IDT Corporation (NYSE: IDT), a global provider of fintech, cloud
communications, and traditional communications services, today
reported results for the fourth quarter and full fiscal year 2022,
the three and twelve months ended July 31, 2022.
FOURTH QUARTER
AND FISCAL YEAR
2022 HIGHLIGHTS
(Throughout this release, unless otherwise
noted, results for the fourth quarter of fiscal year 2022 (4Q22)
are compared to the fourth quarter of fiscal year 2021 (4Q21), and
results for FY2022 are compared to FY2021. All earnings per share
(EPS) and other ‘per share’ results are per diluted share unless
otherwise noted.)
- Fintech and
cloud communications businesses -- revenue and related metrics:
- National Retail
Solutions (NRS) recurring revenue* increased 157% to $17.7 million
in 4Q22. FY2022 recurring revenue increased 129% to $45.3 million.
Net active POS terminals increased by approximately 1400 during
4Q22 to end the quarter with approximately 19,400;
- BOSS Money
remittance revenue increased 56% to $17.0 million in 4Q22.
Transaction volume increased by 31% to 2.7 million. FY2022 revenue
increased 16% to $57.5 million with transaction volume increasing
24% to 9.4 million;
- net2phone
subscription revenue* increased 37% to $15.1 million in 4Q22. Seats
served increased by approximately 12,000 sequentially to end the
quarter with approximately 291,000. FY2022 subscription revenue
increased 38% to $53.6 million;
-
Consolidated revenue in 4Q22 decreased 16% year-over-year to $329
million from $390 million as a result of a 23% decrease in the
Traditional Communications segment’s revenue. FY2022 consolidated
revenue decreased 6% to $1,364 million from $1,447 million;
- Consolidated
income from operations in 4Q22 increased 13% to $19.2 million from
$16.9 million. FY2022 income from operations increased 6% to $60.1
million from $57.0 million;
- Net income
attributable to IDT in 4Q22 decreased to $17.2 million from $38.7
million. FY2022 net income attributable to IDT decreased to $27.0
million from $96.5 million. The quarterly and full-year decreases
resulted from the positive impacts of reversals of income tax
valuation allowances totaling $22.4 million in 4Q21 and $46.3
million in FY2021, and, for the full fiscal year, net unrealized
losses on equity investments of $19.2 million in FY2022 compared to
net unrealized gains of $8.8 million in FY2021;
(Adjusted EBITDA, Non-GAAP net income and
Non-GAAP EPS are Non-GAAP 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 measure. Please see the final
page of this release for the explanation of asterisked
key performance metrics.)
- EPS decreased to $0.66 in 4Q22 from
$1.46. In FY2022, EPS decreased to $1.03 from $3.70. The quarterly
and full-year decreases resulted from the positive impacts of
reversals of income tax valuation allowances totaling $0.84 per
share in 4Q21 and $1.78 per share in FY2021, and, for the full
fiscal year, net unrealized losses on equity investments of $0.73
per share in FY2022 compared to net unrealized gains of $0.34 per
share in FY2021;
- Consolidated
Adjusted EBITDA in 4Q22 increased 9% to $24.1 million from $22.2
million. FY2022 Adjusted EBITDA increased 6% to $79.1 million from
$74.5 million;
- Non-GAAP EPS in
4Q22 increased to $0.70 from $0.66. FY2022 Non-GAAP EPS decreased
to $1.19 from $1.98;
- IDT repurchased
554,744 shares of its Class B common stock in the open market for
$13.4 million during 4Q22.
REMARKS BY SHMUEL
JONAS, CEO
“In the fourth quarter and for the full 2022
fiscal year, our high-margin, rapidly growing fintech and cloud
communications businesses delivered impressive year-over-year and
sequential results. For several years we have invested in these
businesses to develop the next generation of IDT’s value creation.
This transformation helped drive IDT’s consolidated quarterly and
annual Adjusted EBITDA to their highest levels in our history.
“Looking ahead, we anticipate that the continued
growth of these high-margin fintech and cloud communications
businesses and of our Mobile Top-Up offerings will further,
significantly improve IDT’s consolidated Adjusted EBITDA, more than
offsetting the continued decreasing contributions that we expect
from the BOSS Revolution Calling and IDT Global businesses within
our lower margin Traditional Communications segment.”
CONSOLIDATED RESULTS
Results(in millions, except
EPS) |
|
|
4Q22 |
|
|
|
3Q22 |
|
|
|
4Q21 |
|
|
|
4Q22 - 4Q21 change (%/$) |
|
|
|
FY 2022 |
|
|
|
FY 2021 |
|
|
|
FY2022 -FY2021 change (%/$) |
|
Revenue |
|
$ |
329 |
|
|
$ |
328 |
|
|
$ |
390 |
|
|
|
(15.7 |
)% |
|
$ |
1,364 |
|
|
$ |
1,447 |
|
|
|
(5.7 |
)% |
Direct cost of revenue |
|
$ |
238 |
|
|
$ |
248 |
|
|
$ |
311 |
|
|
|
(23.5 |
)% |
|
$ |
1,034 |
|
|
$ |
1,154 |
|
|
|
(10.4 |
)% |
SG&A expense |
|
$ |
67 |
|
|
$ |
63 |
|
|
$ |
57 |
|
|
|
+17.0 |
% |
|
$ |
250 |
|
|
$ |
218 |
|
|
|
+14.6 |
% |
Depreciation and
amortization |
|
$ |
4.8 |
|
|
$ |
4.5 |
|
|
$ |
4.4 |
|
|
|
+9.1 |
% |
|
$ |
18.1 |
|
|
$ |
17.8 |
|
|
|
+2.0 |
% |
Other operating (expense)
gain, net |
|
$ |
(0.1 |
) |
|
$ |
(0.2 |
) |
|
$ |
(0.8 |
) |
|
|
+$0.7 |
|
|
$ |
(0.8 |
) |
|
$ |
0.7 |
|
|
$ |
(1.6 |
) |
Income from operations |
|
$ |
19.2 |
|
|
$ |
13.3 |
|
|
$ |
16.9 |
|
|
|
+13.2 |
% |
|
$ |
60.1 |
|
|
$ |
57.0 |
|
|
|
+5.5 |
% |
Net income attributable to
IDT |
|
$ |
17.2 |
|
|
$ |
4.8 |
|
|
$ |
38.7 |
|
|
|
(55.5 |
)% |
|
$ |
27.0 |
|
|
$ |
96.5 |
|
|
|
(72.0 |
)% |
Adjusted EBITDA |
|
$ |
24.1 |
|
|
$ |
18.0 |
|
|
$ |
22.2 |
|
|
|
+8.9% |
|
|
$ |
79.1 |
|
|
$ |
74.5 |
|
|
|
+$6.3 |
% |
EPS |
|
$ |
0.66 |
|
|
$ |
0.18 |
|
|
$ |
1.46 |
|
|
$ |
(0.80 |
) |
|
$ |
1.03 |
|
|
$ |
3.70 |
|
|
$ |
(2.67 |
) |
Non-GAAP net income |
|
$ |
18.2 |
|
|
$ |
6.0 |
|
|
$ |
17.4 |
|
|
|
+4.7 |
% |
|
$ |
31.4 |
|
|
$ |
51.5 |
|
|
|
(39.0 |
)% |
Non-GAAP EPS |
|
$ |
0.70 |
|
|
$ |
0.23 |
|
|
$ |
0.66 |
|
|
|
+$0.04 |
|
|
$ |
1.19 |
|
|
$ |
1.98 |
|
|
$ |
(0.79 |
) |
RESULTS BY SEGMENT
|
|
Fintech |
|
|
net2phone |
|
|
Traditional Communications |
|
(in millions) |
|
4Q22 |
|
|
4Q21 |
|
|
FY22 |
|
|
FY21 |
|
|
4Q22 |
|
|
4Q21 |
|
|
FY22 |
|
|
FY21 |
|
|
4Q22 |
|
|
4Q21 |
|
|
FY22 |
|
|
FY21 |
|
Revenue |
|
$ |
36.2 |
|
|
$ |
19.1 |
|
|
$ |
108.8 |
|
|
$ |
74.3 |
|
|
$ |
16.2 |
|
|
$ |
12.5 |
|
|
$ |
58.2 |
|
|
$ |
44.5 |
|
|
$ |
276.2 |
|
|
$ |
358.4 |
|
|
$ |
1,197.1 |
|
|
$ |
1,328.1 |
|
Direct cost of revenue |
|
$ |
10.0 |
|
|
$ |
7.5 |
|
|
$ |
32.7 |
|
|
$ |
26.2 |
|
|
$ |
2.5 |
|
|
$ |
2.4 |
|
|
$ |
10.1 |
|
|
$ |
8.7 |
|
|
$ |
225.4 |
|
|
$ |
301.1 |
|
|
$ |
991.7 |
|
|
$ |
1,119.2 |
|
SG&A expense |
|
$ |
20.0 |
|
|
$ |
14.1 |
|
|
$ |
68.0 |
|
|
$ |
47.9 |
|
|
$ |
14.0 |
|
|
$ |
12.7 |
|
|
$ |
54.2 |
|
|
$ |
46.1 |
|
|
$ |
30.8 |
|
|
$ |
28.3 |
|
|
$ |
120.5 |
|
|
$ |
116.9 |
|
Income (loss) from
operations |
|
$ |
5.4 |
|
|
$ |
(2.9 |
) |
|
$ |
5.3 |
|
|
$ |
(1.5 |
) |
|
$ |
(1.8 |
) |
|
$ |
(4.0 |
) |
|
$ |
(11.1 |
) |
|
$ |
(15.5 |
) |
|
$ |
17.5 |
|
|
$ |
26.0 |
|
|
$ |
74.8 |
|
|
$ |
81.3 |
|
Adjusted EBITDA |
|
$ |
6.2 |
|
|
$ |
(2.5 |
) |
|
$ |
8.0 |
|
|
$ |
0.2 |
|
|
$ |
(0.4 |
) |
|
$ |
(2.6 |
) |
|
$ |
(6.1 |
) |
|
$ |
(10.3 |
) |
|
$ |
20.0 |
|
|
$ |
29.0 |
|
|
$ |
85.0 |
|
|
$ |
92.1 |
|
Capital expenditures |
|
$ |
4.6 |
|
|
$ |
0.7 |
|
|
$ |
8.3 |
|
|
$ |
4.4 |
|
|
$ |
0.6 |
|
|
$ |
1.1 |
|
|
$ |
4.6 |
|
|
$ |
5.4 |
|
|
$ |
2.1 |
|
|
$ |
1.6 |
|
|
$ |
7.5 |
|
|
$ |
7.0 |
|
Fintech
Fintech comprises two primary businesses: 1)
National Retail Solutions (NRS), an operator of a nationwide
point-of-sale (POS) retail network providing merchant services,
digital out-of-home (DOOH) advertising, transaction data, and
ancillary services, and 2) BOSS Money, a provider of international
money remittances.
In 4Q22 and 4Q21, the Fintech segment accounted
for 11.0% and 4.9% of IDT’s consolidated revenue, respectively. In
FY2022 and FY2021, the Fintech segment accounted for 8.0% and 5.1%
of consolidated revenue, respectively.
NRS Results(Revenue, except per terminal
figures, $ in thousands. Terminal and accounts at end of
period) |
|
|
4Q22 |
|
|
3Q22 |
|
|
4Q21 |
|
|
4Q22-4Q21 change % |
|
|
FY 2022 |
|
|
FY 2021 |
|
|
FY2022 -FY2021 change % |
|
NRS
KPIs |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
POS terminals |
|
|
19,400 |
|
|
|
17,900 |
|
|
|
14,000 |
|
|
|
+38 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
Payment processing
accounts |
|
|
10,300 |
|
|
|
9,200 |
|
|
|
5,800 |
|
|
|
+77 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NRS recurring
revenue |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Advertising and data |
|
$ |
10,316 |
|
|
$ |
3,729 |
|
|
$ |
3,064 |
|
|
|
+237 |
% |
|
$ |
22,252 |
|
|
$ |
8,713 |
|
|
|
+155 |
% |
Merchant services and
other |
|
|
5,766 |
|
|
|
4,765 |
|
|
|
2,866 |
|
|
|
+101 |
% |
|
|
17,454 |
|
|
|
7,805 |
|
|
|
+124 |
% |
SaaS fees |
|
|
1,591 |
|
|
|
1,462 |
|
|
|
950 |
|
|
|
+68 |
% |
|
|
5,558 |
|
|
|
3,232 |
|
|
|
+72 |
% |
Total recurring
revenue |
|
$ |
17,673 |
|
|
$ |
9,956 |
|
|
$ |
6,879 |
|
|
|
+157 |
% |
|
$ |
45,263 |
|
|
$ |
19,750 |
|
|
|
+129 |
% |
POS terminal sales |
|
|
1,551 |
|
|
|
1,427 |
|
|
|
1,338 |
|
|
|
+16 |
% |
|
|
6,036 |
|
|
|
4,999 |
|
|
|
+21 |
% |
Total NRS
Revenue |
|
$ |
19,224 |
|
|
$ |
11,383 |
|
|
$ |
8,217 |
|
|
|
+134 |
% |
|
$ |
51,299 |
|
|
$ |
24,748 |
|
|
|
+107 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Monthly average recurring
revenue per terminal* |
|
$ |
316 |
|
|
$ |
193 |
|
|
$ |
169 |
|
|
|
+87 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
NRS
Take-Aways:
- As of July 31,
2022, NRS’ POS terminal network comprised approximately 19,400
active POS terminals, an increase of 38% compared to a year
earlier, and approximately 10,300 payment processing accounts, an
increase of 77% compared to a year earlier;
- NRS recurring
revenue increased 157% in 4Q22 to $17.7 million from $6.9 million
in 4Q21. FY2022 recurring revenue increased 129% to $45.3 million
from $19.8 million in FY2021;
- NRS monthly
average recurring revenue per terminal increased to $316 from
$169;
- In August 2022,
NRS and Bringg, a leading delivery management platform provider,
announced a partnership to enable NRS retailers nationwide to
source and manage external delivery providers for home delivery
services utilizing Bringg's delivery hub.
BOSS
Money Take-Aways:
- Transaction
volumes in 4Q22 increased 31% to 2.67 million from 2.04 million.
FY2022 transaction volumes increased 24% to 9.37 million from 7.54
million.
- Revenue
increased 56% in 4Q22 to $17.0 million from $10.9 million. FY2022
revenue increased 16% to $57.5 million from $49.6 million. The
robust 4Q22 increase resulted from accelerated growth in
transaction volumes as well as higher average revenue per
transaction*;
- Average revenue
per transaction in 4Q22 increased 19% to $6.35 from $5.33. The
increase was driven by the development and introduction of new
platform functionalities enabling more flexible and granular
pricing strategies. In FY2022, average revenue per transaction
decreased 7% to $6.13 from $6.57 as a result of elevated foreign
exchange revenues realized during the first half of fiscal 2021
from favorable, transitory market conditions;
- During 4Q22,
BOSS Money announced an expansion of service to Ethiopia by
offering direct deposit to approximately 40 million Ethiopian bank
accounts through an agreement with Terra Pay, a global mobile-first
payments provider. More recently, BOSS Money initiated a
collaboration with United Bank for Africa (UBA) to enable customers
to send U.S. dollars for direct deposit at any of the approximately
20 million UBA accounts in Nigeria.
net2phone
In 4Q22 and 4Q21, the net2phone segment
accounted for 4.9% and 3.2% of IDT’s consolidated revenue,
respectively. In FY2022 and FY2021, the net2phone segment accounted
for 4.3% and 3.1% of consolidated revenue, respectively.
net2phone
Take-aways:
- Total seats on
July 31, 2022 increased 4% to 291,000 from 279,000 on April 30,
2022. Seats increased 29% from 226,000 a year earlier. The
year-over-year increase included 7,000 seats added through the
Integra CCaaS acquisition in 3Q22;
- Subscription
revenue in 4Q22 increased 37% to $15.1 million from $11.0 million,
led by strong growth in both net2phone's South and North American
regions. FY2022 subscription revenue increased 38% to $53.6 million
from $38.8 million in FY2021. Revenue per seat increased robustly
in both South and North America -- the former despite the
strengthening of the US dollar relative to most South American
currencies -- as net2phone focused on higher-value customers and
channel partners;
- During 4Q22,
net2phone announced a partnership with TeleBermuda International
Limited (TBi) to provide its UCaaS solutions to TBi's business
customers. net2phone also announced a strategic partnership with
UPSTACK to enable UPSTACK’s expert advisors to offer net2phone’s
cloud communication solutions to clients;
- Following the
close of the fiscal year, net2phone was named a UCaaS growth and
innovation leader in Latin America and the Caribbean by Frost &
Sullivan, which placed net2phone in the top quadrant of the Frost
RadarTM: Unified Communications as a Service Market in Latin
America and the Caribbean, 2022. During 4Q22, netphone’s UCaaS
offering was recognized as one of the 10 Most Promising Unified
Communication Solutions in 2022 by CIOReview, a leading publication
for business technology leaders.
Traditional Communications
In 4Q22 and 4Q21, the Traditional Communications
segment accounted for 84.1% and 91.9% of IDT’s consolidated
revenue, respectively. In FY2022 and FY2021, the Traditional
Communications segment accounted for 87.7% and 91.8% of
consolidated revenue, respectively.
Traditional
Communications
Take-Aways:
- Mobile Top-Up
(MTU) revenue in 4Q22 decreased 18% to $112.6 million from $136.6
million. The decrease reflects a sudden, industry-wide
deterioration in a key corridor that was particularly impactful in
the wholesale and retail channels. In FY2022, revenue increased 3%
to $473.2 million from $461.6 million in FY2021 led by increased
sales of bundled offerings;
- BOSS Revolution
Calling revenue in 4Q22 decreased 20% to $90.2 million from $112.6
million. In FY2022, revenue decreased 15% to $387.9 million from
$455.2 million in FY2021. The decreases reflect the long-standing
industry-wide decline in the paid minute calling markets that
paused during the initial stages of the COVID pandemic but have
since accelerated;
- IDT Global’s
carrier services revenue in 4Q22 decreased 35% to $62.9 million
from $97.4 million. FY2022 revenue decreased 19% to $292.3 million
from $361.0 million in FY2021;
- Decreases in
BOSS Revolution Calling and IDT Global revenues have been heavily
skewed toward lower margin corridors and/or distribution channels,
mitigating their bottom-line impacts. Management anticipates,
however, that both offerings will continue to generate significant,
though uneven, revenue decreases for the foreseeable future and
that, gradually, a larger proportion of these decreases will impact
Traditional Communications’ bottom line results.
NOTES ON FINANCIAL STATEMENTS
Consolidated results for all periods presented
include corporate overhead. Corporate G&A expense was $1.7
million in both 4Q22 and 4Q21. FY2022 corporate SG&A increased
to $7.8 million from $7.5 million in FY2021.
As of July 31, 2022, IDT held $137.7 million in
cash, cash equivalents, debt securities, and current equity
investments. Current assets totaled $362.6 million and current
liabilities totaled $305.1 million, and IDT had no outstanding
debt.
Net cash provided by operating activities during
4Q22 was $16.1 million compared to $28.5 million during 4Q21.
Exclusive of changes in customer deposit balances at our
Gibraltar-based bank, net cash provided by operating activities
during 4Q22 was $22.3 million compared to $24.3 million during
4Q21. FY2022 net cash provided by operating activities was $29.4
million compared to $66.6 million in FY2021. Exclusive of changes
in customer deposit balances, net cash provided by operating
activities during FY2022 was $45.4 million compared to $73.5
million during FY2021.
Capital expenditures increased to $8.1 million
in 4Q22 from $3.3 million in 4Q21. Capital expenditures increased
to $21.9 million in FY2022 from $16.8 million in FY2021.
IDT EARNINGS ANNOUNCEMENT &
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, outlook, and strategy 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: 657260).
A replay of the conference call will be
available approximately three hours after the call concludes
through October 20, 2022. 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: 46269. 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, and traditional communications services. We make
it easy for families to communicate 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 and BOSS
Revolution international calling services make sending money 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
July 31
(in thousands) |
|
2022 |
|
|
2021 |
|
|
|
(unaudited) |
|
|
|
|
ASSETS |
|
|
|
|
|
|
|
|
CURRENT
ASSETS: |
|
|
|
|
|
|
|
|
Cash and cash equivalents |
|
$ |
98,352 |
|
|
$ |
107,147 |
|
Restricted cash and cash equivalents |
|
|
91,210 |
|
|
|
119,769 |
|
Debt securities |
|
|
22,303 |
|
|
|
14,012 |
|
Equity investments |
|
|
17,091 |
|
|
|
42,434 |
|
Trade accounts receivable, net of allowance for doubtful accounts
of $5,882 and $4,438 at July 31, 2022 and 2021, respectively |
|
|
64,315 |
|
|
|
46,644 |
|
Disbursement prefunding |
|
|
21,057 |
|
|
|
27,656 |
|
Prepaid expenses |
|
|
17,526 |
|
|
|
13,694 |
|
Other current assets |
|
|
30,773 |
|
|
|
16,779 |
|
TOTAL CURRENT
ASSETS |
|
|
362,627 |
|
|
|
388,135 |
|
Property, plant, and
equipment, net |
|
|
36,866 |
|
|
|
30,829 |
|
Goodwill |
|
|
26,380 |
|
|
|
14,897 |
|
Other intangibles, net |
|
|
9,609 |
|
|
|
7,578 |
|
Equity investments |
|
|
7,426 |
|
|
|
11,654 |
|
Operating lease right-of-use
assets |
|
|
7,210 |
|
|
|
7,671 |
|
Deferred income tax assets,
net |
|
|
36,701 |
|
|
|
41,502 |
|
Other assets |
|
|
10,275 |
|
|
|
10,389 |
|
TOTAL
ASSETS |
|
$ |
497,094 |
|
|
$ |
512,655 |
|
LIABILITIES AND EQUITY
CURRENT LIABILITIES: |
|
|
|
|
|
|
|
|
Trade accounts payable |
|
$ |
29,080 |
|
|
$ |
24,502 |
|
Accrued expenses |
|
|
117,109 |
|
|
|
129,085 |
|
Deferred revenue |
|
|
36,531 |
|
|
|
42,293 |
|
Customer deposits |
|
|
85,764 |
|
|
|
115,524 |
|
Other current liabilities |
|
|
36,588 |
|
|
|
27,930 |
|
TOTAL CURRENT
LIABILITIES |
|
|
305,072 |
|
|
|
339,334 |
|
Operating lease
liabilities |
|
|
4,606 |
|
|
|
5,473 |
|
Other liabilities |
|
|
6,588 |
|
|
|
1,234 |
|
TOTAL
LIABILITIES |
|
|
316,266 |
|
|
|
346,041 |
|
Commitments and
contingencies |
|
|
|
|
|
|
|
|
Redeemable noncontrolling
interest |
|
|
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 July 31, 2022
and 2021 |
|
|
33 |
|
|
|
33 |
|
Class B common stock, $.01 par value; authorized shares—200,000;
27,725 and 26,379 shares issued and 24,112 and 24,187 shares
outstanding at July 31, 2022 and 2021, respectively |
|
|
277 |
|
|
|
264 |
|
Additional paid-in capital |
|
|
296,005 |
|
|
|
278,021 |
|
Treasury stock, at cost, consisting of 1,698 and 1,698 shares of
Class A common stock and 3,613 and 2,192 shares of Class B common
stock at July 31, 2022 and 2021, respectively |
|
|
(101,565 |
) |
|
|
(60,413 |
) |
Accumulated other comprehensive loss |
|
|
(11,305 |
) |
|
|
(10,183 |
) |
Accumulated deficit |
|
|
(15,830 |
) |
|
|
(42,858 |
) |
Total IDT Corporation stockholders’ equity |
|
|
167,615 |
|
|
|
164,864 |
|
Noncontrolling interests |
|
|
3,022 |
|
|
|
1,750 |
|
TOTAL
EQUITY |
|
|
170,637 |
|
|
|
166,614 |
|
TOTAL LIABILITIES AND
EQUITY |
|
$ |
497,094 |
|
|
$ |
512,655 |
|
IDT CORPORATION CONSOLIDATED STATEMENTS
OF INCOME
Year
ended July 31 (in thousands, except per share data) |
|
2022 |
|
|
2021 |
|
|
2020 |
|
|
|
(unaudited) |
|
|
|
|
|
|
|
REVENUES |
|
$ |
1,364,057 |
|
|
$ |
1,446,990 |
|
|
$ |
1,345,769 |
|
COSTS AND
EXPENSES: |
|
|
|
|
|
|
|
|
|
|
|
|
Direct cost of revenues (exclusive of depreciation and
amortization) |
|
|
1,034,430 |
|
|
|
1,154,048 |
|
|
|
1,084,009 |
|
Selling, general and administrative (i) |
|
|
250,481 |
|
|
|
218,467 |
|
|
|
214,846 |
|
Depreciation and amortization |
|
|
18,115 |
|
|
|
17,764 |
|
|
|
20,406 |
|
Severance |
|
|
116 |
|
|
|
452 |
|
|
|
3,503 |
|
TOTAL COSTS AND
EXPENSES |
|
|
1,303,142 |
|
|
|
1,390,731 |
|
|
|
1,322,764 |
|
Other operating (expense) gain, net |
|
|
(826 |
) |
|
|
731 |
|
|
|
(5,063 |
) |
Income from operations |
|
|
60,089 |
|
|
|
56,990 |
|
|
|
17,942 |
|
Interest income, net |
|
|
146 |
|
|
|
318 |
|
|
|
1,043 |
|
Other (expense) income, net |
|
|
(25,352 |
) |
|
|
7,916 |
|
|
|
(1,267 |
) |
Income before income
taxes |
|
|
34,883 |
|
|
|
65,224 |
|
|
|
17,718 |
|
(Provision for) benefit from income taxes |
|
|
(5,878 |
) |
|
|
31,667 |
|
|
|
3,700 |
|
NET
INCOME |
|
|
29,005 |
|
|
|
96,891 |
|
|
|
21,418 |
|
Net (income) loss attributable to noncontrolling interests |
|
|
(1,977 |
) |
|
|
(416 |
) |
|
|
12 |
|
NET INCOME
ATTRIBUTABLE TO IDT CORPORATION |
|
$ |
27,028 |
|
|
$ |
96,475 |
|
|
$ |
21,430 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per share
attributable to IDT Corporation common stockholders: |
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
$ |
1.05 |
|
|
$ |
3.78 |
|
|
$ |
0.82 |
|
Diluted |
|
$ |
1.03 |
|
|
$ |
3.70 |
|
|
$ |
0.81 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted-average number of
shares used in calculation of earnings per share: |
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
|
25,791 |
|
|
|
25,495 |
|
|
|
26,278 |
|
Diluted |
|
|
26,356 |
|
|
|
26,053 |
|
|
|
26,441 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(i) Stock-based compensation included in selling, general and
administrative expenses |
|
$ |
1,930 |
|
|
$ |
1,490 |
|
|
$ |
3,856 |
|
IDT CORPORATION CONSOLIDATED STATEMENTS
OF CASH FLOWS
Year
ended July 31 (in thousands) |
|
2022 |
|
|
2021 |
|
|
2020 |
|
|
|
(unaudited) |
|
|
|
|
|
|
|
OPERATING
ACTIVITIES |
|
|
|
|
|
|
|
|
|
|
|
|
Net
income |
|
$ |
29,005 |
|
|
$ |
96,891 |
|
|
$ |
21,418 |
|
Adjustments to reconcile net
income to net cash provided by (used in) operating activities: |
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and amortization |
|
|
18,115 |
|
|
|
17,764 |
|
|
|
20,406 |
|
Deferred income taxes |
|
|
4,801 |
|
|
|
(32,793 |
) |
|
|
(3,805 |
) |
Provision for doubtful accounts receivable |
|
|
2,330 |
|
|
|
1,782 |
|
|
|
3,109 |
|
Net unrealized loss (gain) from marketable securities |
|
|
18,960 |
|
|
|
(3,262 |
) |
|
|
(140 |
) |
Stock-based compensation |
|
|
1,930 |
|
|
|
1,490 |
|
|
|
3,856 |
|
Other |
|
|
3,379 |
|
|
|
(4,096 |
) |
|
|
492 |
|
Changes in assets and
liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
Trade accounts receivable |
|
|
(21,322 |
) |
|
|
(3,728 |
) |
|
|
11,702 |
|
Disbursement prefunding, prepaid expenses, other current assets,
and other assets |
|
|
(8,003 |
) |
|
|
(2,247 |
) |
|
|
(1,719 |
) |
Trade accounts payable, accrued expenses, other current
liabilities, and other liabilities |
|
|
(1,110 |
) |
|
|
(264 |
) |
|
|
(12,081 |
) |
Customer deposits at IDT Financial Services Limited
(Gibraltar-based bank) |
|
|
(15,966 |
) |
|
|
(6,906 |
) |
|
|
(70,401 |
) |
Deferred revenue |
|
|
(2,712 |
) |
|
|
1,989 |
|
|
|
(2,428 |
) |
Net cash provided by (used in)
operating activities |
|
|
29,407 |
|
|
|
66,620 |
|
|
|
(29,591 |
) |
INVESTING
ACTIVITIES |
|
|
|
|
|
|
|
|
|
|
|
|
Capital expenditures |
|
|
(21,879 |
) |
|
|
(16,765 |
) |
|
|
(16,041 |
) |
Payments for acquisitions, net
of cash acquired |
|
|
(7,552 |
) |
|
|
(3,673 |
) |
|
|
(450 |
) |
Cash acquired from acquisition
of interest in variable interest entity |
|
|
— |
|
|
|
3,336 |
|
|
|
— |
|
Purchase of Rafael Holdings,
Inc. Class B common stock and warrant |
|
|
— |
|
|
|
(5,000 |
) |
|
|
— |
|
Exercise of warrant to
purchase shares of Rafael Holdings, Inc. Class B common stock |
|
|
— |
|
|
|
(1,000 |
) |
|
|
— |
|
Purchase of convertible
preferred stock in equity method investment |
|
|
(1,051 |
) |
|
|
(4,000 |
) |
|
|
— |
|
Purchases of debt securities
and equity investments |
|
|
(24,454 |
) |
|
|
(43,187 |
) |
|
|
(22,429 |
) |
Proceeds from maturities and
sales of debt securities and redemption of equity investments |
|
|
21,157 |
|
|
|
26,230 |
|
|
|
6,457 |
|
Net cash used in investing
activities |
|
|
(33,779 |
) |
|
|
(44,059 |
) |
|
|
(32,463 |
) |
FINANCING
ACTIVITIES |
|
|
|
|
|
|
|
|
|
|
|
|
Distributions to
noncontrolling interests |
|
|
(514 |
) |
|
|
(848 |
) |
|
|
(934 |
) |
Payment for acquisition of
warrant in variable interest entity |
|
|
— |
|
|
|
(791 |
) |
|
|
— |
|
Proceeds from other
liabilities |
|
|
2,301 |
|
|
|
729 |
|
|
|
— |
|
Repayment of other
liabilities |
|
|
(1,319 |
) |
|
|
(108 |
) |
|
|
(510 |
) |
Proceeds from sale of
redeemable equity in subsidiary |
|
|
10,000 |
|
|
|
— |
|
|
|
— |
|
Proceeds from note
payable |
|
|
— |
|
|
|
— |
|
|
|
10,000 |
|
Repayment of note payable |
|
|
— |
|
|
|
— |
|
|
|
(10,000 |
) |
Proceeds from borrowings under
revolving credit facility |
|
|
2,566 |
|
|
|
— |
|
|
|
1,429 |
|
Repayments of borrowings under
revolving credit facility |
|
|
(2,566 |
) |
|
|
— |
|
|
|
(1,429 |
) |
Proceeds from exercise of
stock options |
|
|
137 |
|
|
|
687 |
|
|
|
276 |
|
Repurchases of Class B common
stock |
|
|
(26,222 |
) |
|
|
(4,192 |
) |
|
|
(4,482 |
) |
Net cash used in financing
activities |
|
|
(15,617 |
) |
|
|
(4,523 |
) |
|
|
(5,650 |
) |
Effect of exchange rate
changes on cash, cash equivalents, and restricted cash and cash
equivalents |
|
|
(17,365 |
) |
|
|
7,656 |
|
|
|
11,727 |
|
Net (decrease) increase in
cash, cash equivalents, and restricted cash and cash
equivalents |
|
|
(37,354 |
) |
|
|
25,694 |
|
|
|
(55,977 |
) |
Cash, cash equivalents, and
restricted cash and cash equivalents at beginning of year |
|
|
226,916 |
|
|
|
201,222 |
|
|
|
257,199 |
|
Cash, cash
equivalents, and restricted cash and cash equivalents at end of
year |
|
$ |
189,562 |
|
|
$ |
226,916 |
|
|
$ |
201,222 |
|
SUPPLEMENTAL
DISCLOSURE OF CASH FLOW INFORMATION |
|
|
|
|
|
|
|
|
|
|
|
|
Cash payments made for interest |
|
$ |
461 |
|
|
$ |
486 |
|
|
$ |
388 |
|
Cash payments made for income taxes |
|
$ |
109 |
|
|
$ |
193 |
|
|
$ |
60 |
|
SUPPLEMENTAL SCHEDULE
OF NON-CASH FINANCING AND INVESTING ACTIVITIES |
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities incurred for acquisitions |
|
$ |
7,849 |
|
|
$ |
628 |
|
|
$ |
375 |
|
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 |
|
|
$ |
— |
|
|
$ |
— |
|
Stock issued for matching contributions to the 401(k) Plan |
|
$ |
— |
|
|
$ |
1,042 |
|
|
$ |
— |
|
Reconciliation of Non-GAAP Financial
Measures for the Fourth Quarter and Full Fiscal
Years 2022 and 2021
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 4Q22, 3Q22, 4Q21, and the full fiscal years 2022 and
2021, Adjusted EBITDA, non-GAAP net income, and non-GAAP earnings
per diluted share (EPS), all 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 net income starts with
net income in accordance with GAAP and adds severance expense,
stock-based compensation, and other operating expense, and deducts
the release of valuation allowance on deferred tax assets and other
operating gains. These additions and subtractions are non-cash
and/or non-routine items in the relevant fiscal 2022 and fiscal
2021 periods.
IDT’s measure of non-GAAP EPS is calculated by
dividing non-GAAP net income by the diluted weighted-average
shares.
Management believes that IDT’s Adjusted EBITDA,
non-GAAP net income, 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, non-GAAP net income, 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, non-GAAP net income, 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 (expense) gain, net, which is a
component of income (loss) from operations, is excluded from the
calculation of Adjusted EBITDA, non-GAAP net income, and non-GAAP
EPS. Other operating (expense) gain, net includes legal fees net of
insurance claims related to Straight Path Communications Inc.’s
stockholders’ putative class action and derivative complaint,
expense for the indemnification of a net2phone cable telephony
customer related to patent infringement claims brought against the
customer, a gain from the write-off of a contingent consideration
liability, expense for other legal and regulatory matters, and a
gain from the sale of IDT’s rights under a class action lawsuit.
From time-to-time, IDT may have gains or incur costs related to
non-routine legal and regulatory 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 net
income and 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.
In 4Q21 and 3Q21, due to continued and projected
profitability, IDT was able to release a portion of its valuation
allowance that was recorded against its deferred tax assets. These
income tax benefits were excluded from IDT’s non-GAAP net income
and non-GAAP EPS because they were only indirectly related to the
results of IDT’s core operations.
Adjusted EBITDA, non-GAAP net income, 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, non-GAAP net income, and non-GAAP
EPS may not be comparable to similarly titled measures reported by
other companies.
Following are reconciliations of Adjusted
EBITDA, non-GAAP net income, 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, (b) for non-GAAP net income, net
income, and (c) 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 |
|
|
Fintech |
|
|
Corporate |
|
Three
Months Ended July 31, 2022(4Q22) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income attributable to IDT
Corporation |
|
$ |
17.2 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjustments: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income attributable to
noncontrolling interests |
|
|
0.7 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
|
|
18.0 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Benefit from income taxes |
|
|
- |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income before income
taxes |
|
|
18.0 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest expense, net |
|
|
0.1 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other expense, net |
|
|
1.1 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) from
operations |
|
|
19.2 |
|
|
$ |
17.5 |
|
|
$ |
(1.8 |
) |
|
$ |
5.4 |
|
|
$ |
(1.9 |
) |
Depreciation and amortization |
|
|
4.8 |
|
|
|
2.5 |
|
|
|
1.4 |
|
|
|
0.9 |
|
|
|
- |
|
Other operating expense, net |
|
|
0.1 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
0.1 |
|
Adjusted EBITDA |
|
$ |
24.1 |
|
|
$ |
20.0 |
|
|
$ |
(0.4 |
) |
|
$ |
6.2 |
|
|
$ |
(1.7 |
) |
|
|
Total IDT Corporation |
|
|
Traditional Communica-tions |
|
|
net2phone |
|
|
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 |
|
|
$ |
17.4 |
|
|
$ |
(2.3 |
) |
|
$ |
0.2 |
|
|
$ |
(2.0 |
) |
Depreciation and amortization |
|
|
4.5 |
|
|
|
2.5 |
|
|
|
1.3 |
|
|
|
0.7 |
|
|
|
- |
|
Other operating expense, net |
|
|
0.2 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
0.2 |
|
Adjusted EBITDA |
|
$ |
18.0 |
|
|
$ |
19.9 |
|
|
$ |
(0.9 |
) |
|
$ |
0.8 |
|
|
$ |
(1.8 |
) |
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 |
|
|
Fintech |
|
|
Corporate |
|
Three
Months Ended July 31, 2021(4Q21) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income attributable to IDT
Corporation |
|
$ |
38.7 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjustments: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income attributable to
noncontrolling interests |
|
|
0.2 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
|
|
38.9 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Benefit from income taxes |
|
|
(19.5 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income before income
taxes |
|
|
19.3 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest income, net |
|
|
(0.1 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other income, net |
|
|
(2.3 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) from
operations |
|
|
16.9 |
|
|
$ |
26.0 |
|
|
$ |
(4.0 |
) |
|
$ |
(2.9 |
) |
|
$ |
(2.1 |
) |
Depreciation and amortization |
|
|
4.4 |
|
|
|
2.5 |
|
|
|
1.4 |
|
|
|
0.5 |
|
|
|
- |
|
Other operating expense, net |
|
|
0.8 |
|
|
|
0.4 |
|
|
|
- |
|
|
|
- |
|
|
|
0.4 |
|
Adjusted EBITDA |
|
$ |
22.2 |
|
|
$ |
29.0 |
|
|
$ |
(2.6 |
) |
|
$ |
(2.5 |
) |
|
$ |
(1.7 |
) |
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 |
|
|
Fintech |
|
|
Corporate |
|
Year
Ended July 31, 2022 (FY 2022) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income attributable to IDT
Corporation |
|
$ |
27.0 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjustments: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income attributable to
noncontrolling interests |
|
|
2.0 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
|
|
29.0 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Provision for income taxes |
|
|
5.9 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income before income
taxes |
|
|
34.9 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest income, net |
|
|
(0.1 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other expense, net |
|
|
25.4 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) from
operations |
|
|
60.1 |
|
|
$ |
74.8 |
|
|
$ |
(11.1 |
) |
|
$ |
5.3 |
|
|
$ |
(8.9 |
) |
Depreciation and amortization |
|
|
18.1 |
|
|
|
9.9 |
|
|
|
5.4 |
|
|
|
2.7 |
|
|
|
0.1 |
|
Severance expense |
|
|
0.1 |
|
|
|
0.1 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
Other operating expense (gain), net |
|
|
0.8 |
|
|
|
0.1 |
|
|
|
(0.3 |
) |
|
|
- |
|
|
|
1.0 |
|
Adjusted EBITDA |
|
$ |
79.1 |
|
|
$ |
85.0 |
|
|
$ |
(6.1 |
) |
|
$ |
8.0 |
|
|
$ |
(7.8 |
) |
|
|
Total IDT Corporation |
|
|
Traditional Communica-tions |
|
|
net2phone |
|
|
Fintech |
|
|
Corporate |
|
Year
Ended July 31, 2021 (FY 2021) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income attributable to IDT
Corporation |
|
$ |
96.5 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjustments: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income attributable to
noncontrolling interests |
|
|
0.4 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
|
|
96.9 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Benefit from income taxes |
|
|
(31.7 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income before income
taxes |
|
|
65.2 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest income, net |
|
|
(0.3 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other income, net |
|
|
(7.9 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) from
operations |
|
|
57.0 |
|
|
$ |
81.3 |
|
|
$ |
(15.5 |
) |
|
$ |
(1.5 |
) |
|
$ |
(7.4 |
) |
Depreciation and amortization |
|
|
17.8 |
|
|
|
10.9 |
|
|
|
5.1 |
|
|
|
1.8 |
|
|
|
0.1 |
|
Severance expense |
|
|
0.5 |
|
|
|
0.5 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
Other operating (gain) expense, net |
|
|
(0.7 |
) |
|
|
(0.6 |
) |
|
|
0.1 |
|
|
|
- |
|
|
|
(0.2 |
) |
Adjusted EBITDA |
|
$ |
74.5 |
|
|
$ |
92.1 |
|
|
$ |
(10.3 |
) |
|
$ |
0.2 |
|
|
$ |
(7.5 |
) |
IDT CorporationReconciliations of Net
Income to Non-GAAP Net Income and Earnings per share to Non-GAAP
EPS(unaudited) in millions, except per share data. Figures
may not foot due to rounding to millions.
|
|
|
4Q22 |
|
|
|
3Q22 |
|
|
|
4Q21 |
|
|
|
FY 2022 |
|
|
|
FY 2021 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
|
$ |
18.0 |
|
|
$ |
5.1 |
|
|
$ |
38.9 |
|
|
$ |
29.0 |
|
|
$ |
96.9 |
|
Adjustments (add)
subtract: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stock-based compensation |
|
|
(0.1 |
) |
|
|
(1.2 |
) |
|
|
(0.3 |
) |
|
|
(1.9 |
) |
|
|
(1.5 |
) |
Severance expense |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(0.1 |
) |
|
|
(0.5 |
) |
Other operating (expense)
gain, net |
|
|
(0.1 |
) |
|
|
(0.2 |
) |
|
|
(0.8 |
) |
|
|
(0.8 |
) |
|
|
0.7 |
|
Release of DTA valuation
allowance |
|
|
- |
|
|
|
- |
|
|
|
22.4 |
|
|
|
- |
|
|
|
46.4 |
|
Total adjustments |
|
|
(0.2 |
) |
|
|
(1.4 |
) |
|
|
21.3 |
|
|
|
(2.8 |
) |
|
|
45.1 |
|
Income tax effect of total
adjustments |
|
|
- |
|
|
|
(0.5 |
) |
|
|
(0.2 |
) |
|
|
(0.4 |
) |
|
|
(0.3 |
) |
|
|
|
0.2 |
|
|
|
0.9 |
|
|
|
(21.5 |
) |
|
|
2.4 |
|
|
|
(45.4 |
) |
Non-GAAP net income |
|
$ |
18.2 |
|
|
$ |
6.0 |
|
|
$ |
17.4 |
|
|
$ |
31.4 |
|
|
$ |
51.5 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per share: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
$ |
0.66 |
|
|
$ |
0.18 |
|
|
$ |
1.52 |
|
|
$ |
1.05 |
|
|
$ |
3.78 |
|
Total adjustments |
|
|
0.04 |
|
|
|
0.05 |
|
|
|
(0.84 |
) |
|
|
0.17 |
|
|
|
(1.76 |
) |
Non-GAAP - basic |
|
$ |
0.70 |
|
|
$ |
0.23 |
|
|
$ |
0.68 |
|
|
$ |
1.22 |
|
|
$ |
2.02 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted-average number of
shares used in calculation of basic earnings per share |
|
|
26.0 |
|
|
|
25.9 |
|
|
|
25.6 |
|
|
|
25.8 |
|
|
|
25.5 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted |
|
$ |
0.66 |
|
|
$ |
0.18 |
|
|
$ |
1.46 |
|
|
$ |
1.03 |
|
|
$ |
3.70 |
|
Total adjustments |
|
|
0.04 |
|
|
|
0.05 |
|
|
|
(0.80 |
) |
|
|
0.16 |
|
|
|
(1.72 |
) |
Non-GAAP - diluted |
|
$ |
0.70 |
|
|
$ |
0.23 |
|
|
$ |
0.66 |
|
|
$ |
1.19 |
|
|
$ |
1.98 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted-average number of
shares used in calculation of diluted earnings per share |
|
|
26.1 |
|
|
|
26.2 |
|
|
|
26.5 |
|
|
|
26.4 |
|
|
|
26.1 |
|
*Explanation of Key Performance
Metrics
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. NRS’ recurring revenue
is NRS’ revenue in accordance with GAAP excluding revenue from POS
terminal sales. 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 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)
Gráfico Histórico do Ativo
De Fev 2024 até Mar 2024
IDT (NYSE:IDT)
Gráfico Histórico do Ativo
De Mar 2023 até Mar 2024