Revenue growth remains modest at 4.5% year-over-year as of 2026Q3, though strategic shifts have successfully expanded gross margins to 38.8% from 31.1% in 2024Q3.
| Metric | TTM | Jul'25 | Jul'24 | Jul'23 | Jul'22 | Jul'21 | Jul'20 | Jul'19 | Jul'18 | Jul'17 | Jul'16 | Jul'15 | Jul'14 | Jul'13 | Jul'12 | Jul'11 | Jul'10 | Jul'09 | Jul'08 | Jul'07 | Jul'06 | Jul'05 | Jul'04 | Jul'03 | Jul'02 | Jul'01 | Jul'00 | Jul'99 | Jul'98 | Jul'97 | Jul'96 |
|---|
| Sales/Revenue | 1.28B | 1.23B | 1.21B | 1.24B | 1.36B | 1.45B | 1.35B | 1.41B | 1.55B | 1.5B | 1.5B | 1.6B | 1.65B | 1.62B | 1.51B | 1.56B | 1.4B | 1.54B | 1.88B | 2.01B | 2.23B | 2.47B | 2.22B | 1.83B | 1.53B | 1.23B | 1.09B | 732.2M | 335.4M | 135.2M | 57.7M |
| Revenue Growth % | 4.24% | 2.13% | -2.67% | -9.18% | -5.73% | 7.52% | -4.5% | -8.94% | 3.05% | 0.37% | -6.29% | -3.32% | 1.91% | 7.55% | -3.13% | 10.99% | -8.91% | -18.07% | -6.69% | -9.6% | -9.81% | 11.35% | 20.84% | 19.78% | 24.43% | 12.53% | 49.4% | 118.31% | 148.08% | 134.32% | 393.16% |
| Cost of Goods Sold | 799.12M | 785.3M | 815.62M | 875.73M | 1.03B | 1.15B | 1.08B | 1.17B | 1.31B | 1.28B | 1.25B | 1.33B | 1.37B | 1.36B | 1.27B | 1.27B | 1.11B | 1.17B | 1.47B | 1.62B | 1.78B | 1.84B | 1.68B | 1.41B | 1.21B | 1.07B | 875.34M | 559.3M | 240.9M | 92.2M | 36.4M |
| COGS % of Revenue | - | 63.77% | 67.64% | 70.69% | 75.83% | 79.76% | 80.55% | 83.31% | 84.4% | 84.95% | 83.31% | 83.19% | 82.79% | 83.65% | 84.25% | 81.61% | 79.26% | 76.27% | 78.21% | 80.24% | 79.95% | 74.66% | 75.74% | 76.83% | 78.68% | 86.67% | 80.02% | 76.39% | 71.82% | 68.2% | 63.08% |
| Gross Profit | 476.45M | 446.19M | 390.16M | 363.12M | 329.63M | 292.94M | 261.76M | 235.16M | 241.46M | 226.02M | 249.67M | 268.41M | 284.27M | 265.04M | 237.36M | 286.1M | 290.73M | 365.06M | 409.21M | 397.69M | 446.44M | 625.43M | 537.75M | 425.08M | 326.61M | 164.1M | 218.57M | 172.9M | 94.5M | 43M | 21.3M |
| Gross Margin % | 37.35% | 36.23% | 32.36% | 29.31% | 24.17% | 20.24% | 19.45% | 16.69% | 15.6% | 15.05% | 16.69% | 16.81% | 17.21% | 16.35% | 15.75% | 18.39% | 20.74% | 23.73% | 21.79% | 19.76% | 20.05% | 25.34% | 24.26% | 23.17% | 21.32% | 13.33% | 19.98% | 23.61% | 28.18% | 31.8% | 36.92% |
| Gross Profit Growth % | - | 14.36% | 7.45% | 10.16% | 12.52% | 11.91% | 11.31% | -2.61% | 6.83% | -9.47% | -6.98% | -5.58% | 7.26% | 11.66% | -17.04% | -1.59% | -20.36% | -10.79% | 2.9% | -10.92% | -28.62% | 16.31% | 26.51% | 30.15% | 99.03% | -24.92% | 26.42% | 82.96% | 119.77% | 101.88% | 407.14% |
| Operating Expenses | 366.51M | 345.77M | 325.4M | 301.16M | 269.42M | 235.5M | 240.31M | 234.72M | 228.45M | 220.41M | 225.52M | 243.87M | 254.44M | 231.29M | 229.06M | 269.5M | 253.72M | 357.52M | 503.05M | 581.67M | 643.58M | 707.06M | 601.46M | 485.39M | 550.9M | 596.82M | 435.18M | 170.5M | 98.3M | 46.4M | 37M |
| OpEx % of Revenue | - | 28.08% | 26.99% | 24.31% | 19.75% | 16.28% | 17.86% | 16.66% | 14.76% | 14.68% | 15.07% | 15.27% | 15.41% | 14.27% | 15.2% | 17.33% | 18.1% | 23.24% | 26.79% | 28.9% | 28.91% | 28.64% | 27.13% | 26.46% | 35.97% | 48.48% | 39.78% | 23.29% | 29.31% | 34.32% | 64.12% |
| Selling, General & Admin | 307.11M | 287.57M | 270.21M | 243.16M | 250.48M | 218.47M | 214.85M | 204.37M | 203.25M | 188.29M | 204.66M | 222.24M | 228.93M | 218.47M | 207.84M | 237.85M | 218.59M | 293.67M | 491.48M | 501.66M | 556.16M | 595.16M | 501.6M | 454.12M | 370.58M | 337.11M | 343.7M | 128.5M | 62M | 41.5M | 35.8M |
| SG&A % of Revenue | - | 23.35% | 22.41% | 19.63% | 18.36% | 15.1% | 15.96% | 14.5% | 13.13% | 12.54% | 13.68% | 13.92% | 13.86% | 13.48% | 13.79% | 15.29% | 15.6% | 19.09% | 26.17% | 24.92% | 24.98% | 24.11% | 22.63% | 24.75% | 24.2% | 27.39% | 31.42% | 17.55% | 18.49% | 30.7% | 62.05% |
| Research & Development | 54.55M | 50.96M | 50.55M | 13.2M | 12.2M | 12.6M | 14.6M | 16.3M | 16.1M | 14.2M | 12.6M | 1.66M | 10.02M | 7.17M | 4.57M | 10.68M | 8.01M | 9.04M | 11.57M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 25M | 0 | 0 |
| R&D % of Revenue | - | 4.14% | 4.19% | 1.07% | 0.89% | 0.87% | 1.08% | 1.16% | 1.04% | 0.95% | 0.84% | 0.1% | 0.61% | 0.44% | 0.3% | 0.69% | 0.57% | 0.59% | 0.62% | - | - | - | - | - | - | - | - | - | 7.45% | - | - |
| Other Operating Expenses | 0 | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Operating Income | 109.79M | 100.42M | 64.75M | 60.74M | 60.09M | 56.99M | 24.95M | 1.87M | 8.38M | 5.55M | 26.2M | 93.05M | 29.84M | 29.39M | 8.3M | 15.54M | 32.16M | -73.46M | 2.11B | -172.71M | -220.79M | -115.84M | -121.93M | -73.62M | -224.29M | -432.71M | -216.61M | 2.4M | -3.8M | -3.4M | -15.7M |
| Operating Margin % | 8.61% | 8.15% | 5.37% | 4.9% | 4.41% | 3.94% | 1.85% | 0.13% | 0.54% | 0.37% | 1.75% | 5.83% | 1.81% | 1.81% | 0.55% | 1% | 2.3% | -4.77% | 112.18% | -8.58% | -9.92% | -4.69% | -5.5% | -4.01% | -14.64% | -35.15% | -19.8% | 0.33% | -1.13% | -2.51% | -27.21% |
| Operating Income Growth % | - | 55.09% | 6.6% | 1.09% | 5.44% | 128.44% | 1233.4% | -77.67% | 50.98% | -78.82% | -71.84% | 211.83% | 1.53% | 254.24% | -46.63% | -51.67% | 143.78% | -103.49% | 1319.83% | 21.78% | -90.6% | 5% | -65.62% | 67.18% | 48.17% | -99.76% | -9125.45% | 163.16% | -11.76% | 78.34% | -647.62% |
| EBITDA | 125.8M | 121.43M | 85.1M | 80.88M | 78.2M | 74.75M | 45.35M | 24.5M | 31.18M | 27.25M | 46.74M | 111.47M | 46.16M | 44.3M | 24.95M | 36.52M | 65.59M | -24.17M | 2.18B | -92.7M | -133.37M | -3.94M | -22.06M | 15.69M | -158.28M | -372.36M | -125.13M | 44.4M | 7.5M | 1.5M | -14.5M |
| EBITDA Margin % | 9.86% | 9.86% | 7.06% | 6.53% | 5.73% | 5.17% | 3.37% | 1.74% | 2.01% | 1.81% | 3.12% | 6.98% | 2.79% | 2.73% | 1.66% | 2.35% | 4.68% | -1.57% | 115.84% | -4.61% | -5.99% | -0.16% | -1% | 0.86% | -10.33% | -30.25% | -11.44% | 6.06% | 2.24% | 1.11% | -25.13% |
| EBITDA Growth % | 15.24% | 42.69% | 5.22% | 3.42% | 4.62% | 64.82% | 85.1% | -21.41% | 14.41% | -41.69% | -58.07% | 141.49% | 4.19% | 77.59% | -31.7% | -44.32% | 371.32% | -101.11% | 2446.86% | 30.49% | -3283.18% | 82.13% | -240.63% | 109.91% | 57.49% | -197.58% | -381.82% | 492% | 400% | 110.34% | -705.56% |
| D&A (Non-Cash Add-back) | 16.01M | 21.01M | 20.35M | 20.14M | 18.11M | 17.76M | 20.41M | 22.63M | 22.8M | 21.7M | 20.54M | 18.42M | 16.32M | 14.91M | 16.65M | 20.98M | 33.43M | 49.28M | 68.75M | 80.01M | 87.42M | 111.89M | 99.87M | 89.31M | 66.02M | 60.35M | 91.48M | 42M | 11.3M | 4.9M | 1.2M |
| EBIT | 114.52M | 106.16M | 62.1M | 61.96M | 53.36M | 52.81M | 19.56M | 725K | 13.01M | 5.55M | 25.24M | 24.55M | 29.84M | 33.75M | -4.01M | 20.01M | 32.19M | -106.92M | -99.16M | -139.31M | -197.14M | -105.59M | -63.71M | -60.31M | -182.84M | -432.71M | -216.61M | 2.4M | -3.8M | -3.4M | -15.7M |
| Net Interest Income | 6.69M | 6.13M | 4.77M | 3.15M | 146K | 318K | 1.04M | 776K | 1.07M | 1.25M | 1.22M | -159K | -148K | -824K | -2.98M | -3.7M | -6.26M | -2.64M | 9.2M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Income | 6.69M | 6.13M | 4.77M | 3.15M | 146K | 318K | 1.04M | 776K | 1.07M | 1.25M | 1.22M | 0 | 0 | 0 | -9K | 1.98M | 0 | 16K | 4.77M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 0 | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Income/Expense | 0 | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Pretax Income | 113.91M | 105.84M | 61.91M | 60.81M | 34.88M | 65.22M | 17.72M | 453K | 8.1M | 7.62M | 29.47M | 92.2M | 24.99M | 33.95M | -6.99M | 14.33M | 25.93M | -109.58M | -210.89M | -125.66M | -204.09M | -29.33M | -51.81M | -87.89M | -280.71M | 741.75M | 452.23M | 24.1M | -8M | -3.8M | -15.6M |
| Pretax Margin % | 8.93% | 8.59% | 5.13% | 4.91% | 2.56% | 4.51% | 1.32% | 0.03% | 0.52% | 0.51% | 1.97% | 5.77% | 1.51% | 2.09% | -0.46% | 0.92% | 1.85% | -7.12% | -11.23% | -6.24% | -9.17% | -1.19% | -2.34% | -4.79% | -18.33% | 60.26% | 41.34% | 3.29% | -2.39% | -2.81% | -27.04% |
| Income Tax | 25.76M | 24.7M | -6.35M | 16.44M | 5.88M | -31.67M | -3.7M | 123K | 2.9M | -2.02M | 4.11M | 6.09M | 3.98M | 15.87M | -42.76M | -5.54M | 5.28M | -4.52M | 9.92M | 3.6M | 2.58M | 11.9M | 9.58M | -70.37M | -124.34M | 209.4M | 218.4M | 17.9M | -1.7M | 3.8M | 15.6M |
| Effective Tax Rate % | 22.61% | 23.34% | -10.26% | 27.04% | 16.85% | -48.55% | -20.88% | 27.15% | 35.82% | -26.52% | 13.95% | 6.6% | 15.93% | 46.75% | 612.02% | -38.64% | 20.34% | 4.13% | -4.71% | -2.87% | -1.26% | -40.56% | -18.49% | 80.07% | 44.3% | 28.23% | 48.29% | 74.27% | 21.25% | -100% | -100% |
| Net Income | 81.81M | 76.09M | 64.45M | 40.49M | 27.03M | 96.47M | 21.43M | 330K | 4.21M | 8.18M | 23.51M | 84.49M | 18.78M | 11.61M | 38.65M | 26.81M | 20.29M | -155.45M | -224.33M | 58.62M | -178.65M | -43.81M | -95.71M | -17.52M | -303.35M | 532.36M | 230.85M | 2.9M | -6.4M | -3.8M | -15.6M |
| Net Margin % | 6.41% | 6.18% | 5.35% | 3.27% | 1.98% | 6.67% | 1.59% | 0.02% | 0.27% | 0.54% | 1.57% | 5.29% | 1.14% | 0.72% | 2.56% | 1.72% | 1.45% | -10.1% | -11.95% | 2.91% | -8.02% | -1.77% | -4.32% | -0.95% | -19.81% | 43.25% | 21.1% | 0.4% | -1.91% | -2.81% | -27.04% |
| Net Income Growth % | -14.81% | 18.06% | 59.18% | 49.81% | -71.98% | 350.19% | 6393.94% | -92.16% | -48.54% | -65.22% | -72.17% | 349.8% | 61.83% | -69.97% | 44.14% | 32.14% | 113.05% | 30.71% | -482.66% | 132.81% | -307.76% | 54.22% | -446.39% | 94.23% | -156.98% | 130.61% | 7860.35% | 145.31% | -68.42% | 75.64% | -642.86% |
| Net Income (Continuing) | 88.15M | 81.14M | 68.26M | 44.37M | 29M | 96.89M | 21.42M | 330K | 5.2M | 9.64M | 25.36M | 86.11M | 21.01M | 18.08M | 30.93M | 20.99M | 20.65M | -73.76M | -181.26M | -129.27M | -206.66M | -54.09M | -95.71M | -17.52M | -156.37M | 532.36M | 233.83M | 6.2M | -6.3M | -3.8M | -15.4M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 3.5M | 0 | 0 | 0 | -10.18M | -16.18M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 30.56M | 25.29M | 20.37M | 16.74M | 13.21M | 1.75M | -3.63M | -2.69M | 639K | 8.82M | 406K | 1.11M | 925K | 533K | 495K | -5.3M | 2.18M | 3.15M | 5.85M | 10.96M | 43.23M | 89.89M | 132.69M | 147.35M | 54.96M | 21.42M | 231.31M | 20.4M | 3.9M | 0 | 0 |
| EPS (Diluted) | 3.28 | 3.01 | 2.54 | 1.58 | 1.03 | 3.70 | 0.81 | 0.01 | 0.17 | 0.35 | 1.03 | 3.63 | 0.82 | 0.52 | 1.75 | 1.19 | 0.94 | -6.90 | -8.84 | 2.13 | -5.58 | -1.35 | -3.27 | -0.66 | -12.12 | 21.36 | 9.21 | 0.12 | -0.32 | -0.27 | -1.36 |
| EPS Growth % | -13.98% | 18.5% | 60.76% | 53.4% | -72.16% | 356.79% | 6130.77% | -92.35% | -51.43% | -66.02% | -71.63% | 342.68% | 57.69% | -70.29% | 47.06% | 26.6% | 113.62% | 21.95% | -515.02% | 138.17% | -313.33% | 58.72% | -395.45% | 94.55% | -156.74% | 131.92% | 7575% | 137.5% | -18.52% | 80.15% | -580% |
| EPS (Basic) | - | 3.02 | 2.55 | 1.59 | 1.05 | 3.78 | 0.82 | 0.01 | 0.17 | 0.35 | 1.03 | 3.69 | 0.85 | 0.56 | 1.87 | 1.30 | 0.99 | -6.90 | -8.84 | 2.13 | -5.58 | -1.35 | -3.27 | -0.66 | -12.12 | 23.37 | 9.90 | 0.13 | -0.45 | -0.27 | -1.20 |
| Diluted Shares Outstanding | 24.91M | 25.3M | 25.4M | 25.58M | 26.36M | 26.05M | 26.44M | 25.31M | 24.72M | 23.31M | 22.82M | 23.25M | 22.94M | 22.32M | 22.06M | 22.48M | 21.55M | 22.54M | 25.39M | 27.39M | 32.01M | 32.35M | 29.31M | 26.73M | 25.04M | 24.93M | 25.08M | 23.91M | 20.19M | 13.91M | 11.49M |
| Basic Shares Outstanding | 24.89M | 25.19M | 25.24M | 25.52M | 25.79M | 25.5M | 26.28M | 25.29M | 24.66M | 23.18M | 22.77M | 22.9M | 22.01M | 20.88M | 20.72M | 20.57M | 20.45M | 22.54M | 25.39M | 27.39M | 32.01M | 32.35M | 29.31M | 26.73M | 25.04M | 22.77M | 23.31M | 22.87M | 14.17M | 14.07M | 13.02M |
| Dividend Payout Ratio | - | 7.29% | 3.93% | - | - | - | - | - | 331.3% | 218.59% | 73.82% | 56.33% | 72.59% | 147.52% | 38.85% | 56.61% | 9.56% | - | - | 52.51% | - | - | - | - | - | - | - | - | - | - | - |
Regulatory and immigration policy
According to recent financial filings, IDT's revenue growth has remained modest, posting a 4.5% year-over-year increase in 2026Q3, as the company navigates the secular decline of traditional communications while scaling its higher-margin Fintech and UCaaS platforms to offset these persistent legacy headwinds.
The revenue trajectory appears to be in a state of transition, where the growth of NRS and net2phone is effectively masking the erosion of legacy calling card volumes. Investors should monitor whether the current 4.5% growth rate can accelerate as the revenue mix shifts further toward recurring subscription models.
As reported in quarterly income statements, IDT has successfully expanded its gross margin from 31.1% in 2024Q3 to 38.8% in 2026Q3, reflecting a strategic pivot toward higher-margin digital services and away from the low-margin wholesale carrier traffic that historically dominated the company's cost structure.
This margin expansion suggests that the company's focus on proprietary POS terminals and SaaS-based communications is yielding tangible improvements in profitability. The sustainability of this trend warrants further investigation into whether the company can maintain these levels as it scales its advertising and data analytics offerings.
Based on the provided income statement data, IDT's operating margin has fluctuated between 5.2% and 9.5% over the last ten quarters, indicating that operating expenses are scaling in tandem with gross profit rather than providing significant operating leverage to the bottom line at this stage.
The persistence of SG&A and R&D costs suggests that the company is still in an active investment phase for its growth segments. While gross profits are rising, the lack of significant operating margin expansion implies that management is prioritizing market share and platform development over immediate bottom-line optimization.
Analysis of recent financial statements reveals that IDT's net income has experienced significant quarterly volatility, with EPS ranging from $0.22 to $1.45, largely driven by non-operating items and the impact of periodic stock-based compensation charges that complicate the assessment of core operational profitability.
The variability in net income suggests that investors should focus on segment-level EBITDA to better understand the underlying performance of the business. The absence of stock-based compensation in the most recent quarter may indicate a temporary reduction in dilution, though this warrants further monitoring in future filings.
While the bull case rests on the platform potential of NRS, skeptics may point to the 2026Q3 operating margin of 9.5% as evidence that the business remains fundamentally tied to low-margin legacy operations that are difficult to fully displace without significant capital expenditure.
The primary risk is that the growth segments may never achieve the scale necessary to fully decouple from the declining legacy business. Investors should be wary of the potential for margin compression if competitive pressures in the UCaaS space force increased spending on customer acquisition and R&D.
Quick answers to the most common questions about buying IDT stock.
For fiscal year 2025, IDT Corporation (IDT) reported total revenue of $1.23B. This represents a 2034.3% increase compared to $57.7M in 1996.
IDT Corporation (IDT) is profitable, generating $76.1M in net income for the fiscal year ending 2025 with a net profit margin of 6.2%.
IDT Corporation (IDT) reported an operating income of $100.4M, resulting in an operating profit margin of 8.2%. This margin reflects the operational efficiency of the business before interest and taxes.
IDT Corporation (IDT) generated $446.2M in gross profit for the year, representing a gross profit margin of 36.2%. This demonstrates the company's core pricing power and production efficiency.