|
|
$ |
— |
|
|
|
|
|
|
|
|
|
|
Liabilities incurred for acquisitions |
|
$ |
— |
|
|
$ |
7,849 |
|
|
|
|
|
|
|
|
|
|
Shares of the Company’s Class B common stock issued for
acquisition |
|
$ |
— |
|
|
$ |
1,000 |
|
|
|
|
|
|
|
|
|
|
Cashless exercise of stock options in exchange for shares of the
Company’s Class B common stock |
|
$ |
— |
|
|
$ |
14,930 |
|
Reconciliation of Non-GAAP Financial
Measures for the Third Quarter
Fiscal 2023 and 2022
In addition to disclosing financial results that
are determined in accordance with generally accepted accounting
principles in the United States of America (GAAP), IDT also
disclosed for 3Q23, 2Q23, and 3Q22, Adjusted EBITDA and non-GAAP
earnings per diluted share (EPS), both of which are non-GAAP
measures.
Generally, a non-GAAP measure is a numerical
measure of a company’s performance, financial position, or cash
flows that either excludes or includes amounts that are not
normally excluded or included in the most directly comparable
measure calculated and presented in accordance with GAAP.
IDT’s measure of non-GAAP EPS is calculated by
dividing non-GAAP net income by the diluted weighted-average
shares. IDT’s measure of non-GAAP net income starts with net income
attributable to IDT in accordance with GAAP and adds severance
expense, stock-based compensation, and other operating expense, and
deducts other operating gains. These additions and subtractions are
non-cash and/or non-routine items in the relevant fiscal 2023 and
fiscal 2022 periods.
Management believes that IDT’s Adjusted EBITDA
and non-GAAP EPS are measures which provide useful information to
both management and investors by excluding certain expenses and
non-routine gains and losses that may not be indicative of IDT’s or
the relevant segment’s core operating results. Management uses
Adjusted EBITDA, among other measures, as a relevant indicator of
core operational strengths in its financial and operational
decision making. In addition, management uses Adjusted EBITDA and
non-GAAP EPS to evaluate operating performance in relation to IDT’s
competitors. Disclosure of these financial measures may be useful
to investors in evaluating performance and allows for greater
transparency to the underlying supplemental information used by
management in its financial and operational decision-making. In
addition, IDT has historically reported similar financial measures
and believes such measures are commonly used by readers of
financial information in assessing performance, therefore the
inclusion of comparative numbers provides consistency in financial
reporting.
Management refers to Adjusted EBITDA, as well as
the GAAP measures income (loss) from operations and net income, on
a segment and/or consolidated level to facilitate internal and
external comparisons to the segments’ and IDT's historical
operating results, in making operating decisions, for budget and
planning purposes, and to form the basis upon which management is
compensated.
While depreciation and amortization are
considered operating costs under GAAP, these expenses primarily
represent the non-cash current period allocation of costs
associated with long-lived assets acquired or capitalized in prior
periods. IDT’s Adjusted EBITDA, which is exclusive of depreciation
and amortization, is a useful indicator of its current
performance.
Severance expense is excluded from the
calculation of Adjusted EBITDA and non-GAAP EPS. Severance expense
is reflective of decisions made by management in each period
regarding the aspects of IDT’s and its segments’ businesses to be
focused on in light of changing market realities and other factors.
While there may be similar charges in other periods, the nature and
magnitude of these charges can fluctuate markedly and do not
reflect the performance of IDT’s core and continuing
operations.
Other operating gain (expense), net, which is a
component of income (loss) from operations, is excluded from the
calculation of Adjusted EBITDA and non-GAAP EPS. Other operating
gain (expense), net primarily includes gains from the write-off of
a contingent consideration liabilities, legal fees net of insurance
claims related to Straight Path Communications Inc.’s stockholders’
class action, and expense for the indemnification of a net2phone
cable telephony customer related to a legal settlement. From
time-to-time, IDT may have gains or incur costs related to
non-routine legal and other matters, however, these various items
generally do not occur each quarter. IDT believes the gain and
losses from these non-routine matters are not components of IDT’s
or the relevant segment’s core operating results.
Stock-based compensation recognized by IDT and
other companies may not be comparable because of the variety of
types of awards as well as the various valuation methodologies and
subjective assumptions that are permitted under GAAP. Stock-based
compensation is excluded from IDT’s calculation of non-GAAP EPS
because management believes this allows investors to make more
meaningful comparisons of the operating results per share of IDT’s
core business with the results of other companies. However,
stock-based compensation will continue to be a significant expense
for IDT for the foreseeable future and an important part of
employees’ compensation that impacts their performance.
Adjusted EBITDA and non-GAAP EPS should be
considered in addition to, not as a substitute for, or superior to,
income (loss) from operations, cash flow from operating activities,
net income, basic and diluted earnings per share or other measures
of liquidity and financial performance prepared in accordance with
GAAP. In addition, IDT’s measurements of Adjusted EBITDA and
non-GAAP EPS may not be comparable to similarly titled measures
reported by other companies.
Following are reconciliations of Adjusted EBITDA
and non-GAAP EPS to the most directly comparable GAAP measure,
which are, (a) for Adjusted EBITDA, income (loss) from operations
for IDT’s reportable segments and net income for IDT on a
consolidated basis, and (b) for non-GAAP EPS, diluted earnings per
share.
IDT CorporationReconciliation of Net
Income to Adjusted EBITDA (unaudited) in millions.
Figures may not foot or cross-foot due to rounding to millions
|
|
Total IDT Corporation |
|
|
Traditional Communica-tions |
|
|
net2phone |
|
|
NRS |
|
|
Fintech |
|
|
Corporate |
|
Three Months Ended April 30,
2023(3Q23) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
attributable to IDT Corporation |
|
$ |
6.9 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjustments: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income attributable to
noncontrolling interests |
|
|
0.9 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
|
|
7.7 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Provision for income taxes |
|
|
3.0 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income before income
taxes |
|
|
10.7 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest income, net |
|
|
(0.7 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other expense, net |
|
|
0.4 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) from
operations |
|
|
10.4 |
|
|
$ |
12.9 |
|
|
$ |
(0.4 |
) |
|
$ |
2.1 |
|
|
$ |
(1.3 |
) |
|
$ |
(2.9 |
) |
Depreciation and amortization |
|
|
5.2 |
|
|
|
2.5 |
|
|
|
1.4 |
|
|
|
0.6 |
|
|
|
0.7 |
|
|
|
- |
|
Severance |
|
|
0.1 |
|
|
|
0.1 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
Other operating expense, net |
|
|
4.8 |
|
|
|
4.1 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
0.6 |
|
Adjusted EBITDA |
|
$ |
20.5 |
|
|
$ |
19.7 |
|
|
$ |
1.0 |
|
|
$ |
2.7 |
|
|
$ |
(0.6 |
) |
|
$ |
(2.3 |
) |
|
|
Total IDT Corporation |
|
|
Traditional Communica-tions |
|
|
net2phone |
|
|
NRS |
|
|
Fintech |
|
|
Corporate |
|
Three Months Ended January 31,
2023(2Q23) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
attributable to IDT Corporation |
|
$ |
14.6 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjustments: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income attributable to
noncontrolling interests |
|
|
0.7 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
|
|
15.3 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Provision for income taxes |
|
|
5.3 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income before income
taxes |
|
|
20.6 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest income, net |
|
|
(0.8 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other income, net |
|
|
(1.6 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) from
operations |
|
|
18.2 |
|
|
$ |
17.0 |
|
|
$ |
(0.6 |
) |
|
$ |
5.4 |
|
|
$ |
(0.8 |
) |
|
$ |
(2.8 |
) |
Depreciation and amortization |
|
|
5.0 |
|
|
|
2.4 |
|
|
|
1.4 |
|
|
|
0.6 |
|
|
|
0.7 |
|
|
|
- |
|
Severance |
|
|
0.2 |
|
|
|
0.2 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
Other operating (gain) expense, net |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(0.3 |
) |
|
|
0.3 |
|
Adjusted EBITDA |
|
$ |
23.4 |
|
|
$ |
19.6 |
|
|
$ |
0.8 |
|
|
$ |
6.0 |
|
|
$ |
(0.5 |
) |
|
$ |
(2.5 |
) |
IDT Corporation
Reconciliation of Net Income to Adjusted
EBITDA
(unaudited) in millions. Figures may not foot or
cross-foot due to rounding to millions.
|
|
Total IDT Corporation |
|
|
Traditional Communica-tions |
|
|
net2phone |
|
|
NRS |
|
|
Fintech |
|
|
Corporate |
|
Three Months Ended April 30,
2022(3Q22) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
attributable to IDT Corporation |
|
$ |
4.8 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjustments: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income attributable to
noncontrolling interests |
|
|
0.3 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
|
|
5.1 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Provision for income taxes |
|
|
3.2 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income before income
taxes |
|
|
8.3 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest income, net |
|
|
(0.1 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other expense, net |
|
|
5.1 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) from
operations |
|
|
13.3 |
|
|
$ |
17.6 |
|
|
$ |
(2.3 |
) |
|
$ |
1.1 |
|
|
$ |
(1.1 |
) |
|
$ |
(2.0 |
) |
Depreciation and amortization |
|
|
4.5 |
|
|
|
2.4 |
|
|
|
1.3 |
|
|
|
0.2 |
|
|
|
0.6 |
|
|
|
- |
|
Other operating expense, net |
|
|
0.2 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
0.2 |
|
Adjusted EBITDA |
|
$ |
18.0 |
|
|
$ |
20.0 |
|
|
$ |
(0.9 |
) |
|
$ |
1.3 |
|
|
$ |
(0.5 |
) |
|
$ |
(1.8 |
) |
IDT Corporation
Reconciliation of Earnings per share to
Non-GAAP EPS
(unaudited) in millions, except per share data.
Figures may not foot due to rounding to millions.
|
|
|
3Q23 |
|
|
|
2Q23 |
|
|
|
3Q22 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income attributable to IDT
Corporation |
|
$ |
6.9 |
|
|
$ |
14.6 |
|
|
$ |
4.8 |
|
Adjustments (add)
subtract: |
|
|
|
|
|
|
|
|
|
|
|
|
Stock-based compensation |
|
|
(1.7 |
) |
|
|
(1.3 |
) |
|
|
(1.2 |
) |
Severance expense |
|
|
(0.1 |
) |
|
|
(0.2 |
) |
|
|
- |
|
Other operating expense,
net |
|
|
(4.8 |
) |
|
|
- |
|
|
|
(0.2 |
) |
Total adjustments |
|
|
(6.6 |
) |
|
|
(1.5 |
) |
|
|
(1.4 |
) |
Income tax effect of total
adjustments |
|
|
(1.8 |
) |
|
|
(0.4 |
) |
|
|
(0.6 |
) |
|
|
|
4.8 |
|
|
|
1.1 |
|
|
|
0.8 |
|
Non-GAAP net income |
|
$ |
11.7 |
|
|
$ |
15.7 |
|
|
$ |
5.6 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per share: |
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
$ |
0.27 |
|
|
$ |
0.57 |
|
|
$ |
0.18 |
|
Total adjustments |
|
|
0.19 |
|
|
|
0.05 |
|
|
|
0.04 |
|
Non-GAAP - basic |
|
$ |
0.46 |
|
|
$ |
0.62 |
|
|
$ |
0.22 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted-average number of
shares used in calculation of basic earnings per share |
|
|
25.5 |
|
|
|
25.5 |
|
|
|
25.9 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted |
|
$ |
0.27 |
|
|
$ |
0.57 |
|
|
$ |
0.18 |
|
Total adjustments |
|
|
0.19 |
|
|
|
0.05 |
|
|
|
0.04 |
|
Non-GAAP - diluted |
|
$ |
0.46 |
|
|
$ |
0.62 |
|
|
$ |
0.22 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted-average number of
shares used in calculation of diluted earnings per share |
|
|
25.6 |
|
|
|
25.5 |
|
|
|
26.2 |
|
*Explanation of Key Performance
Metrics
NRS’ recurring revenue is NRS’ revenue in
accordance with GAAP excluding revenue from POS terminal sales.
NRS’ Monthly Average Recurring Revenue per
Terminal is a financial metric. Monthly Average Recurring Revenue
per Terminal is calculated by dividing NRS’ recurring revenue by
the average number of active POS terminals during the period. The
average number of active POS terminals is calculated by adding the
beginning and ending number of active POS terminals during the
period and dividing by two. NRS’ recurring revenue divided by the
average number of active POS terminals is divided by three when the
period is a fiscal quarter. Monthly Average Recurring Revenue per
Terminal is useful for comparisons of NRS’ revenue per customer to
prior periods and to competitors and others in the market, as well
as for forecasting future revenue from the customer base.
BOSS Money’s Average Revenue per Transaction is
also a financial metric. Average Revenue per Transaction is
calculated by dividing BOSS Money’s revenue in accordance with GAAP
by the number of transactions during the period. Average Revenue
per Transaction is useful for comparisons of BOSS Money’s revenue
per transaction to prior periods and to competitors and others in
the market, as well as for forecasting future revenue based on
transaction trends.
net2phone’s subscription revenue is its revenue
in accordance with GAAP excluding its equipment revenue and revenue
generated by a legacy SIP trunking offering in Brazil. net2phone’s
cloud communications offerings are priced on a per-seat basis, with
customers paying based on the number of users in their
organization. The number of seats served and subscription revenue
trends and comparisons between periods are used in the analysis of
net2phone’s revenues and direct cost of revenues are strong
indications of the top-line growth and performance of the
business.
# # #
IDT (NYSE:IDT)
Gráfica de Acción Histórica
De Abr 2024 a May 2024
IDT (NYSE:IDT)
Gráfica de Acción Histórica
De May 2023 a May 2024