IDT (NYSE:IDT) Announces Earnings Results

IDT (NYSE:IDT) issued its quarterly earnings results on Wednesday. The utilities provider reported $0.94 earnings per share for the quarter, beating analysts’ consensus estimates of $0.89 by $0.05, FiscalAI reports. IDT had a net margin of 6.49% and a return on equity of 25.97%. The firm had revenue of $315.71 million during the quarter, compared to the consensus estimate of $308.00 million.

Here are the key takeaways from IDT’s conference call:

• IDT reported a solid quarter with consolidated revenue up 5% to $315.7 million, gross profit up 9% to $122.5 million, and record gross margin of 38.8%. Adjusted EBITDA rose 13% to $37.5 million, and management raised full-year FY2026 Adjusted EBITDA guidance to $150 million-$152 million.
• NRS continued strong momentum, with recurring revenue up 22% year over year and POS terminals topping 39,000 active units. Management said merchant services and SaaS fees are driving growth, while the business posted a Rule of 40 score of 50.
• net2phone showed improving profitability, with subscription revenue up 12%, total revenue up 11%, and operating income up 76%. The company highlighted traction in AI offerings, including a no-code integration layer, and said these products could become accretive growth drivers in fiscal 2027.
• BOSS Money / digital remittance accelerated, with digital transactions up 20% and digital send volume up 40% as the company gained share following a new federal remittance tax. Management also said May was off to a record start and that the digital channel carries materially higher margins than retail.
• IDT ended the quarter with $251 million in cash and cash equivalents, declared a $0.07 quarterly dividend, and repurchased about 84,000 shares for $4 million. Management reiterated it will keep returning cash while continuing to invest in growth and pursue selective tuck-in acquisitions like OnCore Digital.

IDT Stock Performance

NYSE:IDT opened at $54.13 on Thursday. The company has a 50-day moving average of $51.46 and a 200-day moving average of $50.50. The company has a market capitalization of $1.36 billion, a price-to-earnings ratio of 16.60 and a beta of 0.68. IDT has a 52 week low of $45.72 and a 52 week high of $71.12.

IDT Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, June 18th. Stockholders of record on Tuesday, June 9th will be issued a dividend of $0.07 per share. This represents a $0.28 dividend on an annualized basis and a dividend yield of 0.5%. The ex-dividend date of this dividend is Tuesday, June 9th. IDT’s dividend payout ratio (DPR) is presently 8.59%.

Insider Transactions at IDT

In other news, CFO Marcelo Fischer sold 5,000 shares of the firm’s stock in a transaction dated Tuesday, April 14th. The shares were sold at an average price of $50.50, for a total transaction of $252,500.00. Following the completion of the transaction, the chief financial officer directly owned 56,147 shares of the company’s stock, valued at approximately $2,835,423.50. This trade represents a 8.18% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, EVP Menachem Ash sold 20,000 shares of the stock in a transaction dated Tuesday, April 14th. The stock was sold at an average price of $51.00, for a total transaction of $1,020,000.00. Following the sale, the executive vice president owned 32,243 shares of the company’s stock, valued at $1,644,393. This trade represents a 38.28% decrease in their position. The SEC filing for this sale provides additional information. 25.41% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On IDT

A number of hedge funds have recently made changes to their positions in IDT. AQR Capital Management LLC increased its position in shares of IDT by 40.2% during the 1st quarter. AQR Capital Management LLC now owns 58,197 shares of the utilities provider’s stock worth $2,986,000 after purchasing an additional 16,678 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its position in shares of IDT by 4.3% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 9,156 shares of the utilities provider’s stock worth $470,000 after purchasing an additional 381 shares in the last quarter. Millennium Management LLC increased its position in shares of IDT by 392.6% during the 1st quarter. Millennium Management LLC now owns 163,830 shares of the utilities provider’s stock worth $8,406,000 after purchasing an additional 130,569 shares in the last quarter. Marshall Wace LLP increased its position in shares of IDT by 1,436.4% during the 2nd quarter. Marshall Wace LLP now owns 94,674 shares of the utilities provider’s stock worth $6,468,000 after purchasing an additional 88,512 shares in the last quarter. Finally, Gabelli Funds LLC acquired a new stake in shares of IDT during the 2nd quarter worth about $239,000. Institutional investors and hedge funds own 59.34% of the company’s stock.

Wall Street Analyst Weigh In

A number of brokerages have weighed in on IDT. Weiss Ratings reissued a “hold (c+)” rating on shares of IDT in a report on Friday, March 27th. Wall Street Zen downgraded shares of IDT from a “strong-buy” rating to a “buy” rating in a report on Sunday, May 3rd. One analyst has rated the stock with a Hold rating, Based on data from MarketBeat, the stock currently has a consensus rating of “Hold”.

IDT Company Profile

IDT Corporation, founded in 1990 and headquartered in Newark, New Jersey, is a diversified global provider of telecommunications and payment services. The company operates through its primary communications arm, IDT Telecom, and a digital solutions segment that encompasses cross-border money transfers and related fintech offerings. Since its inception, IDT has built an international network infrastructure to support voice and data transmission across more than 200 countries and territories.

Through IDT Telecom, the company offers a suite of voice communication products, including prepaid phone cards, VoIP services, SIP trunking and operator-assisted calling.