IDT (IDT) 16th Annual East Coast IDEAS Conference summary

Company overview and financial highlights

• Celebrated 30th anniversary with a $1.4B market cap, $251M cash, no debt, and $1.3B in revenue over the past year.

• Returned $26M to shareholders via buybacks and dividends in the last 12 months.

• Operates six businesses, with three high-margin segments (NRS, BOSS Money, net2phone) driving growth and profitability.

• Core assets include strong brands in immigrant communities, a vast retail network, and robust technology infrastructure.

High-margin growth businesses

• NRS operates 40,000 POS terminals at 34,000 locations, with annual recurring revenue rising from $45M in 2022 to $141M in the last 12 months.

• NRS's average monthly recurring revenue per terminal increased to $307, with a 28% EBITDA margin and a Rule of 40 score of 50.

• BOSS Money, launched in 2013, is a digital-first remittance provider, with 90% of transfers via apps and digital channel revenue up 27% YoY.

• BOSS Money's growth accelerated due to a new federal tax on cash remittances, driving a 30% YoY increase in Fintech EBITDA.

• net2phone focuses on mid-market and small businesses, with 441,000 seats, $93.5M TTM subscription revenue, and a 17% EBITDA margin.

Traditional communications and business transition

• Traditional segment includes IDT Digital Payments, BOSS Revolution Calling, and IDT Global Carrier Services, generating stable cash flow despite industry decline.

• Migration from retail to digital channels and new plan-based offerings have improved margins to 9.5%.

• Legacy businesses have seen a 75% decline in minutes over 10 years but maintained EBITDA through cost control and operational efficiency.

• $70M annual cash flow from traditional businesses is reinvested into growth segments.