TLDR
- IDT hits record EBITDA in 2025, but shares slide after earnings release.
- Strong NRS & Fintech growth fuel IDT’s record $128.7M adjusted EBITDA.
- IDT posts solid FY25 results; after-hours stock dips despite strong gains.
- IDT grows revenue, boosts buybacks, but stock drops after earnings news.
- Fintech turnaround, NRS growth drive IDT’s record profit despite stock fall.
IDT Corporation ended regular trading on September 29, 2025, at $64.09, posting a 2.43% gain. However, the stock sharply fell in after-hours trading, closing at $60.00, down 6.38%.
This decline followed the release of IDT’s financial results for Q4 and the full fiscal year 2025.
IDT delivered solid financial performance in fiscal 2025 across its key segments. The company reported revenue of $1.23 billion, a 2% increase from the previous year. Adjusted EBITDA rose 43% to $128.7 million, the highest in company history.
The company strengthened its capital return program with $10.1 million in share repurchases. It also maintained a strong cash position to support ongoing investments and dividends. These actions reinforced management’s confidence in creating long-term shareholder value.
NRS and Fintech Segments Drove Margin Expansion and Growth
National Retail Solutions (NRS) recorded 27% growth in recurring revenue, totaling $122.6 million in FY 2025. Operating income from the segment rose 28% to $27.8 million, supported by SaaS fees and merchant services. NRS also boosted its Adjusted EBITDA by 37% to $34.2 million, indicating scalable operating leverage.
The Fintech segment led by BOSS Money posted impressive gains in both revenue and profitability. Digital revenue for BOSS Money rose 36% to $99 million, contributing to total segment revenue of $139.8 million. Adjusted EBITDA surged to $18.4 million from $1.1 million, reflecting digital growth and improved cost management.
The segment also turned around operationally, posting $15.4 million in income from operations, compared to a loss the prior year. Digital now makes up over 80% of BOSS Money’s remittance volume. Expansion plans include integrating WhatsApp and deploying a digital wallet.
net2phone and Traditional Communications Maintain Steady Climb
net2phone, IDT’s UCaaS and CCaaS platform, achieved 9% subscription revenue growth to $85.7 million. Operating income grew 194% to $4.9 million, while Adjusted EBITDA increased 54% to $12.1 million. The company aims to drive further growth through its AI agent and coaching tools in FY 2026.
Traditional Communications delivered a stable performance, with gross profit increasing 2% to $168.9 million. Operating income rose 18% to $66.5 million, and Adjusted EBITDA improved 13% to $75 million. This segment continues to provide solid baseline cash flow.
IDT increased total operating income by 55% to $100.4 million. GAAP EPS rose to $3.01, while Non-GAAP EPS climbed to $3.19, highlighting core earnings strength. IDT’s continued investments and buybacks suggest confidence in sustained long-term performance.
