IDT Corporation reported a 13% year-over-year increase in adjusted EBITDA to $37.5 million for the fiscal third quarter ended April 30, 2026, as its high-margin growth units expanded revenue and profitability. The New York-based company, which operates under a lean balance sheet with $251 million in cash and no debt, posted trailing 12-month revenue of $1.3 billion and adjusted EBITDA of $147 million as of July 31.
Speaking at the 17th Annual Midwest IDEAS Conference on August 26, 2026, IDT’s investor relations head Bill Ulrey highlighted the company’s shift toward higher-margin segments. The three growth businesses—National Retail Solutions, BOSS Money, and net2phone—now account for about one-third of revenue but two-thirds of gross profit and 55% of total adjusted EBITDA, up from 34% of revenue in prior periods. Their gross profit has grown at a 17% compound annual rate over four years.
National Retail Solutions, which provides point-of-sale platforms to independent retailers, reported $36 million in recurring revenue for the quarter, up 5% year-over-year. The segment operates 40,000 terminals across 34,000 locations, with average monthly revenue per terminal rising to $307 from $279 a year earlier. Trailing 12-month revenue reached $141 million, with adjusted EBITDA exceeding $41 million at a 28% margin.
BOSS Money, the digital remittance unit, saw digital channel revenue climb 27% year-over-year in the quarter, driven by a 20% increase in transaction volume and a 40% rise in send volume. Adjusted EBITDA for the segment grew 30% to $6.6 million, with trailing 12-month EBITDA surpassing $25 million.
net2phone, the cloud communications provider, reported $24 million in subscription revenue for the quarter, a 12% increase year-over-year. The segment’s trailing 12-month revenue surpassed $100 million, supported by 441,000 UCaaS and CCaaS seats, nearly half of which are in Latin America. Adjusted EBITDA for the segment exceeded $15 million, with a record third-quarter margin of 17%.
IDT’s legacy communications businesses, which include wholesale carrier services and international long-distance voice, continue to generate steady cash flow with a 9.5% adjusted EBITDA margin in the latest quarter. The company returned $26 million to shareholders over the trailing 12 months through buybacks and dividends. IDT’s shares trade near a 52-week high of $69.80, valuing the company at about $1.7 billion with a P/E ratio of 21.23 and a price-to-book multiple of 4.82.
