Core Insights - The average price for the top 500 items in October 2025 increased by 3.0% year-over-year, slightly up from a 2.9% increase in September 2025 [6][8] - Same-store sales rose by 5.7% year-over-year in October 2025, showing a slight decrease of 0.7% compared to September 2025 [5][6] - The NRS retail network included approximately 37,900 active terminals across about 32,900 independent retailers, primarily serving urban consumers [2][12] Sales Performance - Same-store sales increased by 5.7% year-over-year, compared to a 5.8% increase in September 2025 [5] - For the three months ending October 31, 2025, same-store sales rose by 5.8% compared to the same period a year ago [6] - Units sold increased by 1.3% year-over-year but decreased by 1.8% compared to September 2025 [6] Transaction Metrics - The number of baskets (transactions) per store increased by 0.1% year-over-year but decreased by 2.6% compared to September 2025 [6] - The NRS POS terminals processed $2.15 billion in sales during October 2025, representing a 17% year-over-year increase [12] Consumer Trends - Year-over-year growth was driven by categories such as cigarettes, prepared cocktails, smokeless tobacco, energy beverages, and wine-based cocktails [8] - The data indicates healthy consumer engagement as the holiday season approaches, with expected growth in high-velocity categories like beverages and tobacco alternatives [9]

Core Thesis - IDT Corporation has transformed from a declining telecommunications provider into a diversified business model, but faces significant headwinds across its various segments, leading to concerns about valuation risks and growth projections [2][4]. Business Transformation - IDT has diversified into areas such as POS systems, global remittances, and UCaaS, leveraging its telecommunications expertise and retail distribution network [2]. - The company has achieved strong EBITDA growth and total shareholder returns, with shares trading around 10x EBITDA and maintaining a net cash position [2]. Segment Performance - The NRS segment, which serves niche markets, is experiencing plateauing growth due to market saturation and reduced quarterly net additions [2]. - BOSS Money, the fintech remittance business, is under regulatory pressure, leading to declining transaction volumes, particularly to Mexico [3]. - The net2phone segment faces slowing seat growth and pricing pressure in a commoditized market [3]. - Traditional Communications has stabilized through cost management, but structural declines in voice traffic limit further EBITDA growth [3]. Market Challenges - Each segment (NRS, BOSS Money, net2phone, and Traditional Communications) faces structural, regulatory, or competitive challenges that could hinder future growth [4]. - The market may be underestimating these headwinds, making IDT a potential short for investors concerned about over-optimistic growth projections [4]. Historical Context - A previous bullish thesis highlighted IDT's diversification and strong operational performance, but the current bearish perspective emphasizes the challenges faced across its business segments [5].

Core Insights - NRSInsights reported a 5.8% year-over-year increase in same-store sales for September 2025, following an 8.3% increase in August 2025 [5][6][10] - The NRS retail network includes approximately 37,400 active terminals across 32,400 independent retailers, primarily serving urban consumers [2][16] - The total sales processed through NRS terminals in September 2025 reached $2.1 billion, representing a 17% year-over-year increase [16] Sales Performance - Same-store sales decreased by 2.5% compared to August 2025, while units sold increased by 2.5% year-over-year [6][10] - The average price of the top 500 items purchased rose by 2.9% year-over-year, slightly lower than the 3.0% increase recorded in August 2025 [6] - Baskets per store increased by 1.9% year-over-year but decreased by 1.1% compared to the previous month [6] Market Trends - Growth was driven by prepared cocktails, sparkling water, and coffee, indicating a shift in consumer preferences [11] - There was also a notable increase in sales of cold and flu remedies, reflecting seasonal demand [11] - The three-month rolling average increase of 5.8% is the highest since 2023, suggesting a positive trend in retail performance [10] Transaction Data - Same-store data comparisons for September 2025 were based on approximately 224 million transactions across 23,400 stores [13] - The three-month data comparisons were derived from around 662 million transactions processed through stores that scanned transactions in both periods [14] Company Overview - National Retail Solutions operates a leading POS terminal-based platform for independent retailers, facilitating transaction processing and business management [17] - The company serves a diverse, predominantly urban, multi-cultural shopper base, providing valuable transaction data for consumer packaged goods suppliers and advertisers [17]

Core Viewpoint - IDT Corporation's stock has significantly underperformed since its earnings report, with a 20.3% decline compared to a 0.9% gain in the S&P 500 Index during the same period [1] Financial Performance Overview - For Q4 fiscal 2025, IDT reported consolidated revenues of $316.6 million, a 3% increase year over year [2] - Gross profit increased by 12% to $114.5 million, with margins improving by 310 basis points to 36.2% [2] - Income from operations rose 9% to $21.9 million, while adjusted EBITDA surged 33% to $33.4 million from $25.2 million [2] - GAAP EPS fell 53.8% to $0.67 due to the absence of a prior-year tax benefit, but non-GAAP EPS increased by 33.3% to $0.76 [2] Full Fiscal Year Performance - For the full fiscal 2025, revenues increased by 2.1% to $1.23 billion, marking IDT's first annual revenue increase since 2021 [3] - Net income attributable to IDT rose 18.1% to $76.1 million, driving GAAP EPS up by 18.5% to $3.01 [3] - Non-GAAP EPS jumped 63.6% to $3.19, while adjusted EBITDA surged 43% to a record $128.7 million [3] Segmental Results - National Retail Solutions (NRS) saw recurring revenues grow 22% year over year in Q4 to $32.6 million, driven by merchant services and SaaS fees [4] - BOSS Money transactions increased by 22% year over year, with segment revenues rising 21% to $42.1 million [5] - net2phone's subscription revenues rose 8% to $22.2 million in Q4, with adjusted EBITDA increasing 42% to $3.5 million [6] - Traditional Communications revenues declined 3% to $217.4 million, primarily due to a 21% drop in BOSS Revolution calling revenues [7] Key Business Metrics - NRS achieved a monthly average recurring revenue per terminal of $299, up 4.9% year over year [8] - BOSS Money's digital channel revenues expanded 31% in Q4, accounting for over 80% of total remittance volume [8] Management Commentary - CEO Shmuel Jonas highlighted progress in digital initiatives across NRS, BOSS Money, and net2phone, including partnerships and upcoming digital capabilities [10] - Management emphasized a shift from retail to digital channels for BOSS Money, with plans for WhatsApp integration and a new digital wallet [10] Factors Influencing Results - The decline in GAAP net income was attributed to the absence of a one-off tax benefit from the prior year [11] - Increased churn in NRS's terminal base was noted, along with structural declines in international voice calling [11] Guidance - For fiscal 2026, IDT projects adjusted EBITDA of $141 million–$145 million, representing a 7% to 10% increase from fiscal 2025 levels [12] Other Developments - During fiscal 2025, IDT repurchased 221,823 shares for $10.1 million and maintained a quarterly dividend of $0.06 per share [13]

Core Insights - IDT Corporation is recognized as one of the 12 Best Stocks to Own for Grandchildren, focusing on fintech and communications solutions [1] - The company is committed to returning value to shareholders, as evidenced by its quarterly cash dividend announcement [2] - IDT aims to achieve $1.3 billion in revenue by 2028, supported by disciplined capital management and growth in its core business segments [4] Financial Performance - A quarterly cash dividend of $0.06 per share was announced, payable on October 10, indicating financial stability [2] - The NRS segment reported a 3.5% year-over-year increase in same-store sales for June 2025, reflecting effective integrated solutions [3] Future Outlook - IDT Corporation projects $1.3 billion in revenue and $104.9 million in earnings by 2028, positioning itself as a resilient investment opportunity [4]

Core Viewpoint - IDT Corporation's shares have sharply declined following the release of its Q4 FY25 results, yet they remain up 38% over the past year, indicating strong growth in the company's underlying businesses [1] Financial Performance - The decline in IDT's share price occurred after the Q4 FY25 results were released after market close on Monday [1] - Despite the recent drop, the company's shares have shown a significant increase of 38% over the past year, reflecting robust growth in its core operations [1]

Core Viewpoint - IDT Corporation's shares have sharply declined following the release of its Q4 FY25 results, yet they remain up 38% over the past year, indicating strong growth in the company's underlying businesses [1] Financial Performance - The decline in IDT's share price occurred after the Q4 FY25 results were released after market close on Monday [1] - Despite the recent drop, the company's shares have shown a significant increase of 38% over the past year, reflecting robust growth in its core operations [1]

Group 1 - The article does not provide any specific content or key points related to a company or industry [1]

Financial Data and Key Metrics Changes - IDT reported a 43% increase in consolidated adjusted EBITDA to a record $129 million for the fiscal year 2025, with full-year adjusted EBITDA totaling $128.7 million, surpassing the updated guidance of $126 million [4][11][26] - Consolidated revenue increased by 2% for fiscal 2025, marking the first full-year increase since 2021, with Q4 revenue up by 3% [12][11] - Consolidated income from operations increased by 9% to $21.9 million in Q4 and by 55% to $100.4 million for the full year [13] Business Line Data and Key Metrics Changes - NRS's income from operations decreased by 3% to $5.8 million in Q4, while adjusted EBITDA increased by 32% to $9.3 million [14] - The fintech segment saw income from operations increase by 88% to $4.8 million in Q4, with adjusted EBITDA climbing over threefold to $5.5 million [16] - Net2phone's income from operations increased by 74% to $1.5 million in Q4, and adjusted EBITDA increased by 42% to $3.5 million [19] Market Data and Key Metrics Changes - BOSS Money's digital channel expansion contributed over 80% of remittance volume, with digital transactions increasing by 28% in Q4 and the amount sent increasing by 41% [5][17] - The average recurring revenue per terminal at NRS reached $299 in Q4, benefiting from increased penetration of NRS pay offerings [15] - The strengthening dollar impacted financial results from key South American markets, muting positive impacts from continued seat growth in net2phone [20] Company Strategy and Development Direction - The company plans to continue focusing on high-margin growth segments, with expectations of 20%-25% revenue growth and faster adjusted EBITDA growth in fiscal 2026 [16] - IDT is exploring opportunities in AI-driven solutions, particularly in net2phone, with a shift from a seat-based model to a usage-based model for AI agents [7][19] - The company is committed to returning cash to stockholders through buybacks and dividends while evaluating potential acquisitions [9][24] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about fiscal 2026, citing strong customer enthusiasm and the potential for continued growth despite challenges in the remittance business due to immigration policy changes [9][47] - The upcoming 1% federal tax on remittances is expected to accelerate the migration to digital channels, which are exempt from the tax [18] - Management acknowledged the competitive landscape and the need to adapt to changing market conditions while maintaining a focus on operational efficiency [41][42] Other Important Information - The company will report a revised measure of non-GAAP adjusted EBITDA starting Q1 FY 2026, excluding non-cash compensation expenses [24][25] - IDT's cash position increased by $30 million to $254 million, reflecting strong cash generation across all segments [23] Q&A Session Summary Question: What is the progress with stablecoins and Visa-linked wallets? - Management indicated that wallets have been launched in a beta phase and expect stablecoins to play a significant role in future transactions [28] Question: What is the WhatsApp launch date? - The WhatsApp feature is set to launch in the next few days for existing customers, with a broader rollout expected within 30-45 days [30] Question: What is causing the increase in churn rate in NRS terminals? - Management noted factors such as increased immigration enforcement, competition, and technical issues with equipment as contributors to churn [41][42] Question: Can the strong growth in BOSS Money be sustained? - Management believes that while growth may slow slightly, initiatives like wallets and WhatsApp will help maintain a competitive edge [46][49] Question: What is the focus for future acquisitions? - Management indicated a preference for smaller acquisitions over larger ones, emphasizing organic growth and internal investments [54]

Financial Data and Key Metrics Changes - For fiscal year 2025, consolidated adjusted EBITDA increased by 43% to a record $129 million, with full-year adjusted EBITDA totaling $128.7 million, surpassing the updated guidance of $126 million [4][11][26] - Consolidated revenue increased by 2% for the full year, marking the first full-year increase since 2021, with Q4 revenue up by 3% [12][11] - Consolidated gross margins improved by 310 basis points in Q4 and 380 basis points for the full year, reflecting the expansion of high-margin segments [13] Business Line Data and Key Metrics Changes - NRS segment's income from operations decreased by 3% to $5.8 million in Q4, while adjusted EBITDA increased by 32% to $9.3 million [14] - FinTech segment's income from operations surged by 88% to $4.8 million in Q4, with adjusted EBITDA climbing over threefold to $5.5 million [16] - Net2phone's income from operations increased by 74% to $1.5 million in Q4, and adjusted EBITDA increased by 42% to $3.5 million [19] Market Data and Key Metrics Changes - BOSS Money's digital channel now contributes over 80% of remittance volume, with digital transactions increasing by 28% in Q4 and the amount sent increasing by 41% [5][17] - The average recurring revenue per terminal at NRS reached $299 in Q4, benefiting from increased penetration of premium payment processing plans [15] - The remittance industry is expected to see a shift towards digital channels due to a new 1% federal tax on cash-originated remittances, effective January 1, 2026 [18] Company Strategy and Development Direction - The company plans to continue focusing on high-margin growth segments, with expectations of 20% to 25% revenue growth and faster adjusted EBITDA growth in fiscal 2026 [16] - Strategic initiatives include integrating retailers with delivery services like DoorDash and launching digital coupon offerings through NRS Insights [4][5] - The company is also investing in AI-driven solutions for net2phone, shifting its revenue model from a seat-based to a usage-based model [7][19] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about fiscal year 2026, citing strong customer enthusiasm and the potential for continued growth despite challenges in the remittance market due to immigration policy changes [9][47] - The company is committed to returning cash to stockholders through buybacks and dividends while evaluating potential acquisitions [9][24] - Management acknowledged the competitive landscape and the need to adapt to changing market conditions, particularly in the remittance and digital payment sectors [41][46] Other Important Information - The company did not repurchase shares in Q4 due to pursuing a significant acquisition opportunity that ultimately did not materialize [23][24] - A revised measure of non-GAAP adjusted EBITDA will be reported starting Q1 FY26, excluding non-cash compensation expenses [25][26] Q&A Session Summary Question: Progress on stablecoins and Visa-linked wallets - Management confirmed that wallets are in beta phase and expect stablecoins to play a larger role in future transactions [28] Question: WhatsApp launch date - The WhatsApp service is set to launch in the next few days for existing customers, with a broader rollout expected in 30 to 45 days [30] Question: Churn rate in NRS terminals - Management attributed churn to increased competition, immigration enforcement, and technical issues, but noted improvements in recent weeks [41][44] Question: Sustainability of BOSS Money's growth - Management indicated that while growth may slow, initiatives like WhatsApp and digital wallets could enhance business growth [46][49] Question: Focus on acquisitions - Management suggested a preference for smaller acquisitions over larger ones, emphasizing organic growth and internal investments [54]