NEWARK, NJ, June 07, 2021 — IDT Corporation (NYSE: IDT), a global provider of fintech, unified cloud communications and traditional communications services, will present at the 2021 LD Micro Invitational virtual investor conference to update investors on recent results and management’s strategy and outlook.

The IDT presentation will be webcast on Tuesday, June 8^th at 1:30 PM ET. To register to watch the webcast or view the recording afterwards, visit the LD Micro Invitational website (https://ldmicrojune2021.mysequire.com/). Access to all conference presentations is free of charge.

 IDT will post its presentation slides on the investor pages of its website beginning at the time of the webcast.

 The 2021 LD Micro Invitational will be held on the Sequire Virtual Events platform on Tuesday, June 8th through Thursday, June 10th, 2021. The program runs from 10:00 AM ET – 6:00 PM ET each day. The conference is expected to feature approximately180 companies presenting for 25 minutes each.

 About IDT Corporation:

IDT Corporation (NYSE: IDT) is a global provider of fintech, unified cloud communications and traditional communications services. We make it easier for families to connect, support and share across international borders. We also enable businesses to transact and communicate with their customers with enhanced intelligence and insight.

Our BOSS Revolution branded money transfer and 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 unified communications as a service solution provides businesses with intelligently integrated cloud communications and collaboration solutions across channels and devices. Our IDT Carrier Services and IDT Express wholesale offerings enable communications companies to provision and manage international voice and SMS services.

Contact:

Bill Ulrey

IDT Investor Relations

Phone: (973) 438-3838

E-mail: invest@idt.net

# # #

NEWARK, NJ, June 03, 2021 — IDT Corporation (NYSE: IDT) reported net income per diluted share of $1.39 and Non-GAAP income per diluted share* of $0.47 on revenue of $374 million for the third quarter of FY 2021, the three months ended April 30, 2021.

3Q21 HIGHLIGHTS

(Results are for 3Q21 and are compared to 3Q20)

REMARKS BY SHMUEL JONAS, CEO

“IDT continued to deliver strong results reflecting the sustained execution on our strategic priorities and the robust operating performances of our businesses. As a result, our top and bottom lines increased appreciably compared to the year ago and prior quarters – even excluding the positive impacts of the reversal of income tax valuation allowances and gains on investments.

“Our high growth, high margin businesses once again performed extremely well. net2phone recorded subscription revenue growth of 39% year over year. On our development roadmap, we continued to focus on API third party integrations. net2phone now offers integrations with Salesforce, Zoho, PurpleCloud, Slack, Zapier and Microsoft Teams, among others. Our growing integration toolkit enhances our access to new segments across both domestic and international markets.

“NRS accelerated its impressive revenue growth increasing revenue by over 120% year over year led by payment processing services and digital advertising services.

“Our BOSS Revolution International Money Transfer business remains strong, with 63% revenue growth year over year after excluding the significant, positive impacts of the transient FX opportunities we successfully pursued during the year ago quarter, but which finally and completely ceased in the second quarter.

“In our traditional communications segment, revenue jumped by $35.4 million compared to the previous quarter, underscoring the vigor of these offerings for cash generation over the long term.”

CONSOLIDATED RESULTS

* Throughout this release, Adjusted EBITDA, Non-GAAP net income and Non-GAAP earnings per diluted share 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 at the end of this release for an explanation of these terms and their respective reconciliations to the most directly comparable GAAP measure.

** Revenue-less-direct-cost-of-revenue as a percentage of revenue and Adjusted EBITDA less CAPEX are key performance metrics. Please refer to the Explanation of Key Performance Metrics at the end of this release for an explanation of these metrics.

RESULTS BY SEGMENT

(Results are for 3Q21 and are compared to 3Q20 except where otherwise noted)

Fintech

Fintech comprises National Retail Solutions (NRS), an operator of a nationwide Point-Of-Sale (POS) retail network providing payment processing, digital advertising, transaction data and ancillary services, and BOSS Revolution Money Transfer, a provider of international money remittances.

The Fintech segment accounted for 4.5% and 4.6% of IDT's consolidated revenue and 14.5% and 15.4% of IDT's consolidated revenue-less-direct-cost-of-revenue in 3Q21 and 3Q20, respectively.

Fintech Takeaways:

net2phone-UCaaS

The net2phone-UCaaS segment accounted for 3.0% and 2.5% of IDT's consolidated revenue and 12.7% and 10.4% of IDT's consolidated revenue-less-direct-cost-of-revenue in 3Q21 and 3Q20, respectively.

net2phone-UCaaS Takeaways:

Traditional Communications

The Traditional Communications segment accounted for 92.5% and 92.9% of IDT's consolidated revenue and 72.8% and 74.2% of IDT's consolidated revenue-less-direct-cost-of-revenue in 3Q21 and 3Q20, respectively.

Traditional Communications Takeaways:

NOTES ON FINANCIAL STATEMENTS

Consolidated results for all periods presented include corporate overhead. Corporate G&A expense decreased to $1.7 million in 3Q21 from $2.3 million in 3Q20.

As of April 30, 2021, IDT held $127.6 million in unrestricted cash, cash equivalents, debt securities and unrestricted current equity investments, with no debt. Current assets totaled $354.0 million and current liabilities totaled $327.3 million.

Net cash provided by operating activities during 3Q21 was $12.5 million compared to net cash used in operating activities of $47.4 million during 3Q20. Exclusive of changes in customer deposit balances at our Gibraltar-based bank, net cash provided by operating activities during 3Q21 was unchanged at $12.5 million, compared to net cash used in operating activities of $0.7 million in 3Q20.

Capital expenditures were $4.6 million in 3Q21 compared to $4.2 million in 3Q20.

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 toll-free 1-888-348-8417 (from US) or 1-412-902-4243 (international) and request the IDT Corporation call.

A replay of the conference call will be available approximately three hours after the call concludes through June 10, 2021. To access the call replay, dial toll free 1-844-512-2921 (from US) or 1-412-317-6671 (international) and provide this replay number: 10156947. A 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, unified cloud communications and traditional communications services. We make it easier for families to connect, support and share across international borders. We also enable businesses to transact and communicate with their customers with enhanced intelligence and insight.

Our BOSS Revolution branded money transfer and 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 unified communications as a service solution provides businesses with intelligently integrated cloud communications and collaboration solutions across channels and devices. Our IDT Carrier Services and IDT Express wholesale offerings enable communications companies 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 Relations
Bill Ulrey
william.ulrey@idt.net
973-438-3838

IDT CORPORATION

CONSOLIDATED BALANCE SHEETS

IDT CORPORATION
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)

IDT CORPORATION
CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)

Reconciliation of Non-GAAP Financial Measures for the
Third Quarter Fiscal 2021 and 2020

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 3Q21, 2Q21, and 3Q20, Adjusted EBITDA, non-GAAP net income, and non-GAAP earnings per diluted share, all of which are non-GAAP measures. Generally, a non-GAAP financial 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 Adjusted EBITDA consists of revenue less direct cost of revenues and selling, general and administrative expense. Another way of calculating Adjusted EBITDA is to start with income (loss) from operations, add depreciation and amortization, severance expense, and other operating expense, and deduct other operating gains.

IDT's measure of non-GAAP net income starts with net income (loss) 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.

IDT's measure of non-GAAP earnings per diluted share is calculated by dividing non-GAAP net income by the diluted weighted-average shares.

These additions and subtractions are non-cash and/or non-routine items in the relevant fiscal 2021 and fiscal 2020 periods.

Management believes that IDT's Adjusted EBITDA, non-GAAP net income, and non-GAAP earnings per diluted share 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 earnings per diluted share 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 (loss), 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 earnings per diluted share. 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, non-GAAP net income, and non-GAAP earnings per diluted share. Other operating gain (expense), net includes a gain from the sale of IDT's rights under a class action lawsuit, expense for the indemnification of a net2phone cable telephony customer related to patent infringement claims brought against the customer, legal fees net of insurance claims related to Straight Path Communications Inc.'s stockholders' putative class action and derivative complaint, and expense for other legal matters. From time-to-time, IDT may have gains or incur costs related to non-routine legal and tax 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.

The other calculation of Adjusted EBITDA consists of revenue less direct cost of revenues and selling, general and administrative expense. As the other excluded items are not reflected in this calculation, they are excluded automatically and there is no need to make additional adjustments. This calculation results in the same Adjusted EBITDA amount and its utility and significance is as explained above.

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 earnings per diluted share 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 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. This income tax benefit is excluded from IDT's non-GAAP net income and non-GAAP EPS because it only indirectly related to the current results of IDT's core operations.

Adjusted EBITDA, non-GAAP net income, and non-GAAP earnings per diluted share 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 (loss), 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 earnings per diluted share 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 earnings per diluted share 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 earnings per diluted share, diluted earnings per share.

IDT Corporation
Reconciliation of Adjusted EBITDA to Net Income
(unaudited) in millions. Figures may not foot or cross-foot due to rounding to millions

IDT Corporation
Reconciliation of Adjusted EBITDA to Net Income
(unaudited) in millions. Figures may not foot or cross-foot due to rounding to millions.

IDT Corporation
Reconciliations of Net Income to Non-GAAP Net Income and Earnings per share to Non-GAAP Earnings per diluted share
(unaudited) in millions, except per share data. Figures may not foot due to rounding to millions.

Explanation of Key Performance Metrics

Revenue less direct cost of revenue as a percentage of revenue is a financial metric that measures changes in our revenue relative to changes in direct cost of revenue during the same period. Revenue and direct cost of revenue in this metric are from IDT's consolidated statements of operations in accordance with GAAP. Revenue less direct cost of revenue as a percentage of revenue is a ratio in which revenue less direct cost of revenue is the numerator and revenue are the denominator. It is useful for monitoring trends in the generation of revenue as well as for evaluating the net contribution of IDT's revenue.

Adjusted EBITDA less CAPEX is also a financial metric, which is calculated by deriving Adjusted EBITDA as described above and subtracting capital expenditures in accordance with GAAP as reported in the consolidated statements of cash flows. Management uses Adjusted EBITDA less CAPEX to evaluate the level of capital investment needed to support operations, and as a reasonable proxy for the cash generated by IDT's businesses. Because IDT's capital expenditures reflect an allocation of capital for longer term growth, IDT seeks to strike an appropriate balance between near-term and long-term financial performance as reflected in Adjusted EBITDA less CAPEX. IDT's measurement of Adjusted EBITDA less CAPEX may not be comparable to similarly titled measures reported by other companies.

# # #

NEWARK, N.J., May 24, 2021 – 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 2021 (the three months ended April 30^th) on Thursday, June 3, 2021.

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 toll-free 1-888-348-8417 (from US) or 1-412-902-4243 (international) and request the IDT Corporation call.

A replay of the conference call will be available approximately three hours after the call concludes through June 10, 2021. To access the call replay, dial toll free 1-844-512-2921 (from US) or 1-412-317-6671 (international) and provide this replay number: 10156947.  A 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 easier for families to connect, support and share across international borders. We also enable businesses to transact and communicate with their customers with enhanced intelligence and insight.

Our BOSS Revolution branded money transfer and 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 unified communications as a service solution provides businesses with intelligently integrated cloud communications and collaboration solutions across channels and devices. Our IDT Carrier Services and IDT Express wholesale offerings enable communications companies to provision and manage international voice and SMS services.

View original content to download multimedia:http://www.prnewswire.com/news-releases/idt-corporation-to-report-third-quarter-fiscal-year-2021-results-301297283.html

SOURCE IDT Corporation

NEWARK, N.J., April 12, 2021 — BOSS Revolution, the flagship consumer brand of IDT Corporation (NYSE: IDT), announced today that it has re-launched its nationwide mobile phone service as BOSS Wireless.  BOSS Wireless now runs on T-Mobile’s extensive 5G and nationwide 4G LTE network for superior coverage and reliability.

All BOSS Wireless plans feature unlimited calling within the U.S., including Puerto Rico, and to 65 popular international destinations including Mexico, Canada, Brazil, Argentina, Spain and the U.K.  Calls to 75 other global destinations are discounted below BOSS Revolution’s already low rates.  Unlimited domestic and international texting is included.

BOSS Wireless customers can also make unlimited free app-to-app calls over Wi-Fi with the BOSS Revolution Calling app. 

With plans starting at $10/month including taxes and fees, BOSS Revolution offers an affordable plan for every budget:

• $10/month plan – 100 MB of high-speed data
• $20/month plan – 1 GB of high-speed data
• $30/month plan – 5 GB of high-speed data
• $40/month plan – 15 GB of high-speed data
• $50/month plan – 50 GB of high-speed data

“BOSS Revolution has always provided tremendous value for those who talk to friends and family around the world,” said Gabi Schecter, EVP of IDT Telecom.  “Now, with BOSS Wireless, you can enjoy big savings on your mobile service while experiencing the reliability and speed of T-Mobile’s network featuring the most extensive 5G service in the country.”

The BOSS Wireless service and SIM chips are available at bosswireless.com and at select BOSS Revolution retail stores in the Northeastern U.S. 

ABOUT IDT:
IDT Corporation (NYSE: IDT) is a global provider of fintech, cloud communications and traditional communications services.  We make it easier for families to connect, support and share across international borders. We also enable businesses to transact and communicate with their customers with enhanced intelligence and insight.

Our BOSS Revolution branded money transfer and 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 unified communications as a service solution provides businesses with intelligently integrated cloud communications and collaboration solutions across channels and devices. Our IDT Carrier Services and IDT Express wholesale offerings enable communications companies to provision and manage international voice and SMS services.

View original content to download multimedia:http://www.prnewswire.com/news-releases/boss-revolution-introduces-boss-wireless-301266259.html

SOURCE IDT Corporation

NEWARK, N.J., April 6, 2021 – net2phone, a global provider of unified cloud communications solutions for businesses, today announced it has launched net2phone for Salesforce on Salesforce AppExchange, empowering customers through data-driven conversations with leads and prospects within the Salesforce environment.

Within the Salesforce environment, net2phone for Salesforce:

• Provides click-to-call — enables outbound calls with just a click
• Automatically populates inbound calls with customer information and account record details
• Enables everyone in the organization to access updated contact status and build accurate metrics based on rich call records
• Empowers customization of user profiles and softphone so that each individual sees the most important specifics based around their particular role.

Built on the Salesforce Platform, net2phone for Salesforce is currently available on AppExchange at appexchange.salesforce.com/appxListingDetail?listingId=a0N3u00000OMzDpEAL

Net2phone for Salesforce
The net2phone integration for Salesforce enhances the quality of customer interactions and call efficiency within the Salesforce environment. The integration acts as a Salesforce multiplier, extending the reach of Salesforce to facilitate data-driven voice communications.

net2phone for Salesforce is available in the US and Canada, Argentina, Brazil, Chile, Colombia, Mexico and Peru. It provides unlimited calling to over forty destination countries, live chat, call recording, webRTC, mobile apps and a myriad of intelligently delivered communications capabilities including advanced management analytics.

Comments on the News

• “With our Salesforce integration, we’ve effectively made intelligent, data-driven voice communications an inherent feature,” said Jonah Fink, President of net2phone. “It’s an important step in our drive to bring voice communications back to the center of business communications.”
• “net2phone for Salesforce is a welcome addition to AppExchange, as net2phone powers digital transformation for customers by integrating data-powered voice calling with Salesforce,” said Woodson Martin, GM of Salesforce AppExchange. “AppExchange is constantly evolving to enable our partners to build cutting-edge solutions to drive customer success.”

About Salesforce AppExchange
Salesforce AppExchange, the world’s leading enterprise cloud marketplace, empowers companies to sell, service, market and engage in entirely new ways. With more than 6,000 listings, 9 million customer installs and 98,000 peer reviews, it is the most comprehensive source of cloud, mobile, social, IoT, analytics and artificial intelligence technologies for businesses.  

Salesforce, AppExchange and others are among the trademarks of salesforce.com, inc.

Additional Resources

• Like Salesforce on Facebook: http://www.facebook.com/salesforce 
• Follow Salesforce on Twitter: https://twitter.com/salesforce
• Become a fan of net2phone: https://www.facebook.com/Net2Phone
• Follow net2phone on Twitter: https://twitter.com/net2phone

About net2phone:
net2phone’s cloud business communications solutions help businesses around the globe succeed through smarter conversations. net2phone is a subsidiary of IDT Corporation (NYSE: IDT), a provider of telecommunications and payment services.  To learn more, please visit net2phone.com, connect with us on LinkedIn.  Channel partners contact: partner@net2phone.com.  Customer contact: sales@net2phone.com.

View original content to download multimedia:http://www.prnewswire.com/news-releases/net2phone-announces-net2phone-for-salesforce-on-salesforce-appexchange-the-worlds-leading-enterprise-cloud-marketplace-301262979.html

SOURCE net2phone

NEWARK, N.J., March 4, 2021 – IDT Corporation (NYSE: IDT) reported net income per diluted share of $0.51 and Non-GAAP earnings per diluted share* of $0.49 on revenue of $340 million for the second quarter of FY 2021, the three months ended January 31, 2021.

2Q21 HIGHLIGHTS 
(Results are for 2Q21 and are compared to 2Q20)

• Consolidated revenue increased 5% to $340 million from $324 million.
• Consolidated revenue-less-direct-cost-of-revenue increased 15% to $71 million from $61 million, the sixth consecutive quarter of year-over-year increases.
• National Retail Solutions (NRS), BOSS Revolution Money Transfer, and net2phone-UCaaS subscription revenues increased by 151%, 73% and 36%, respectively.
• The Fintech and net2phone-UCaaS segments contributed 30% of the consolidated revenue-less-direct-cost-of-revenue, compared to 19% in the year ago quarter.
• Consolidated income from operations increased to $12.9 million from $1.3 million.
• Adjusted EBITDA* increased to $16.3 million from $7.4 million, and Adjusted EBITDA* less capital expenditures** increased to $12.0 million from $3.6 million.
• Earnings per diluted share increased to $0.51 from $0.04. Non-GAAP earnings per diluted share* was $0.49 compared to $0.11.

REMARKS BY SHMUEL JONAS, CEO

“IDT delivered another strong quarter, including significant year-over-year increases in consolidated revenue, income from operations and EPS.

“The quarter’s results were highlighted by year-over-year revenue expansion from our three higher margin businesses: National Retail Solutions (NRS), BOSS Revolution Money Transfer and net2phone-UCaaS.  NRS increased revenue year-over-year by over 150% powered by sales of its payment processing services and digital out-of-home advertising offerings.  Money Transfer revenue posted a 73% year-over-year increase, and subscription revenue for net2phone-UCaaS’ service climbed 36% with solid growth across all regions.”

CONSOLIDATED RESULTS 

RESULTS BY SEGMENT
(Results are for 2Q21 and are compared to 2Q20 except where otherwise noted)

Fintech

Fintech comprises BOSS Revolution Money Transfer, a provider of international money remittances and National Retail Solutions (NRS), an operator of a nationwide point-of-sale retail network providing payment processing, digital advertising, transaction data and ancillary services.

The Fintech segment accounted for 5.4% and 3.0% of IDT’s consolidated revenue and 17.0% and 8.7% of IDT’s consolidated revenue-less-direct-cost-of-revenue in 2Q21 and 2Q20, respectively.

Fintech Takeaways:

• National Retail Solutions (NRS) revenue increased 151% to $5.2 million from $2.1 million, driven by increased sales of payment processing services and digital-out-of-home (DOOH) advertising offerings.
• NRS deployed 1,300 billable POS terminals during the quarter, increasing its network to 13,700 terminals, and had 3,800 active payment processing merchant accounts at January 31, 2021.
• BOSS Revolution Money Transfer revenue increased 73% to $13.3 million from $7.7 million, driven primarily by increased transaction volume. Money Transfer’s top and bottom-line results also reflect a diminished benefit from the transient FX market conditions that positively impacted results over the past four quarters but by and large dissipated at the end of 2Q21.
• Money Transfer transactions increased 46% to 1.8 million from 1.3 million in 2Q20.

net2phone-UCaaS

The net2phone-UCaaS segment accounted for 3.2% and 2.4% of IDT’s consolidated revenue and 12.5% and 10.3% of IDT’s consolidated revenue-less-direct-cost-of-revenue in 2Q21 and 2Q20, respectively.

net2phone-UCaaS Takeaway:

• Subscription revenue increased 36% to $10.1 million from $7.4 million, led by growth in the U.S. market. Sequentially, the rate of revenue growth was strongest in net2phone’s South American markets as sales in that region continued to recover from a COVID-19-related slow down.

Traditional Communications

The Traditional Communications segment accounted for 91.4% and 94.6% of IDT’s consolidated revenue and 70.5% and 81.0% of IDT’s consolidated revenue-less-direct-cost-of-revenue i
n 2Q21 and 2Q20, respectively.

Traditional Communications Takeaways:

• BOSS Revolution Calling revenue was substantially unchanged at $114 million. Minutes of use decreased by 6% offset by a corresponding increase in revenue per minute.
• Mobile Top-Up revenue increased 27% to $97 million from $76 million. The increase was driven by the addition of new mobile partners and increasing demand for data-centric top-up bundles.
• Carrier Services revenue decreased 14% to $87 million from $102 million. The decrease reflects the continued, industry-wide decline of international voice calling, accelerated by the rise of over the top and video conferencing particularly among corporate users who have transitioned to work from home.
• Other revenue decreased 13% to $13 million from $15 million. Many of the offerings within this vertical are in harvest mode.

NOTES ON FINANCIAL STATEMENTS

Consolidated results for all periods presented include corporate overhead.  Corporate G&A expense decreased to $2.0 million in 2Q21 from $2.3 million in 2Q20.

As of January 31, 2021, IDT held $125.3 million in unrestricted cash, cash equivalents, debt securities and current equity investments, with no debt.  Current assets totaled $341.4 million and current liabilities totaled $326.3 million.

Net cash provided by operating activities during 2Q21 was $6.8 million, compared to net cash used in operating activities of $18.3 million in the year ago quarter.  Exclusive of changes in customer deposit balances at our Gibraltar-based bank, net cash provided by operating activities during 2Q21 was $17.4 million, compared to $4.1 million in 2Q20.

Capital expenditures were $4.3 million in 2Q21 compared to $3.8 million in 2Q20. 

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 toll-free 1-888-348-8417 (from U.S.) or 1-412-902-4243 (international) and request the IDT Corporation call.

A replay of the conference call will be available approximately three hours after the call concludes through March 11, 2021. To access the call replay, dial toll free 1-844-512-2921 (from U.S.) or 1-412-317-6671 (international) and provide this replay number: 10151915.  A 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 easier for families to connect, support and share across international borders. We also enable businesses to transact and communicate with their customers with enhanced intelligence and insight.

Our BOSS Revolution branded money transfer and 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 unified communications as a service solution provides businesses with intelligently integrated cloud communications and collaboration solutions across channels and devices. Our IDT Carrier Services and IDT Express wholesale offerings enable communications companies 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.

Reconciliation of Non-GAAP Financial Measures for the
Second Quarter Fiscal 2021 and 2020

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 2Q21, 1Q21, and 2Q20, Adjusted EBITDA, non-GAAP net income, and non-GAAP earnings per diluted share, all of which are non-GAAP measures. Generally, a non-GAAP financial 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 Adjusted EBITDA consists of revenue less direct cost of revenues and selling, general and administrative expense. Another way of calculating Adjusted EBITDA is to start with income (loss) from operations, add depreciation and amortization, severance expense, and other operating expense, and deduct other operating gains.

IDT’s measure of non-GAAP net income starts with net income (loss) in accordance with GAAP and adds severance expense, stock-based compensation, and other operating expense, and deducts other operating gains. 

IDT’s measure of non-GAAP earnings per diluted share is calculated by dividing non-GAAP net income by the diluted weighted-average shares.

These additions and subtractions are non-cash and/or non-routine items in the relevant fiscal 2021 and fiscal 2020 periods.

Management believes that IDT’s Adjusted EBITDA, non-GAAP net income, and non-GAAP earnings per diluted share 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 earnings per diluted share 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 (loss), 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 depreciatio
n 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 earnings per diluted share. 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, non-GAAP net income, and non-GAAP earnings per diluted share. Other operating gain (expense), net includes a gain from the sale of IDT’s rights under a class action lawsuit, expense for the indemnification of a net2phone cable telephony customer related to patent infringement claims brought against the customer, legal fees related to Straight Path Communications Inc.’s stockholders’ putative class action and derivative complaint, expense for other legal matters, and the write-off of certain assets. From time-to-time, IDT may have gains or incur costs related to non-routine legal and tax matters, and write-off assets, 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.

The other calculation of Adjusted EBITDA consists of revenue less direct cost of revenues and selling, general and administrative expense. As the other excluded items are not reflected in this calculation, they are excluded automatically and there is no need to make additional adjustments. This calculation results in the same Adjusted EBITDA amount and its utility and significance is as explained above.

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 earnings per diluted share 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, non-GAAP net income, and non-GAAP earnings per diluted share 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 (loss), 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 earnings per diluted share 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 earnings per diluted share 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 (loss) for IDT on a consolidated basis, (b) for non-GAAP net income, net income (loss), and (c) for non-GAAP earnings per diluted share, diluted earnings per share.

Explanation of Key Performance Metrics

Revenue less direct cost of revenue as a percentage of revenue is a financial metric that measures changes in our revenue relative to changes in direct cost of revenue during the same period. Revenue and direct cost of revenue in this metric are from IDT’s consolidated statements of operations in accordance with GAAP. Revenue less direct cost of revenue as a percentage of revenue is a ratio in which revenue less direct cost of revenue is the numerator and revenue are the denominator. It is useful for monitoring trends in the generation of revenue as well as for evaluating the net contribution of IDT’s revenue.

Adjusted EBITDA less CAPEX is also a financial metric, which is calculated by deriving Adjusted EBITDA as described above and subtracting capital expenditures in accordance with GAAP as reported in the consolidated statements of cash flows. Management uses Adjusted EBITDA less CAPEX to evaluate the level of capital investment needed to support operations, and as a reasonable proxy for the cash generated by IDT’s businesses. Because IDT’s capital expenditures reflect an allocation of capital for longer term growth, IDT seeks to strike an appropriate balance between near-term and long-term financial performance as reflected in Adjusted EBITDA less CAPEX. IDT’s measurement of Adjusted EBITDA less CAPEX may not be comparable to similarly titled measures reported by other companies.

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SOURCE IDT Corporation

NEWARK, N.J., Feb. 24, 2021 — 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 2021 (the three months ended January 31, 2021) on Thursday, March 4, 2021.

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 toll-free 1-888-348-8417 (from US) or 1-412-902-4243 (international) and request the IDT Corporation call.

A replay of the conference call will be available approximately three hours after the call concludes through March 11, 2021. To access the call replay, dial toll free 1-844-512-2921 (from US) or 1-412-317-6671 (international) and provide this replay number: 10151915.  A 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 easier for families to connect, support and share across international borders. We also enable businesses to transact and communicate with their customers with enhanced intelligence and insight.

Our BOSS Revolution branded money transfer and 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 unified communications as a service solution provides businesses with intelligently integrated cloud communications and collaboration solutions across channels and devices. Our IDT Carrier Services and IDT Express wholesale offerings enable communications companies to provision and manage international voice and SMS services.

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SOURCE IDT Corporation

NEWARK, N.J., Jan. 5, 2021 – IDT Corporation (NYSE: IDT), a global provider of fintech, cloud communications and traditional communications services, today unveiled a refreshed logo for BOSS Revolution, its flagship consumer service. 

“The new Boss Revolution logo has been updated to capture the evolution of our brand while reflecting our abiding commitment to provide immigrant communities with innovative services that keep them close to friends and family,” said Jessica Poverene, EVP Marketing for BOSS Revolution. 

“The previous logo was introduced in 2008 when BOSS Revolution was solely an affordable international long-distance service distributed through our Boss Revolution retailer network,” Poverene added. 

“Since then, we’ve continuously listened to our customers and have developed additional services and features to meet their needs,” she said.  “Today’s BOSS Revolution offers a robust array of services that make it more convenient than ever to ‘connect, support and share’ with family and friends back home through our popular BOSS Revolution Calling and BOSS Revolution Money apps, our website and kiosks, and our neighborhood BOSS Revolution retailers.”

The BOSS Revolution service now offers:

• Ultra-clear international calls to over 200 countries via low per minute rates and affordable unlimited plans.
• Mobile top-up for prepaid mobile phones of family and friends in 90+ countries with more than 150 carriers around the globe including Tigo, Claro, Cubacel, MTN, Orange, Airtel, Natcom, Flow, Digicel and Glo.
• Money transfer through the interconnected BOSS Revolution Money app, website and authorized BOSS Revolution Money retailers, allowing customers to send money to friends and family in any one of 59 popular destination countries.
• Free calls to other BOSS Revolution app users worldwide when both the caller and recipient use data or Wi-Fi connections.
• Free and fast messaging to any other BOSS Revolution app user. Chat one-on-one or in groups and share pictures, stickers, videos, voice messages and more.
• Free local news, radio, weather and trending movies, music and trending Twitter from around the world.
• Free balance sharing in the BOSS Revolution app. Balance sharing makes it easy to let friends and family get in on fun.

“Our new logo represents all of these great features backed by our dedication to outstanding customer service and continued innovation,” added Poverene.  “The one constant over the years has been our dedication to developing new BOSS Revolution services to help our customers stay close with their families and friends no matter where they are.”

BOSS Revolution customers can use cash at any one of BOSS Revolution’s 35,000+ retailers nationwide. Find the retailer nearest to you here.

The highly rated BOSS Revolution Calling and the BOSS Revolution Money apps are available free on Google Play and in the App Store. 

New BOSS Revolution Calling app customers in the U.S. and Canada get $2 FREE credit.  BOSS Revolution Money customers’ first money transfer up to $300 is free. Just activate the apps anytime in 2021.

About IDT Corporation:

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 Revolution branded money transfer and 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 unified communications as a service solution provides businesses with intelligently integrated cloud communications and collaboration tools across channels and devices. Our IDT Carrier Services and IDT Express wholesale offerings enable communications companies to provision and manage international voice and SMS services.

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SOURCE IDT Corporation

NEWARK, N.J., Dec. 17, 2020 – net2phone, a global provider of cloud communications solutions to businesses, has been named ‘A Most Promising Retail Solutions Provider’ by CIOReview in the technology magazine’s listing of 20 top companies providing transformative solutions for retail businesses.

“By delivering purpose-built retail cloud phone systems with integrated unified communications tools, net2phone assists retailers in addressing customer communication challenges and providing a superior customer experience,” CIOReview said. 

CIOReview is a leading technology magazine guiding enterprises through the continuously evolving business environment with information about solutions and services.  The magazine 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 very excited that net2phone has been named a Most Promising Retail Solutions Provider,” said Jonah Fink, president of net2phone. “We’re seeing tremendous growth in the retailer vertical as retailers become more agile and seek to connect with customers across channels and devices.”

net2phone connects retailers to their customers with VoIP, chat, text, and video conferencing solutions that scale as the retailer grows, all within the cloud.  Equally important, net2phone’s reporting and analytics features deliver needed insight to drive smarter conversations which in turn engender better business decisions.

“As a retailer, your challenge is to re-create the in-store experience digitally and provide your customers with support and information across multiple customer communication channels to help them complete their journey.  That’s exactly what we provide,” added Fink.

Learn more about putting net2phone to work for your retail business, visit net2phone.com, read the CIO Review article online, or email sales@net2phone.com.

About net2phone:
net2phone’s cloud communications solutions help businesses around the globe succeed through smarter conversations. net2phone is a subsidiary of IDT Corporation (NYSE: IDT), a global provider of fintech, cloud communications and traditional communications services.  To learn more, please visit net2phone.com or connect with us on LinkedIn.  Channel partner contact: partner@net2phone.com.  Customer contact: sales@net2phone.com.

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SOURCE net2phone

NEWARK, N.J., Dec. 15, 2020 – IDT Corporation (NYSE: IDT), a global provider of fintech, cloud communications and traditional communications services, today announced that BOSS Revolution Money Transfer customers can now send money to friends and family in Nepal and Pakistan. BOSS Revolution’s money transfer service to Southern Asia is powered by a new partnership with Tranglo, a leading cross-border payment hub serving both countries. 

“We are excited to launch the BOSS Revolution money transfer service to Nepal and Pakistan over our omnichannel consumer platform through our partnership with Tranglo,” said Alfredo O’Hagan, Senior Vice President, Payment Services at IDT.  “Customers can get started using the convenient BOSS Revolution Money app or stop in at any BOSS Revolution Money Transfer retailer.”

“We are proud to partner with Tranglo. Their outstanding commitment to customer service and extensive payout networks in both Nepal and Pakistan help ensure that we can offer our customers an outstanding solution every time,” O’Hagan added.

Tranglo CEO Jacky Lee said, “We are glad that IDT has chosen to work with us to expand their service. With our single interface solution, we are confident of powering their payments to 20 countries, including Nepal and Pakistan, quickly and securely.”

Transfers to Nepal and Pakistan are fee free* when using the BOSS Revolution Money App through January 31^st, 2021 for transfer amounts up to $2,999.  And like all BOSS Revolution Money Transfers, transfers to Nepal and Pakistan will always be rewarded with ultra-competitive exchange rates.

Transfers to Nepal and Pakistan can be sent either directly to bank accounts throughout Nepal and Pakistan or sent for cash pick up at over 22,000 locations in Nepal and 1,200 locations in Pakistan.

All BOSS Revolution Money Transfer customers can use debit or credit cards to make transfers 24/7 through the popular BOSS Revolution Money app (available for free on Google Play and in the App Store) or online at www.bossrevolution.com.  Customers that prefer to use cash can go to any authorized BOSS Revolution Money Transfer agents located in over 25 states.  To find an agent nearby, visit https://www.bossrevolution.com/en-us/shop-local-store-locator.

BOSS Revolution launched its Money Transfer service in 2013, starting with a few destination countries in Latin America. It expanded rapidly to meet the growing need for reliable, low cost remittances from the U.S. to Latin America, Africa, the Middle East and Europe.  With the addition of Nepal and Pakistan, BOSS Revolution Money Transfer now offers transfer to 320,000 locations in 59 countries on five continents. 

*Customers sending up to $2,999 pay no fee on transfers to Pakistan or Nepal when using the BOSS Revolution Money App. This special offer is valid through January 31, 2021.

About IDT Corporation:
IDT Corporation (NYSE: IDT) is a global provider of fintech, cloud and traditional communications services.  Our fintech businesses include BOSS Revolution® Money Transfer, an international remittance and financial services provider, and National Retail Solutions®, operator of a nationwide point-of-sale retail network providing payment processing, digital advertising, transaction data and ancillary services. net2phone provides cloud communications and collaboration solutions for businesses and organizations.  IDT’s traditional communications platform offerings include international long-distance calling, mobile top-up and wholesale telecom services.  

About Tranglo:
Tranglo is a cross-border payment hub with a proven track record in business payment, foreign remittance and mobile payment solutions. Founded in 2008, we have offices in Kuala Lumpur, Singapore, Jakarta, Dubai and London. Our global network spans more than 100 countries, 250 mobile operators, 1,300 banks/wallets and 130,000 cash pickup points. For more info on Tranglo, visit www.tranglo.com, LinkedIn, Facebook or Twitter.

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SOURCE IDT Corporation