IDT Corporation to Report Third Quarter FY2023 Results
NEWARK, NJ, May 24, 2023 — IDT Corporation (NYSE: IDT), a global provider of fintech, cloud communications, and traditional communications services, has scheduled its report of financial and operational results for the third quarter of its fiscal year 2023 (the three months ended April 30, 2023) on Monday, June 5, 2023.
IDT’s earnings release will be issued and posted on the IDT investor relations website (https://www.idt.net/investors-and–media) at approximately 4:30 PM Eastern.
IDT will host an earnings conference call beginning at 5:30 PM Eastern 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 Corporation:
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.
net2phone Named a Most Promising Contact Center and Unified Communications Provider for 2023
net2phone is featured in CIOReview’s Contact Center and Unified Communications editions
Newark, NJ, May 18, 2023 — net2phone, a leading communications-as-a-service provider, today announced that both its contact center and unified communications services have been recognized as among the most promising solutions in their respective market verticals by CIOReview, a leading publication for business technology leaders. Both net2phone units have been included in editorial features in CIOReview’s Contact Center and Unified Communications editions.
“We are glad to announce that net2phone has been featured in our Contact Center and Unified Communications editions,” said Justin Smith, Managing Editor of CIOReview. “Our listed companies have met and exceeded the expectations of some of the industry’s most sophisticated and knowledgeable technology consumers.”
CIOReview guides enterprises through the continuously evolving business environment with information about solutions and services, and serves as a knowledge source as well as a platform for technology buyers, experts and decision-makers to share their valuable insights about new solutions and marketplace trends.
“We are delighted that CIOReview has recognized the exceptional value of our uContact customer experience platform and our UNITE unified communications solutions to drive enhanced productivity,” said Jonah Fink, president of net2phone. “We recognize that each business has unique needs, and we work closely with our clients to develop tailored strategies, unique integrations, or customized automations that are specifically designed to meet their objectives.”
net2phone’s Unified Communications and Contact Center solutions connect businesses with voice, video, chat, text, and integrations that scale as businesses grow, all from within the cloud. Their advanced feature sets include reporting and analytics to deliver additional insights and drive smarter conversations while streamlining operational processes and integrating seamlessly with popular CRMs. The solutions are designed to be user-friendly, simple and reliable, enabling businesses to manage their omnichannel communications through an intuitive web-based interface.
By adopting net2phone’s unified communications or contact center platforms, clients gain a competitive edge by modernizing their business communications, improving employee and agent productivity, and enhancing the overall customer experience.
To learn more about putting net2phone to work for your business, visit net2phone.com.
About net2phone:
net2phone’s cloud services, including unified communications and contact center solutions, help corporations around the globe succeed through innovative business communication solutions empowering smarter conversations. net2phone is a subsidiary of IDT Corporation (NYSE: IDT). To learn more, please visit net2phone.com or connect on LinkedIn.
Forward Looking Statements:
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,” “esti-mate,” “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, IDTassumes no obligation to update any forward-looking statements.
NRSInsights’ April 2023 Retail Same-Store Sales Report
Same-store salesat NRS retailers during April increased 6.5%compared to April 2022
NEWARK, N.J., May 03, 2023 — NRSInsights, a provider of sales data and analytics drawn from retail transactions processed through the National Retail Solutions (NRS) point-of-sale (POS) platform, today announced comparative same-store sales results for April 2023.
As of April 30, 2023, the NRS retail network comprised approximately 24,000 terminals scanning purchases at independent retailers including bodegas, convenience stores, liquor stores, grocers, and tobacco and sundries sellers nationwide, predominantly serving urban consumers.
Retail Same-Store Sales Highlights
(Sequential comparisons are influenced by seasonal factors)
Same-store sales increased 6.5% from a year earlier (April 2022). Sales increased 0.1% compared to the preceding month (March 2023) despite April comprising 30 days compared to March’s 31 days;
Same-store sales in the preceding month (March 2023) had increased 8.0% compared to the year-ago month (March 2022), and increased 14.0% compared to the preceding month (February 2023) due, in part, to the three additional days in March;
For the three months ended April 30, 2023, same-store sales increased 7.9% compared to the three months ended April 30, 2022;
The number of items sold during April 2023 increased 6.9% compared to April 2022 but decreased 0.5% compared to March 2023;
The average number of transactions per store in April 2023 increased 3.9% compared to April 2022 and increased 1.2% compared to March 2023;
A dollar-weighted average of prices for the top 500 items purchased in April 2023 increased 3.1% year over year, a decrease from the 4.3% year-over-year increase in March 2023.
Commentary from Suzy Silliman (SVP, Data Strategy and Sales at NRS)
“NRS same-store sales in April increased by a robust 6.5% year-over-year, while rising at a slower pace than we experienced earlier in the year. The sequentially decelerating growth rate likely reflects, in part, seasonal factors and the termination of the COVID-19 Emergency Supplemental Nutrition Assistance Program (SNAP) following distribution of the February SNAP benefits.
“The three-month rolling average of NRS same-store sales increased 7.9% year-over-year, again substantially outpacing the prior months’ U.S. Commerce Department’s comparable retail same-store metric. The persistent variance likely reflects the overweighting of food, household essential items and other necessities at neighborhood retailers compared to the broader retail marketplace as well as the recent uptick in U.S. brick-and-mortar retail sales versus e-commerce.”
Retail Trade Comparative Data
The table below provides historical comparative data with the U.S. Commerce Department’s Advance Monthly Retail Trade data excluding food service:
The NRSInsights data have not been adjusted to reflect inflation, demographic distributions, seasonal buying patterns, item substitution, or other factors that may facilitate comparisons to other periods, to other same-store retail sales data, or to the U.S. Commerce Department’s retail data.
NRSInsights Reports
The NRSInsights monthly Same-Store Retail Sales Reports are intended to provide timely topline data reflective of sales at NRS’ network of independent, predominantly urban, retail stores.
Same-store data comparisons of April 2023 with April 2022 are derived from approximately 137 million transactions processed through the 13,605 stores on the NRS network that scanned transactions in both months. Same-store data comparisons of April 2023 data with March 2023 data are derived from approximately 187 million transactions processed through 19,974 stores.
Same-store data comparisons for the three months ended April 30, 2023 with the year-ago three months are derived from approximately 372 million scanned transactions processed through the NRS network in both quarters.
NRS POS Network
NRS operates the largest POS network for independent retailers in the U.S., aggregating data from approximately 24,000 active POS terminals operating in approximately 21,000 independent retail stores. Its platform predominantly serves urban, small-format, independent, retail stores including convenience stores, bodegas, liquor stores, grocers, and tobacco and sundries sellers. The network includes retailers in all 50 states and in 194 of the 210 designated market areas (DMAs) in the U.S. Over the past twelve months, NRS’ POS terminals processed $14.6 billion in sales through approximately one billion transactions.
About National Retail Solutions (NRS):
National Retail Solutions operates a point-of-sale (POS) terminal-based platform and digital payment processing service for independent retailers and bodega owners nationwide. Retailers utilize NRS offerings to process transactions and manage operations more effectively. Advertisers access the terminal’s digital display network to reach these retailers’ massive, predominantly urban customer bases. Consumer packaged goods (CPG) suppliers leverage the NRS platform to provision promotions, coupons, and special offers to independent retailers. NRS is a subsidiary of IDT Corporation (NYSE: IDT).
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.
NRSInsightsContact: Suzy Silliman SVP, Data Strategy and Sales at NRS National Retail Solutions suzy.silliman@nrsplus.com
As Criminal Gangs Target New York’s Bodegas, NRS Partners with BSBG to Offer Stores Free Panic Alarm Service
NEWARK, N.J., May 01, 2023 — National Retail Solutions (NRS), operator of the leading point-of-sale (POS) platform for independent retailers, today announced a partnership with the Bodega and Small Business Group (BSBG) to help safeguard New York City’s bodegas amid a continuing series of robberies and assaults on these stores.
The BSBG is a coalition of Hispanic bodega and other independent retail store owners in the New York metropolitan area, many of which serve predominantly immigrant communities in high-crime, low-income neighborhoods underserved by large retail brands. BSBG requested that NRS help its members to protect their stores with a panic alarm service.
Through the partnership, NRS will provide any BSBG member store that utilizes its point of sale (POS) terminal and enrolls for the alarm service on or before May 31, 2023 with six free months of Panic Alarm Button service.
The NRS alarm button is cleverly disguised within the NRS POS’s merchant-facing interface, enabling the cashier to summon local police silently and inconspicuously while a robbery or other emergency is in progress.
“Our bodegas are targeted by gangs and other violent criminals,” said Francisco Marte, president of BSBG. “We asked NRS to help our merchants because their panic alarm button is an essential safety service that enables our stores to safely alert the NYPD in an emergency.”
NRS operates the largest POS network for independent bodegas and retailers in the United States, comprising over 23,000 active POS terminals operating in stores nationwide. Over 10% of these stores are located in New York City.
“Our POS silent Panic Button Alarm service assists stores in emergency situations and helps deter crime,” said Elie Y. Katz, CEO of NRS. “It also makes owners and employees – as well as their customers – feel more secure, and in some instances, it can reduce the store’s insurance premiums. We offer support to store owners who try our system – training the staff so that they’ll know how to safely use the alarm in an emergency. Francisco and I encourage every BSBG member and every bodega and neighborhood c-store owner in New York to take advantage of this offer.”
To learn more about the NRS POS Panic Alarm Button premium feature or to request it for your store, please call (888) 755-9838 or visit nrsplus.com/panicalarm.
In New York City, the NRS POS Panic Alarm Button service is offered through NRS’ partnership with Top Security Alarms, a leading alarm company in the region for over 40 years (NYS License # 12000292736). Top Security Alarms also provides video surveillance and other security-related services.
About National Retail Solutions (NRS):
National Retail Solutions operates the leading point-of-sale (POS) terminal-based platform and NRS Pay credit card processing for independent retailers and bodega owners nationwide. Retailers utilize NRS offerings to process transactions and manage operations more effectively, enabling them to successfully compete against large retail chains. Advertisers access the terminal’s digital display network to reach these retailers’ massive, predominantly urban customer bases. Consumer packaged goods (CPG) suppliers leverage the NRS platform to provision promotions, coupons, and special offers to independent retailers. NRS is a subsidiary of IDT Corporation (NYSE: IDT).
AboutThe Bodega and Small Business Group
The Bodega and Small Business Group (BSBG) is an organization of Hispanic entrepreneurs that own and operate independent bodegas and small stores in New York. The Group was founded by its President, Francisco Marte, who is himself a bodeguero, or bodega owner.
Many BSBG bodegueros opened their stores to serve under-served, low-income, Hispanic communities that are struggling economically.
Bodegueros play an essential role in their communities throughout New York and their stores are vital parts of daily life in their local communities.
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.
NRSInsights’ March 2023 Retail Same-Store Sales Report
Same-store salesat NRS retailers in March continued to increase strongly, +8%compared to March 2022
NEWARK, N.J., April 05, 2023 — NRSInsights, a provider of sales data and analytics drawn from retail transactions processed through the National Retail Solutions (NRS) point-of-sale (POS) platform, today announced comparative same-store sales results for March 2023.
As of March 31, 2023, the NRS retail network comprised approximately 23,000 terminals scanning purchases at independent retailers including bodegas, convenience stores, liquor stores, grocers, and tobacco and sundries sellers nationwide, predominantly serving urban consumers.
Retail Same-Store Sales Highlights
(Sequential comparisons are influenced by seasonal factors)
Same-store sales increased 8.0% from a year earlier (March 2022). Sales increased 14.0% compared to the preceding month (February 2023) reflecting, in part, the three additional days in March and other seasonal factors;
Same-store sales in the preceding month (February 2023) had increased 10.7% compared to the year-ago month (February 2022) but had decreased 6.1% compared to the previous month (January 2023), largely as a result of the three fewer days in February and other seasonal factors;
For the three months ended March 31, 2023, same-store sales increased 9.2% compared to the three months ended March 31, 2022;
The number of items sold during March 2023 increased 3.8% compared to March 2022 and 13.7% compared to February 2023;
The average number of transactions per store in March 2023 increased 8.0% compared to March 2022 and 13.5% compared to February 2023;
A dollar-weighted average of prices for the top 500 items purchased in March 2023 increased 4.3% year over year, a slight increase compared to a 4.2% year-over-year increase in February 2023.
Commentary from Suzy Silliman(SVP, Data Strategy and Sales at NRS)
“NRS same-store sales for March again increased robustly, rising 8% compared to March 2022. Higher average prices on the most popular goods, which increased 4.3% year over year and edged up from the 4.2% year-over-year increase in February, were a significant driver of the sales increases, as were the average numbers of items purchased and transactions per store.”
“NRS same-store sales continue to grow strongly compared to the prior months’ U.S. Commerce Department’s retail data same-store metric, perhaps reflecting the overweighting of household essential items and necessities at neighborhood retailers compared to the broader retail marketplace.”
Retail Trade Comparative Data
The table below provides historical comparative data with the U.S. Commerce Department’s Advance Monthly Retail Trade data excluding food service:
The NRSInsights data have not been adjusted to reflect inflation, demographic distributions, seasonal buying patterns, item substitution, or other factors that may facilitate comparisons to other periods, to other same-store retail sales data, or to the U.S. Commerce Department’s retail data.
NRSInsights Reports
The NRSInsights monthly Same-Store Retail Sales Reports are intended to provide timely topline data reflective of sales at NRS’ network of independent, predominantly urban, retail stores.
Same-store data comparisons of March 2023 with March 2022 are derived from approximately 134 million transactions processed through the 13,131 stores on the NRS network that scanned transactions in both months. Same-store data comparisons of March 2023 data with February 2023 data are derived from approximately 173 million transactions processed through 19,486 stores.
Same-store data comparisons for the three months ended March 31, 2023 with the year-ago three months are derived from approximately 354 million scanned transactions processed through the NRS network in both quarters.
NRS POS Network
NRS operates the largest POS network for independent retailers in the U.S., aggregating data from approximately 23,000 active POS terminals operating in approximately 20,000 independent retail stores. Its platform predominantly serves urban, small-format, independent, retail stores including convenience stores, bodegas, liquor stores, grocers, and tobacco and sundries sellers. The network includes retailers in all 50 states and in 194 of the 210 designated market areas (DMAs) in the U.S. Over the past twelve months, NRS’ POS terminals processed $14.3 billion in sales through approximately one billion transactions.
About National Retail Solutions (NRS):
National Retail Solutions operates a point-of-sale (POS) terminal-based platform and digital payment processing service for independent retailers and bodega owners nationwide. Retailers utilize NRS offerings to process transactions and manage operations more effectively. Advertisers access the terminal’s digital display network to reach these retailers’ massive, predominantly urban customer bases. Consumer packaged goods (CPG) suppliers leverage the NRS platform to provision promotions, coupons, and special offers to independent retailers. NRS is a subsidiary of IDT Corporation (NYSE: IDT).
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.
NRSInsightsContact: Suzy Silliman SVP, Data Strategy and Sales at NRS National Retail Solutions suzy.silliman@nrsplus.com
Agreement brings net2phone’s cloud communications offerings to Bridgepointe’s supplier network
Newark, NJ, April 04, 2023 — net2phone, a leading cloud communications provider, today announced a strategic partnership with Bridgepointe, a leading tech advisory firm.
Through the partnership, Bridgepointe will now offer its mid-market and enterprise clients net2phone’s cloud communications solutions to enhance user experience across channels.
“Bridgepointe is a sophisticated technology provider leading its industry’s shift to focus on enhancing the cross-channel user experience,” said Jonah Fink, President of net2phone. “Their UX leadership aligns with net2phone’s strategic focus on leveraging the power of the cloud for seamless conversations across voice, text, chat, and email – and increasingly, on thoughtfully incorporating AI to optimize outcomes.”
“We are pleased to add net2phone to our lineup of suppliers,” shared Gary Jacobs, Vice President, Operations and Sales Programs, Bridgepointe Technologies. “With their unified communications and collaboration capabilities our clients will have a powerful way to reduce costs while working smarter. With a full suite of UCaaS features and integration with applications such as Teams, net2phone is an ideal choice for reliable, seamless communication.”
net2phone’s cloud communications and collaboration solutions for employees and contact centers include advanced feature sets and robust integrations with popular applications including Microsoft Teams, Salesforce, Slack and Zoho.
Forward Looking Statements:
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.
About net2phone:
net2phone’s cloud communications and contact center solutions help businesses around the globe succeed through smarter conversations. net2phone is a subsidiary of IDT Corporation (NYSE: IDT). To learn more, please visit net2phone.com or connect on LinkedIn.
About Bridgepointe Technologies: Bridgepointe Technologies is a leading tech advisory firm that helps mid-market and enterprise companies bridge the gap between tech investments and business results. Over the past 20 years, Bridgepointe has worked with over 12,000 companies to save time by shortening the procurement process while saving money and increasing ROI. Supported by in-house, best-in-class Solution Architects and IT Strategists, the firm has developed a proven process to quickly drive time to value with tech investments. For more information about Bridgepointe please visit https://bridgepointetechnologies.com/.
IDT Corporation Reports Second Quarter Fiscal Year 2023 Results
High Growth, High MarginBusinessesDriveSubstantialEPS Increase
NEWARK, NJ, March 08, 2023 — IDT Corporation (NYSE: IDT), a global provider of fintech, cloud communications, and traditional communications services, today reported results for the second quarter of its fiscal year 2023, the three months ended January 31, 2023.
HIGHLIGHTS
(Throughout this release, unless otherwise noted, results for the second quarter of fiscal year 2023 (2Q23) are compared to the second quarter of fiscal year 2022 (2Q22). All earnings per share (EPS) and other ‘per share’ results are per diluted share.)
National Retail Solutions (NRS) increased recurring revenue* 103% to $18.3 million. Active point-of-sale (POS) terminals increased by approximately 1,600 during 2Q23, a record quarterly increase, to approximately 22,400 at the end of the quarter;
BOSS Money remittance revenue increased 47% to $17.6 million. Transaction volume increased by 39% to 3.06 million;
net2phone subscription revenue* increased 30% to $16.3 million and net2phone achieved positive Adjusted EBITDA for the second consecutive quarter. Seats served increased by approximately 18,000 sequentially to end 2Q23 at approximately 327,000;
Consolidated revenue decreased 7% to $314 million while the consolidated direct cost of revenue decreased 14% to $222 million;
Consolidated income from operations increased 32% to $18.2 million;
Net income attributable to IDT increased to $14.6 million from $7.5 million;
Consolidated Adjusted EBITDA increased 25% to $23.4 million; and
EPS increased to $0.57 from $0.28. Non-GAAP EPS increased to $0.62 from $0.30.
Adjusted EBITDA 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.
REMARKS BY SHMUEL JONAS, CEO
“NRS, BOSS Money and net2phone, our three primary high-growth businesses, again performed very well this quarter. Their formula is simple – delivering better value and superior customer experiences. I’m pleased that they continued on their growth trajectories while remaining very focused on improving their bottom lines.
“Each of these businesses grew robustly in the second quarter. In addition to adding a record number of net new terminals this quarter, NRS once again more than doubled its recurring revenue led by a year over year jump in advertising and data revenue. net2phone achieved 30% year over year subscription revenue growth with a 35% increase in our Latin American markets and a 23% increase in US-based revenue. At BOSS Money, transaction volumes through both our retail and direct-to-consumer sales channels increased by 39% year over year, as we continued to leverage the synergies between the two channels.
“Led by their contributions, IDT delivered significant year over year increases in Adjusted EBITDA, income from operations, and EPS.”
RESULTS BY SEGMENT
NRS
National Retail Solutions (NRS) is an operator of a nationwide point-of-sale (POS) network providing independent retailers with store management software, and with credit, debit, and other electronicpayment processingas well as with other ancillary merchant services.NRS’ POS platform provides marketers with digital out-of-home (DOOH) advertising and transaction data.
In 2Q23 and 2Q22, NRS contributed6.3% and 3.2% of IDT’s consolidated revenue, respectively.
NRS Results ($ in millions. Terminals and accounts at end of period)
2Q23
1Q23
2Q22
2Q23-2Q22 change %
Terminals and payment processing accounts
Active POS terminals
22,400
20,800
16,500
+35
%
Payment processing accounts
12,500
11,300
8,000
+55
%
Recurring revenue
Advertising & Data
$
9.0
$
9.7
$
3.9
+130
%
Merchant Services and other
$
7.4
$
6.4
$
3.8
+95
%
SaaS fees
$
1.9
$
1.8
$
1.3
+47
%
Total recurring revenue
$
18.3
$
17.8
$
9.0
+103
%
POS terminal sales
$
1.5
$
1.5
$
1.6
(7
)%
Total revenue
$
19.8
$
19.3
$
10.6
+87
%
Monthly average recurring revenue per terminal*
$
283
$
296
$
190
+49
%
Income from operations
$
5.4
$
5.2
$
2.1
+161
%
Adjusted EBITDA
$
6.0
$
5.7
$
2.2
+166
%
Take-Aways:
Sequentially, NRS added approximately 1,600 net active terminals — the largest quarter-over-quarter gain in its history.
Despite advertising industry-wide headwinds, Advertising & Data revenue increased 130% year over year, driving a 103% increase in total recurring revenue. Income from operations increased 161% year over year to $5.4 million.
Fintech
The Fintech segment is comprisedof BOSS Money – an international money remittanceprovider, as well as other, significantly smaller financial services offerings.
In 2Q23 and 2Q22, the Fintech segment contributed6.5% and 4.3% of IDT’s consolidated revenue, respectively.
Fintech Results ($ in millions. Transactions in thousands)
2Q23
1Q23
2Q22
2Q23-2Q22 Change %
BOSS Money Transactions
3,061
2,871
2,204
+39
%
Fintech Revenue
BOSS Money
$
17.6
$
17.6
$
12.0
+47
%
Other
$
2.7
$
2.3
$
2.6
+4
%
Total Revenue
$
20.3
$
19.9
$
14.6
+39
%
(Loss) Income from operations
$
(0.8
)
$
1.5
$
(2.3
)
+$1.5
Adjusted EBITDA
$
(0.5
)
$
0.5
$
(1.7
)
+$1.2
Take-Aways:
BOSS Money transaction volumes increased 39% in 2Q23 with strong contributions from both retail and digital channels.
BOSS Money average revenue per transaction* increased 5.7% in 2Q23 to $5.77 from $5.46 in 2Q22. The increase was driven by unusually favorable economics on certain high-volume African corridors that dissipated late in the quarter and by the development and introduction of new platform functionalities enabling more flexible and granular pricing strategies.
net2phone
In 2Q23 and 2Q22, the net2phonesegment accounted for 5.7% and 4.0% of IDT’s consolidated revenue, respectively.
net2phone Results ($ in millions. Seats in thousands)
2Q23
1Q23
2Q22
2Q23-2Q22 Change %
Seats
327
309
258
+27
%
Revenue
Subscription revenue
$
16.3
$
15.5
$
12.5
+30
%
Other revenue
$
1.5
$
1.4
$
1.0
+45
%
Total Revenue
$
17.8
$
17.0
$
13.5
+31
%
Loss from operations
$
(0.6
)
$
(1.1
)
$
(2.9
)
+$2.3
Adjusted EBITDA
$
0.8
$
0.3
$
(1.9
)
+$2.7
Take–Aways:
Total seats as of January 31, 2023 increased by 27% to approximately 327,000 from 258,000 a year earlier, led by growth in net2phone’s Latin American markets.
The continued improvements in loss from operations and Adjusted EBITDA reflect multiple factors: the strengthening of unit economics as the business scales and revenue increases; the acquisition of a CCaaS provider in 3Q22 and subsequent increases in higher ARPU, higher margin CCaaS seats; a continued focus on cost control; and, investment in customer acquisition within geographic markets and verticals that yield higher returns on investment.
Traditional Communications
In 2Q23 and 2Q22, the Traditional Communications segment accounted for 81.5% and 88.5% of IDT’s consolidated revenue, respectively.
Traditional Communications Results ($ in millions)
2Q23
1Q23
2Q22
2Q23-2Q22 Change %
Revenue
IDT Digital Payments
$
106.1
$
109.0
$
116.2
(9
)%
BOSS Revolution Calling
$
82.8
$
86.3
$
100.0
(17
)%
IDT Global
$
58.6
$
61.6
$
73.1
(20
)%
Total Revenue
$
256.0
$
265.7
$
298.3
(14
)%
Income from operations
$
17.0
$
17.3
$
19.9
$
(2.9
)
Adjusted EBITDA
$
19.6
$
19.7
$
22.3
$
(2.7
)
Take–Aways:
The year-over-year decrease in IDT Digital Payments revenue reflects the deterioration of a key corridor that was particularly impactful to sales in the lower margin wholesale and retail channels and so had a limited impact on margin profitability. Revenue in the higher margin direct to consumer channel increased 6% over the same period.
BOSS Revolution Calling revenue decreased 17% in 2Q23 to $82.8 million from $100.0 million in 2Q22. IDT Global’s carrier services revenue decreased 20% in 2Q23 to $58.6 million from $73.1 million in 2Q22. These decreases continue to reflect the long-standing industry-wide decline in the paid minute calling markets and are in line with expectations.
In February, IDT Digital Payments launched Zendit, a cloud-based, prepaid-as-a-service platform enabling businesses to easily add a curated menu of airtime top-ups and other cross-border prepaid offerings to their apps and websites.
NOTES ON FINANCIAL STATEMENTS
Consolidated results for all periods presented include corporate overhead. Corporate G&A expense in 2Q23 increased to $2.5 million from $2.3 million in 2Q22.
As of January 31, 2023, IDT held $156.8 million in cash, cash equivalents, debt securities, and current equity investments. Current assets totaled $373.5 million and current liabilities totaled $287.9 million. IDT had no outstanding debt at quarter end.
Net cash provided by operating activities during 2Q23 was $17.4 million compared to $17.5 million during 2Q22. Exclusive of changes in customer deposit balances at our Gibraltar-based bank, net cash provided by operating activities during 2Q23 was $20.3 million compared to $6.3 million during 2Q22.
Capital expenditures increased to $5.4 million in 2Q23 from $4.6 million in 2Q22.
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 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: 151514).
A replay of the conference call will be available approximately three hours after the call concludes through March 22, 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: 47574. 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.
Trade accounts receivable, net of allowance for doubtful accounts of $6,255 at January 31, 2023 and $5,882 at July 31, 2022
47,605
64,315
Disbursement prefunding
28,098
21,057
Prepaid expenses
14,611
17,526
Other current assets
36,559
30,773
Total current assets
373,541
362,627
Property, plant, and equipment, net
38,303
36,866
Goodwill
26,547
26,380
Other intangibles, net
8,985
9,609
Equity investments
6,687
7,426
Operating lease right-of-use assets
6,894
7,210
Deferred income tax assets, net
28,913
36,701
Other assets
10,641
10,275
Total assets
$
500,511
$
497,094
Liabilities and equity
Current liabilities:
Trade accounts payable
$
23,229
$
29,080
Accrued expenses
110,580
117,109
Deferred revenue
34,998
36,531
Customer deposits
86,899
85,764
Other current liabilities
32,215
36,588
Total current liabilities
287,921
305,072
Operating lease liabilities
4,243
4,606
Other liabilities
4,944
6,588
Total liabilities
297,108
316,266
Commitments and contingencies
Redeemable noncontrolling interest
10,389
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 January 31, 2023 and July 31, 2022
33
33
Class B common stock, $.01 par value; authorized shares-200,000; 27,782 and 27,725 shares issued and 23,952and 24,112 shares outstanding at January 31, 2023 and July 31, 2022, respectively
278
277
Additional paid-in capital
298,649
296,005
Treasury stock, at cost, consisting of 1,698 and 1,698 shares of Class A common stock and 3,830 and 3,613 shares of Class B common stock at January 31, 2023 and July 31, 2022, respectively
(106,906
)
(101,565
)
Accumulated other comprehensive loss
(13,711
)
(11,305
)
Retained earnings (accumulated deficit)
9,795
(15,830
)
Total IDT Corporation stockholders’ equity
188,138
167,615
Noncontrolling interests
4,876
3,022
Total equity
193,014
170,637
Total liabilities and equity
$
500,511
$
497,094
IDT CORPORATION CONSOLIDATED STATEMENTS OF INCOME (Unaudited)
Three Months Ended January 31,
Six Months Ended January 31,
2023
2022
2023
2022
(in thousands, except per share data)
Revenues
$
313,936
$
337,058
$
635,752
$
707,141
Costs and expenses:
Direct cost of revenues (exclusive of depreciation and amortization)
222,394
257,325
454,031
548,950
Selling, general and administrative (i)
68,153
61,070
134,017
121,177
Depreciation and amortization
5,012
4,378
9,801
8,825
Severance
213
29
312
67
Total costs and expenses
295,772
322,802
598,161
679,019
Other operating gain (expense), net
17
(442
)
816
(530
)
Income from operations
18,181
13,814
38,407
27,592
Interest income, net
810
119
1,320
132
Other income (expense), net
1,613
(2,949
)
(2,229
)
(19,165
)
Income before income taxes
20,604
10,984
37,498
8,559
Provision for income taxes
(5,295
)
(2,734
)
(9,634
)
(2,648
)
Net income
15,309
8,250
27,864
5,911
Net (income) attributable to noncontrolling interests
(686
)
(763
)
(2,239
)
(896
)
Net income attributable to IDT Corporation
$
14,623
$
7,487
$
25,625
$
5,015
Earnings per share attributable to IDT Corporation common stockholders:
Basic
$
0.57
$
0.29
$
1.00
$
0.20
Diluted
$
0.57
$
0.28
$
1.00
$
0.19
Weighted-average number of shares used in calculation of earnings per share:
Basic
25,510
25,652
25,556
25,609
Diluted
25,538
26,542
25,577
26,580
(i) Stock-based compensation included in selling, general and administrative expenses
$
1,286
$
310
$
1,858
$
595
IDT CORPORATION CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)
Six Months Ended January 31,
2023
2022
(in thousands)
Operating activities
Net income
$
27,864
$
5,911
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization
9,801
8,825
Deferred income taxes
7,788
1,683
Provision for doubtful accounts receivable
915
1,289
Net unrealized loss from marketable securities
2,349
16,242
Stock-based compensation
1,858
595
Other
1,359
2,850
Change in assets and liabilities:
Trade accounts receivable
16,298
(8,045
)
Disbursement prefunding, prepaid expenses, other current assets, and other assets
(11,492
)
(8,551
)
Trade accounts payable, accrued expenses, other current liabilities, and other liabilities
(19,344
)
(6,313
)
Customer deposits at IDT Financial Services Limited (Gibraltar-based bank)
15
(1,862
)
Deferred revenue
(1,795
)
(960
)
Net cash provided by operating activities
35,616
11,664
Investing activities
Capital expenditures
(10,578
)
(8,991
)
Purchase of convertible preferred stock in equity method investment
–
(1,051
)
Payments for acquisitions, net of cash acquired
–
(100
)
Purchases of debt securities and equity investments
(28,129
)
(10,825
)
Proceeds from maturities and sales of debt securities and redemptions of equity investments
27,531
6,068
Net cash used in investing activities
(11,176
)
(14,899
)
Financing activities
Distributions to noncontrolling interests
(187
)
(198
)
Proceeds from other liabilities
300
2,301
Repayment of other liabilities.
(2,014
)
(1,291
)
Proceeds from borrowings under revolving credit facility
2,383
2,488
Repayment of borrowings under revolving credit facility.
(2,383
)
(2,488
)
Proceeds from sale of redeemable equity in subsidiary
–
10,000
Proceeds from exercise of stock options
172
–
Repurchases of Class B common stock
(5,341
)
(8,974
)
Net cash (used in) provided by financing activities
(7,070
)
1,838
Effect of exchange rate changes on cash, cash equivalents, and restricted cash and cash equivalents
746
(4,967
)
Net increase (decrease) in cash, cash equivalents, and restricted cash and cash equivalents
18,116
(6,364
)
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
$
207,678
$
220,552
Supplemental schedule of non-cash financing activities
Stock issued to certain executive officers for bonus payments
$
615
$
–
Reconciliation of Non-GAAP Financial Measures for the Second 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 2Q23, 1Q23, and 2Q22, 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’ putative class action and derivative complaint, and expense for the indemnification of a net2phone cable telephony customer related to patent infringement claims brought against the customer. 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 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 Communications
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
)
Total IDT Corporation
Traditional Communications
net2phone
NRS
Fintech
Corporate
Three Months Ended October 31, 2022 (1Q23)
Net income attributable to IDT Corporation
$
11.0
Adjustments:
Net income attributable to noncontrolling interests
1.6
Net income
12.6
Provision for income taxes
4.3
Income before income taxes
16.9
Interest income, net
(0.5
)
Other expense, net
3.8
Income (loss) from operations
20.2
$
17.3
$
(1.1
)
$
5.2
$
1.5
$
(2.7
)
Depreciation and amortization
4.8
2.3
1.4
0.5
0.6
–
Severance
0.1
0.1
–
–
–
–
Other operating gain, net
(0.8
)
–
–
–
(1.6
)
0.8
Adjusted EBITDA
$
24.3
$
19.7
$
0.3
$
5.7
$
0.5
$
(1.9
)
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 Communications
net2phone
NRS
Fintech
Corporate
Three Months Ended January 31, 2022 (2Q22)
Net income attributable to IDT Corporation
$
7.5
Adjustments:
Net income attributable to noncontrolling interests
0.8
Net income
8.3
Provision for income taxes
2.7
Income before income taxes
11.0
Interest income, net
(0.1
)
Other expense, net
2.9
Income (loss) from operations
13.8
$
19.9
$
(2.9
)
$
2.1
$
(2.3
)
$
(3.0
)
Depreciation and amortization
4.4
2.4
1.3
0.2
0.5
–
Other operating expense (gain), net
0.4
–
(0.3
)
–
–
0.7
Adjusted EBITDA
$
18.7
$
22.3
$
(1.9
)
$
2.2
$
(1.7
)
$
(2.3
)
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.
2Q23
1Q23
2Q22
Net income attributable to IDT Corporation
$
14.6
$
11.0
$
7.5
Adjustments (add) subtract:
Stock-based compensation
(1.3
)
(0.6
)
(0.3
)
Severance expense
(0.2
)
(0.1
)
–
Other operating gain (expense), net
–
0.8
(0.4
)
Total adjustments
(1.5
)
0.1
(0.8
)
Income tax effect of total adjustments
(0.4
)
–
(0.2
)
1.1
(0.1
)
0.6
Non-GAAP net income
$
15.7
$
10.9
$
8.1
Earnings per share:
Basic
$
0.57
$
0.43
$
0.29
Total adjustments
0.05
–
0.02
Non-GAAP – basic
$
0.62
$
0.43
$
0.31
Weighted-average number of shares used in calculation of basic earnings per share
25.5
25.6
25.7
Diluted
$
0.57
$
0.43
$
0.28
Total adjustments
0.05
–
0.02
Non-GAAP – diluted
$
0.62
$
0.43
$
0.30
Weighted-average number of shares used in calculation of diluted earnings per share
25.5
25.6
26.5
*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.
# # #
NRSInsights’ February 2023 Retail Same-Store Sales Report
Same-store salesat NRS retailers in Februarywere robust, increasing 10.7% Year Over Year
NEWARK, N.J., March 06, 2023 — NRSInsights, a provider of sales data and analytics drawn from retail transactions processed through the National Retail Solutions (NRS) point-of-sale (POS) platform, today announced comparative same-store sales results for February 2023.
As of February 28, 2023, the NRS retail network comprised approximately 23,000 terminals scanning purchases at independent retailers including bodegas, convenience stores, liquor stores, grocers, and tobacco and sundries sellers nationwide, predominantly serving urban consumers.
Retail Same-Store Sales Highlights
(Sequential comparisons are influenced by seasonal factors)
Same-store sales increased 10.7% from a year earlier (February 2022). Sales decreased 6.1% compared to the preceding month (January 2023) reflecting the shorter, 28-day month;
Same-store sales in the preceding month (January 2023) had increased 11.5% compared to the year-ago month (January 2022) but had decreased 6.0% compared to the previous month (December 2022), largely as a result of seasonal factors;
For the three months ended February 28, 2023, same-store sales increased 10.0% compared to the three months ended February 28, 2022;
The number of items sold during February 2023 increased 9.6% compared to February 2022 but decreased 6.6% compared to January 2023;
The average number of transactions per store in February 2023 increased 7.3% compared to February 2022 but decreased 7.0% compared to January 2023;
A dollar-weighted average of prices for the top 500 items purchased in February 2023 increased 4.2% year over year, an increase compared to a 4.0% year-over-year increase in January 2023 compared to January 2022.
Commentary from Suzy Silliman(SVP, Data Strategy and Sales at NRS)
“NRS same-store sales for February again grew robustly compared to year ago levels, increasing 10%. The robust increases in both items sold and number of items per transaction compared to February 2022 again demonstrate that recent sales gains were not primarily a function of price increases.
“Nevertheless, price pressure remains stubbornly high. The dollar-weighted average of our retailers’ top items sold increasing to 4.2% year-over-year from 4.0% in January. And once again this month, the price increases of many staples were extreme. For instance, infant formula prices increased 81% year over year, egg prices also increased 81%, and tortilla prices jumped 35%.”
Retail Trade Comparative Data
The table below provides historical comparative data with the U.S. Commerce Department’s Advance Monthly Retail Trade data excluding food service:
Over the prior 12 months, the NRS same-store retail sales data has exhibited a statistically significant correlation with the US Commerce Department’s Advance Monthly Retail Trade data excluding food services (r=.673, p = 0.016) despite a decrease in the correlation in recent months.
The NRSInsights data have not been adjusted to reflect inflation, demographic distributions, seasonal buying patterns, item substitution, or other factors that may facilitate comparisons to other periods, to other same-store retail sales data, or to the U.S. Commerce Department’s retail data.
NRSInsights Reports
The NRSInsights monthly Same-Store Retail Sales Reports are intended to provide timely topline data reflective of sales at NRS’ network of independent, predominantly urban, retail stores.
Same-store data comparisons of February 2023 with February 2022 are derived from approximately 114 million transactions processed through the 12,877 stores on the NRS network that scanned transactions in both months. Same-store data comparisons of February 2023 data with January 2023 data are derived from approximately 119 million transactions processed through 19,031 stores.
Same-store data comparisons for the three months ended February 28, 2023 with the year ago three months are derived from approximately 342 million transactions in both quarters.
NRS POS Network
NRS operates the largest POS network for independent retailers in the U.S., aggregating data from approximately 23,000 active POS terminals operating in approximately 20,000 independent retail stores. Its platform predominantly serves urban, small-format, independent, retail stores including convenience stores, bodegas, liquor stores, grocers, and tobacco and sundries sellers. The network includes retailers in all 50 states and in 193 of the 210 designated market areas (DMAs) in the U.S. Over the past twelve months, NRS’ POS terminals processed $13.9 billion in sales through approximately 997 million transactions.
About National Retail Solutions (NRS):
National Retail Solutions operates a point-of-sale (POS) terminal-based platform and digital payment processing service for independent retailers and bodega owners nationwide. Retailers utilize NRS offerings to process transactions and manage operations more effectively. Advertisers access the terminal’s digital display network to reach these retailers’ massive, predominantly urban customer bases. Consumer packaged goods (CPG) suppliers leverage the NRS platform to provision promotions, coupons, and special offers to independent retailers. NRS is a subsidiary of IDT Corporation (NYSE: IDT).
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.
NRSInsightsContact: Suzy Silliman SVP, Data Strategy and Sales at NRS National Retail Solutions suzy.silliman@nrsplus.com
Leaf Wallet App Rebranded to BOSS Money as Part of Expansion Across Africa
BOSS Money Customers across Africa will be able to Receive Money Transfers Directly into their Boss Money Wallet from Family and Friends in the U.S.
NEWARK, United States of America, February 9, 2023/APO Group/ — IDT Corporation, a global provider of fintech, cloud communications, and traditional communications services, announced today that it is rebranding its Africa-based Leaf Wallet app to IDT’s flagship financial services brand, BOSS Money. The rebranding is part of a broader initiative to leverage the key technologies of Leaf Wallet to gradually expand across Africa allowing U.S. consumers to send money transfers directly to family and friends in the Continent.
“We see a tremendous opportunity across Africa to grow our footprint and reach millions of new customers with the BOSS Money wallet”
Nat Robinson, Leaf’s CEO
The newly branded BOSS Money wallet will continue to use the Leaf Wallet’s innovative, blockchain-based technology on the Stellar Network, so that customers across Africa can safely store, send, receive, and exchange currencies on their phones domestically and across borders. The wallet will continue to allow customers to access funds and transact on feature phones utilizing a USSD interface accessed via a short code and via the app.
The Boss Money wallet will enable customers across Africa to receive money in their local currency directly from customers in the U.S using the BOSS Money app. Transferred funds can be used to purchase airtime, pay bills locally, and send to other BOSS Money users across Africa for free. Funds can also be cashed out to the recipient’s bank account or their mobile operator’s wallet.
“We see a tremendous opportunity across Africa to grow our footprint and reach millions of new customers with the BOSS Money wallet and to connect both our current and new customers to their family and friends in the U.S.,” said Nat Robinson, Leaf’s CEO.
The newly rebranded BOSS Money app is already available for download in Kenya, Uganda, and Rwanda, and will soon be available in Nigeria, Ghana, Zambia, and Tanzania.
“BOSS Money will enable customers in the U.S. to send money safely and securely within seconds like a local to family, friends, and loved ones across Africa. Recipients of the funds can use their BOSS Money wallet to choose how, when, and where to access those funds,” said Grace Anyetei, IDT’s Regional Director of Operations based in Nairobi, Kenya.
Leaf Wallet App Rebranded to BOSS Money as Part of Expansion Across AfricaLeaf Wallet App Rebranded to BOSS Money as Part of Expansion Across Africa
About IDT Corporation:
IDT Corporation (https://www.IDT.net/) is a global provider of fintech, cloud communications, and traditional communications services. We help families to share, 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 National Retail Solutions’ (NRS) (https://NRSplus.com/) point-of-sale network enables independent retailers to operate and process transactions more effectively while providing advertisers and consumer marketers with unprecedented reach into underserved consumer markets. Our BOSS Money international money remittance (https://bit.ly/3HJUxs3) and mobile top-up (https://bit.ly/3RGhj8T) services offer convenient and reliable value transfers. Our BOSS Revolution (https://bit.ly/3DT3a2l) calling service provides dependable voice and messaging communications globally. net2phone’s (https://www.net2phone.com/) unified communications and contact center solutions provide businesses with intelligently integrated cloud communications and collaboration tools across channels and devices. Our IDT Global (https://IDTglobal.com/) and IDT Express (https://www.IDTexpress.com/) 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.
IDT Corporation to Report Second Quarter FY2023 Results
NEWARK, NJ, Feb. 24, 2023 — IDT Corporation (NYSE: IDT), a global provider of fintech, cloud communications, and traditional communications services, has scheduled its report of financial and operational results for the second quarter of its fiscal year 2023 (the three months ended January 31, 2023) on Wednesday, March 8, 2023.
IDT’s earnings release will be issued and posted on the IDT investor relations website (https://www.idt.net/investors-and–media) at approximately 4:30 PM Eastern.
IDT will host an earnings conference call beginning at 5:30 PM Eastern 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: 151514).
A replay of the conference call will be available approximately three hours after the call concludes through March 22, 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: 47574. The replay will also be accessible via streaming audio at the IDT investor relations website.
About IDT Corporation:
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.
