Cover
Cover - USD ($) $ in Millions | 12 Months Ended | ||
Jul. 31, 2021 | Oct. 12, 2021 | Jan. 29, 2021 | |
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Annual Report | true | ||
Document Transition Report | false | ||
Document Period End Date | Jul. 31, 2021 | ||
Document Fiscal Period Focus | FY | ||
Document Fiscal Year Focus | 2021 | ||
Current Fiscal Year End Date | --07-31 | ||
Entity File Number | 1-16371 | ||
Entity Registrant Name | IDT Corporation | ||
Entity Central Index Key | 0001005731 | ||
Entity Tax Identification Number | 22-3415036 | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Address, Address Line One | 520 Broad Street | ||
Entity Address, City or Town | Newark | ||
Entity Address, State or Province | NJ | ||
Entity Address, Postal Zip Code | 07102 | ||
City Area Code | (973) | ||
Local Phone Number | 438-1000 | ||
Title of 12(b) Security | Class B common stock, par value $0.1 per share | ||
Trading Symbol | IDT | ||
Security Exchange Name | NYSE | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Accelerated Filer | ||
Entity Small Business | true | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 292.2 | ||
ICFR Auditor Attestation Flag | true | ||
Common Class B [Member] | |||
Entity Common Stock, Shares Outstanding | 24,187,563 | ||
Common Class A [Member] | |||
Entity Common Stock, Shares Outstanding | 1,574,326 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Jul. 31, 2021 | Jul. 31, 2020 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 107,147 | $ 84,860 |
Restricted cash and cash equivalents | 119,769 | 116,362 |
Debt securities | 14,012 | 18,363 |
Equity investments | 42,434 | 5,964 |
Trade accounts receivable, net of allowance for doubtful accounts of $4,438 and $6,085 at July 31, 2021 and 2020, respectively | 46,644 | 44,166 |
Disbursement prefunding | 27,656 | 25,325 |
Prepaid expenses | 13,694 | 7,790 |
Other current assets | 16,779 | 19,302 |
TOTAL CURRENT ASSETS | 388,135 | 322,132 |
Property, plant, and equipment, net | 30,829 | 30,061 |
Goodwill | 14,897 | 12,858 |
Other intangibles, net | 7,578 | 3,959 |
Equity investments | 11,654 | 8,833 |
Operating lease right-of-use assets | 7,671 | 9,490 |
Deferred income tax assets, net | 41,502 | 8,512 |
Other assets | 10,389 | 8,905 |
TOTAL ASSETS | 512,655 | 404,750 |
CURRENT LIABILITIES: | ||
Trade accounts payable | 24,502 | 25,150 |
Accrued expenses | 129,085 | 125,544 |
Deferred revenue | 42,293 | 40,114 |
Customer deposits | 115,524 | 115,992 |
Other current liabilities | 27,930 | 18,070 |
TOTAL CURRENT LIABILITIES | 339,334 | 324,870 |
Operating lease liabilities | 5,473 | 7,353 |
Other liabilities | 1,234 | 1,388 |
TOTAL LIABILITIES | 346,041 | 333,611 |
IDT Corporation stockholders’ equity: | ||
Preferred stock, $.01 par value; authorized shares—10,000; no shares issued | ||
Additional paid-in capital | 278,021 | 277,443 |
Treasury stock, at cost, consisting of 1,698 and 1,698 shares of Class A common stock and 2,192 and 1,616 shares of Class B common stock at July 31, 2021 and 2020, respectively | (60,413) | (56,221) |
Accumulated other comprehensive loss | (10,183) | (7,410) |
Accumulated deficit | (42,858) | (139,333) |
Total IDT Corporation stockholders’ equity | 164,864 | 74,772 |
Noncontrolling interests | 1,750 | (3,633) |
TOTAL EQUITY | 166,614 | 71,139 |
TOTAL LIABILITIES AND EQUITY | 512,655 | 404,750 |
Common Class A [Member] | ||
IDT Corporation stockholders’ equity: | ||
Common stock, value | 33 | 33 |
Common Class B [Member] | ||
IDT Corporation stockholders’ equity: | ||
Common stock, value | $ 264 | $ 260 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Jul. 31, 2021 | Jul. 31, 2020 |
Accounts Receivable, Allowance for Credit Loss, Current | $ 4,438 | $ 6,085 |
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | 0 | 0 |
Common Class A [Member] | ||
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 35,000,000 | 35,000,000 |
Common stock, shares issued | 3,272,000 | 3,272,000 |
Common stock, shares outstanding | 1,574,000 | 1,574,000 |
Treasury Stock, Shares | 1,698,000 | 1,698,000 |
Common Class B [Member] | ||
Common stock, par value | $ 0.01 | |
Common stock, shares authorized | 200,000,000 | |
Common stock, shares issued | 26,379,000 | 25,961,000 |
Common stock, shares outstanding | 24,187,000 | 24,345,000 |
Treasury Stock, Shares | 2,192,000 | 1,616,000 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 12 Months Ended | ||
Jul. 31, 2021 | Jul. 31, 2020 | ||
Income Statement [Abstract] | |||
REVENUES | $ 1,446,990 | $ 1,345,769 | |
COSTS AND EXPENSES: | |||
Direct cost of revenues (exclusive of depreciation and amortization) | 1,154,048 | 1,084,009 | |
Selling, General and Administrative Expense | [1] | 218,467 | 214,846 |
Depreciation and amortization | 17,764 | 20,406 | |
Severance | 452 | 3,503 | |
TOTAL COSTS AND EXPENSES | 1,390,731 | 1,322,764 | |
Other operating gain (expense), net (see Note 14) | 731 | (5,063) | |
Income from operations | 56,990 | 17,942 | |
Interest income, net | 318 | 1,043 | |
Other income (expense), net | 7,916 | (1,267) | |
Income before income taxes | 65,224 | 17,718 | |
Benefit from income taxes | 31,667 | 3,700 | |
NET INCOME | 96,891 | 21,418 | |
Net (income) loss attributable to noncontrolling interests | (416) | 12 | |
NET INCOME ATTRIBUTABLE TO IDT CORPORATION | $ 96,475 | $ 21,430 | |
Earnings per share attributable to IDT Corporation common stockholders: | |||
Basic | $ 3.78 | $ 0.82 | |
Diluted | $ 3.70 | $ 0.81 | |
Weighted-average number of shares used in calculation of earnings per share: | |||
Basic | 25,495,000 | 26,278,000 | |
Diluted | 26,053,000 | 26,441,000 | |
[1] | Stock-based compensation included in selling, general and administrative expenses |
Consolidated Statements of In_2
Consolidated Statements of Income (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | |
Jul. 31, 2021 | Jul. 31, 2020 | |
Income Statement [Abstract] | ||
Stock-based compensation included in selling, general and administrative expenses | $ 1,490 | $ 3,856 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | |
Jul. 31, 2021 | Jul. 31, 2020 | |
Income Statement [Abstract] | ||
NET INCOME | $ 96,891 | $ 21,418 |
Other comprehensive (loss) income: | ||
Change in unrealized gain on available-for-sale securities | (51) | 42 |
Foreign currency translation adjustments | (2,722) | (2,594) |
Other comprehensive loss | (2,773) | (2,552) |
COMPREHENSIVE INCOME | 94,118 | 18,866 |
Comprehensive (income) loss attributable to noncontrolling interests | (416) | 12 |
COMPREHENSIVE INCOME ATTRIBUTABLE TO IDT CORPORATION | $ 93,702 | $ 18,878 |
Consolidated Statements of Equi
Consolidated Statements of Equity - USD ($) $ in Thousands | Total | Additional Paid-in Capital [Member] | Treasury Stock [Member] | AOCI Attributable to Parent [Member] | Retained Earnings [Member] | Noncontrolling Interest [Member] | Class A Common Stock [Member] | Class B Common Stock [Member] |
BALANCE AT JULY 31, 2020 at Jul. 31, 2019 | $ 53,557 | $ 273,313 | $ (51,739) | $ (4,858) | $ (160,763) | $ (2,687) | $ 33 | $ 258 |
BALANCE, SHARES at Jul. 31, 2019 | 3,272,000 | 25,803,000 | ||||||
Exercise of stock options | 276 | 276 | ||||||
Exercise of stock options, shares | 33,000 | |||||||
Repurchases of Class B common stock through repurchase program | (4,201) | (4,201) | ||||||
Restricted Class B common stock purchased from employees | (281) | (281) | ||||||
Stock-based compensation | 3,856 | 3,854 | $ 2 | |||||
Stock-based compensation, shares | 125,000 | |||||||
Distributions to noncontrolling interests | (934) | (934) | ||||||
Other comprehensive loss | (2,552) | (2,552) | ||||||
Net income | 21,418 | 21,430 | (12) | |||||
BALANCE AT JULY 31, 2021 at Jul. 31, 2020 | 71,139 | 277,443 | (56,221) | (7,410) | (139,333) | (3,633) | $ 33 | $ 260 |
BALANCE, SHARES at Jul. 31, 2020 | 3,272,000 | 25,961,000 | ||||||
Exercise of stock options | $ 687 | 686 | $ 1 | |||||
Exercise of stock options, shares | 81,000 | 81,000 | ||||||
Repurchases of Class B common stock through repurchase program | $ (2,849) | (2,849) | ||||||
Restricted Class B common stock purchased from employees | (1,343) | (1,343) | ||||||
Stock-based compensation | 1,490 | 1,487 | $ 3 | |||||
Stock-based compensation, shares | 301,000 | |||||||
Grant of restricted equity in subsidiary (see Note 20). | (2,361) | 2,361 | ||||||
Stock issued for matching contributions to the 401(k) Plan | 1,042 | 1,042 | ||||||
Stock issued for matching contributions to the 401(k) Plan, shares | 36,000 | |||||||
Business acquisition | 669 | (276) | 945 | |||||
Acquisition of interest in variable interest entity (see Note 13) | 2,509 | 2,509 | ||||||
Distributions to noncontrolling interests | (848) | (848) | ||||||
Other comprehensive loss | (2,773) | (2,773) | ||||||
Net income | 96,891 | 96,475 | 416 | |||||
BALANCE AT JULY 31, 2021 at Jul. 31, 2021 | $ 166,614 | $ 278,021 | $ (60,413) | $ (10,183) | $ (42,858) | $ 1,750 | $ 33 | $ 264 |
BALANCE, SHARES at Jul. 31, 2021 | 3,272,000 | 26,379,000 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |
Jul. 31, 2021 | Jul. 31, 2020 | |
OPERATING ACTIVITIES | ||
Net income | $ 96,891 | $ 21,418 |
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | ||
Depreciation and amortization | 17,764 | 20,406 |
Deferred income taxes | (32,793) | (3,805) |
Provision for doubtful accounts receivable | 1,782 | 3,109 |
Stock-based compensation | 1,490 | 3,856 |
Other | (7,358) | 352 |
Changes in assets and liabilities: | ||
Trade accounts receivable | (3,728) | 11,702 |
Disbursement prefunding, prepaid expenses, other current assets, and other assets | (2,247) | (1,719) |
Trade accounts payable, accrued expenses, other current liabilities, and other liabilities | (264) | (12,081) |
Customer deposits at IDT Financial Services Limited (Gibraltar-based bank) | (6,906) | (70,401) |
Deferred revenue | 1,989 | (2,428) |
Net cash provided by (used in) operating activities | 66,620 | (29,591) |
INVESTING ACTIVITIES | ||
Capital expenditures | (16,765) | (16,041) |
Payments for acquisitions, net of cash acquired | (3,673) | (450) |
Cash acquired from acquisition of interest in variable interest entity | 3,336 | |
Purchase of Rafael Holdings, Inc. Class B common stock and warrant | (5,000) | |
Exercise of warrant to purchase shares of Rafael Holdings, Inc. Class B common stock | (1,000) | |
Purchase of series B convertible preferred stock in equity method investment | (4,000) | |
Purchases of debt securities and equity investments | (43,187) | (22,429) |
Proceeds from maturities and sales of debt securities and redemption of equity investments | 26,230 | 6,457 |
Net cash used in investing activities | (44,059) | (32,463) |
FINANCING ACTIVITIES | ||
Distributions to noncontrolling interests | (848) | (934) |
Payment for acquisition of warrant in variable interest entity | (791) | |
Proceeds from other liabilities | 729 | |
Repayment of other liabilities | (108) | (510) |
Proceeds from note payable | 10,000 | |
Repayment of note payable | (10,000) | |
Proceeds from exercise of stock options | 687 | 276 |
Proceeds from borrowings under revolving credit facility | 1,429 | |
Repayments of borrowings under revolving credit facility | (1,429) | |
Repurchases of Class B common stock | (4,192) | (4,482) |
Net cash used in financing activities | (4,523) | (5,650) |
Effect of exchange rate changes on cash, cash equivalents, and restricted cash and cash equivalents | 7,656 | 11,727 |
Net increase (decrease) in cash, cash equivalents, and restricted cash and cash equivalents | 25,694 | (55,977) |
Cash, cash equivalents, and restricted cash and cash equivalents at beginning of year | 201,222 | 257,199 |
Cash, cash equivalents, and restricted cash and cash equivalents at end of year | 226,916 | 201,222 |
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION | ||
Cash payments made for interest | 486 | 388 |
Cash payments made for income taxes | 193 | 60 |
SUPPLEMENTAL SCHEDULE OF NON-CASH FINANCING AND INVESTING ACTIVITIES | ||
Liabilities incurred for acquisition | 628 | 375 |
Stock issued for matching contributions to the 401(k) Plan | $ 1,042 |
Description of Business and Sum
Description of Business and Summary of Significant Accounting Policies | 12 Months Ended |
Jul. 31, 2021 | |
Accounting Policies [Abstract] | |
Description of Business and Summary of Significant Accounting Policies | Note 1— Description of Business and Summary of Significant Accounting Policies Description of Business IDT Corporation (the “Company”) is a global provider of financial technology, or fintech, cloud communications, and traditional communications services. The Company has three Basis of Consolidation The method of accounting applied to long-term investments, whether consolidated, equity or cost, involves an evaluation of the significant terms of each investment that explicitly grant or suggest evidence of control or influence over the operations of the investee and includes the identification of any variable interests in which the Company is the primary beneficiary. The consolidated financial statements include the Company’s controlled subsidiaries and the variable interest entity in which the Company is the primary beneficiary (see Note 13). All significant intercompany accounts and transactions between the consolidated entities are eliminated. Accounting for Investments Investments in businesses that the Company does not control, but in which the Company has the ability to exercise significant influence over operating and financial matters, are accounted for using the equity method. Investments in which the Company does not have the ability to exercise significant influence over operating and financial matters are accounted for using the cost method. Investments in hedge funds are accounted for using the equity method unless the Company’s interest is so minor that it has virtually no influence over operating and financial policies, in which case these investments are accounted for using the cost method. The Company periodically evaluates its equity and cost method investments for impairment due to declines considered to be other than temporary. If the Company determines that a decline in fair value is other than temporary, then a charge to earnings is recorded in “Other income (expense), net” in the accompanying consolidated statements of income, and a new basis in the investment is established. Reclassifications Certain prior year amounts in the consolidated balance sheet were reclassified to conform to the current year’s presentation as follows: $ 25.3 6.0 Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”) requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results may differ from those estimates. Revenue Recognition The Company accounts for its revenues under Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers (Topic 606) Direct Cost of Revenues Direct cost of revenues consists primarily of termination and origination costs, toll-free costs, and network costs—including customer/carrier interconnect charges and fiber circuit charges. These costs include an estimate of charges for which invoices have not yet been received, and estimated amounts for pending disputes with other carriers. Direct cost of revenues also includes the cost of airtime top-up minutes. Direct cost of revenues excludes depreciation and amortization expense. Cash and Cash Equivalents The Company considers all highly liquid investments with an original maturity of three months or less when purchased to be cash equivalents. IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) Debt Securities The Company’s investments in debt securities are classified as “available-for-sale.” Available-for-sale debt securities are required to be carried at their fair value, with unrealized gains and losses (net of income taxes) that are considered temporary in nature recorded in “Accumulated other comprehensive loss” in the accompanying consolidated balance sheets. The Company uses the specific identification method in computing the gross realized gains and gross realized losses on the sales of debt securities. The Company periodically evaluates its investments in debt securities for impairment due to declines in market value considered to be other than temporary. Such impairment evaluations include, in addition to persistent, declining market prices, general economic and Company-specific evaluations. If the Company determines that a decline in market value is other than temporary, then a charge to operations is recorded in “Other income (expense), net” in the accompanying consolidated statements of income and a new cost basis in the investment is established. Equity Investments Investments in equity securities (except those accounted for under the equity method or that result in consolidation) are measured at fair value, with changes in fair value recognized in net income. For investments in equity securities without a readily determinable fair value, the Company elects the measurement alternative and measures these investments at cost, less any impairment, plus or minus changes resulting from observable price changes in orderly transactions for an identical or similar investment of the same issuer. At each reporting date, the Company reassesses whether the investment still qualifies for this measurement alternative. Further, at each reporting date, the Company performs a qualitative assessment to evaluate whether the investment is impaired. If the qualitative assessment indicates that the investment is impaired and the fair value of the investment is less than its carrying value, the carrying amount of the investment will be reduced and the resulting loss recognized in “Other income (expense), net” in the accompanying consolidated statements of income in the period the impairment is identified. On August 1, 2021, the Company adopted ASU No. 2020-01, Investments—Equity Securities (Topic 321) Investments—Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815), Disbursement Prefunding The Company maintains relationships with disbursement partners in various countries for its money transfer and Mobile Top-Up services. The Company maintains prefunding balances with these disbursement partners, so they can satisfy the Company’s customer liabilities. The Company does not earn interest on these balances. The balances are not compensating balances and are not legally restricted. Property, Plant, and Equipment and Intangible Assets Equipment, computer software, and furniture and fixtures are recorded at cost and are depreciated on a straight-line basis over their estimated useful lives, which range as follows: equipment— 5 7 20 2 3 5 5 7 10 The fair value of non-compete agreement, customer relationships, and tradenames acquired in a business combination accounted for under the purchase method are amortized over their estimated useful lives (see Notes 6 and 12). The Company tests the recoverability of its property, plant, and equipment and intangible assets with finite useful lives whenever events or changes in circumstances indicate that the carrying value of the asset may not be recoverable. The Company tests for recoverability based on the projected undiscounted cash flows to be derived from such asset. If the projected undiscounted future cash flows are less than the carrying value of the asset, the Company will record an impairment loss, if any, based on the difference between the estimated fair value and the carrying value of the asset. The Company generally measures fair value by considering sale prices for similar assets or by discounting estimated future cash flows from such asset using an appropriate discount rate. Cash flow projections and fair value estimates require significant estimates and assumptions by management. Should the estimates and assumptions prove to be incorrect, the Company may be required to record impairments in future periods and such impairments could be material. Goodwill Goodwill is the excess of the acquisition cost of businesses over the fair value of the identifiable net assets acquired. Goodwill and other indefinite lived intangible assets are not amortized. Instead, these assets are reviewed annually (or more frequently under various conditions) for impairment When performing its quantitative annual, or interim, goodwill impairment test the Company is comparing the fair value of its reporting units with their carrying amounts. The Company would recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value; however, the loss recognized would not exceed the total amount of goodwill allocated to that reporting unit. Additionally, the Company considers income tax effects from any tax-deductible goodwill on the carrying amount of its reporting unit when measuring the goodwill impairment loss, if applicable. The fair value of the reporting units is estimated using discounted cash flow methodologies, as well as considering third party market value indicators. The Company’s use of a discounted cash flow methodology includes estimates of future revenue based upon budgets and projections. The Company also develops estimates for future levels of gross and operating profits and projected capital expenditures. The Company’s methodology also includes the use of estimated discount rates based upon industry and competitor analysis as well as other factors. Calculating the fair value of the reporting units requires significant estimates and assumptions by management. Should the estimates and assumptions regarding the fair value of the reporting units prove to be incorrect, the Company may be required to record impairments to its goodwill in future periods and such impairments could be material. IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) Advertising Expense Cost of advertising is charged to selling, general and administrative expenses in the period in which it is incurred. In fiscal 2021 and fiscal 2020, advertising expense was $ 15.3 million and $ 15.7 million, respectively. Capitalized Internal Use Software Costs The Company capitalizes the cost of internal-use software that has a useful life in excess of one year. These costs consist of payments made to third parties and the salaries of employees working on such software development. Subsequent additions, modifications or upgrades to internal-use software are capitalized only to the extent that they allow the software to perform a task it previously did not perform. Software maintenance and training costs are expensed in the period in which they are incurred. Capitalized internal use software costs are amortized on a straight-line basis over their estimated useful lives. Amortization expense related to such capitalized software in fiscal 2021 and fiscal 2020 was $ 12.6 million and $ 14.6 million, respectively. Unamortized capitalized internal use software costs at July 31, 2021 and 2020 were $ 16.7 million and $ 18.1 million, respectively. Repairs and Maintenance The Company charges the cost of repairs and maintenance, including the cost of replacing minor items not constituting substantial betterment, to selling, general and administrative expenses as these costs are incurred. Foreign Currency Translation Assets and liabilities of foreign subsidiaries denominated in foreign currencies are translated to U.S. Dollars at end-of-period rates of exchange, and their monthly results of operations are translated to U.S. Dollars at the average rates of exchange for that month. Gains or losses resulting from such foreign currency translations are recorded in “Accumulated other comprehensive loss” in the accompanying consolidated balance sheets. Foreign currency transaction gains and losses are reported in “Other income (expense), net” in the accompanying consolidated statements of income. Income Taxes The Company recognizes deferred tax assets and liabilities for the future tax consequences attributable to temporary differences between the financial statements carrying amounts of existing assets and liabilities and their respective tax bases. A valuation allowance is provided when it is more likely than not that some portion or all of a deferred tax asset will not be realized. The ultimate realization of deferred tax assets depends on the generation of future taxable income during the period in which related temporary differences become deductible. The Company considers the scheduled reversal of deferred tax liabilities, projected future taxable income and tax planning strategies in its assessment of a valuation allowance. Deferred tax assets and liabilities are measured using the enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date of such change. The Company uses a two-step approach for recognizing and measuring tax benefits taken or expected to be taken in a tax return. The Company determines whether it is more-likely-than-not that a tax position will be sustained upon examination, including resolution of any related appeals or litigation processes, based on the technical merits of the position. In evaluating whether a tax position has met the more-likely-than-not recognition threshold, the Company presumes that the position will be examined by the appropriate taxing authority that has full knowledge of all relevant information. Tax positions that meet the more-likely-than-not recognition threshold are measured to determine the amount of tax benefit to recognize in the financial statements. The tax position is measured at the largest amount of benefit that is greater than 50 The Company classifies interest and penalties on income taxes as a component of income tax expense. IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) On August 1, 2021, the Company adopted ASU No. 2019-12, Income Taxes (Topic 740) Simplifying the Accounting for Income Taxes, Contingencies The Company accrues for loss contingencies when both (a) information available prior to issuance of the financial statements indicates that it is probable that a liability had been incurred at the date of the financial statements and (b) the amount of loss can reasonably be estimated. When the Company accrues for loss contingencies and the reasonable estimate of the loss is within a range, the Company records its best estimate within the range. When no amount within the range is a better estimate than any other amount, the Company accrues the minimum amount in the range. The Company discloses an estimated possible loss or a range of loss when it is at least reasonably possible that a loss may have been incurred. Earnings Per Share Basic earnings per share is computed by dividing net income attributable to all classes of common stockholders of the Company by the weighted average number of shares of all classes of common stock outstanding during the applicable period. Diluted earnings per share is determined in the same manner as basic earnings per share, except that the number of shares is increased to include restricted stock still subject to risk of forfeiture and to assume exercise of potentially dilutive stock options using the treasury stock method, unless the effect of such increase is anti-dilutive. The weighted-average number of shares used in the calculation of basic and diluted earnings per share attributable to the Company’s common stockholders consists of the following: Schedule of Weighted-average Number of Shares Used in the Calculation of Basic and Diluted Earnings Per Share Year ended July 31 (in thousands) 2021 2020 Basic weighted-average number of shares 25,495 26,278 Effect of dilutive securities: Stock options 229 1 Non-vested restricted Class B common stock 329 162 Diluted weighted-average number of shares 26,053 26,441 The following outstanding stock options were excluded from the calculation of diluted earnings per share because the exercise prices of the stock options were greater than the average market price of the Company’s stock during the period: Schedule of Outstanding Stock Options Excluded from the Calculation of Diluted Earnings Per Share Year ended July 31 (in thousands) 2021 2020 Shares excluded from the calculation of diluted earnings per share 535 1,138 Stock-Based Compensation The Company recognizes compensation expense for its grants of stock-based awards based on the estimated fair value on the grant date. Compensation cost for awards is recognized using the straight-line method over the vesting period. Stock-based compensation is included in selling, general and administrative expense. Vulnerability Due to Certain Concentrations Financial instruments that potentially subject the Company to concentration of credit risk consist principally of cash, cash equivalents, restricted cash and cash equivalents, debt securities, equity investments, and trade accounts receivable. The Company holds cash and cash equivalents at several major financial institutions, which often exceed FDIC insurance limits. Historically, the Company has not experienced any losses due to such concentration of credit risk. The Company’s temporary cash investments policy is to limit the dollar amount of investments with any one financial institution and monitor the credit ratings of those institutions. While the Company may be exposed to credit losses due to the nonperformance of the holders of its deposits, the Company does not expect the settlement of these transactions to have a material effect on its results of operations, cash flows, or financial condition. IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) Concentration of credit risk with respect to trade accounts receivable is limited due to the large number of customers in various geographic regions and industry segments comprising the Company’s customer base. No single customer accounted for more than 10% of consolidated revenues in fiscal 2021 or fiscal 2020. However, the Company’s five largest customers collectively accounted for 14.5% and 12.7% of its consolidated revenues in fiscal 2021 and fiscal 2020, respectively. The Company’s customers with the five largest receivable balances collectively accounted for 9.7% and 13.8% of the consolidated gross trade accounts receivable at July 31, 2021 and 2020, respectively. This concentration of customers increases the Company’s risk associated with nonpayment by those customers. In an effort to reduce such risk, the Company performs ongoing credit evaluations of its significant customers. In addition, the Company attempts to mitigate the credit risk related to specific Carrier Services customers by also buying services from the customer, in order to create an opportunity to offset its payables and receivables and reduce its net trade receivable exposure risk. When it is practical to do so, the Company will increase its purchases from Carrier Services customers with receivable balances that exceed the Company’s applicable payables in order to maximize the offset and reduce its credit risk. Allowance for Doubtful Accounts The Company estimates the balance of its allowance for doubtful accounts by analyzing accounts receivable balances by age and applying historical write-off and collection trend rates. The Company’s estimates include separately providing for customer receivables based on specific circumstances and credit conditions, and when it is deemed probable that the balance is uncollectible. Account balances are written off against the allowance when it is determined that the receivable will not be recovered. The change in the allowance for doubtful accounts is as follows: Schedule Of Changes In Allowance For Doubtful Accounts Year ended July 31 (in thousands) Balance at beginning of year Additions charged to costs and expenses Deductions (1) Balance at end of year 2021 Reserves deducted from accounts receivable: Allowance for doubtful accounts $ 6,085 $ 1,782 $ (3,429 ) $ 4,438 2020 Reserves deducted from accounts receivable: Allowance for doubtful accounts $ 5,444 $ 3,109 $ (2,468 ) $ 6,085 (1) Primarily uncollectible accounts written off, net of recoveries. Fair Value Measurements Fair value of financial and non-financial assets and liabilities is defined as an exit price, which is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The three-tier hierarchy for inputs used to measure fair value, which prioritizes the inputs to valuation techniques used to measure fair value, is as follows: Level 1– quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2– quoted prices for similar assets and liabilities in active markets or inputs that are observable for the asset or liability, either directly or indirectly through market corroboration, for substantially the full term of the financial instrument. Level 3– unobservable inputs based on the Company’s assumptions used to measure assets and liabilities at fair value. A financial asset or liability’s classification within the hierarchy is determined based on the lowest level input that is significant to the fair value measurement. The assessment of the significance of a particular input to the fair value measurement requires judgment and may affect the valuation of the assets and liabilities being measured and their placement within the fair value hierarchy. Leases On August 1, 2019, the Company adopted ASU No. 2016-02, Leases (Topic 842) IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) The Company elected to apply the optional ASC 842 transition provisions beginning on August 1, 2019. Accordingly, the Company continued to apply Topic 840 prior to August 1, 2019. The Company elected the package of practical expedients for all its leases that commenced before August 1, 2019. In addition, the Company elected not to apply the recognition requirements of ASC 842 for its short-term leases. As the Company’s leases do not provide an implicit rate, nor is one readily available, the Company used its incremental borrowing rate based on information available at August 1, 2019 to determine the present value of its future minimum rental payments. Recently Issued Accounting Standard Not Yet Adopted In June 2016, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2016-13, Financial Instruments—Credit Losses (Topic 326) Measurement of Credit Losses on Financial Instruments, |
Business Segment Information
Business Segment Information | 12 Months Ended |
Jul. 31, 2021 | |
Segment Reporting [Abstract] | |
Business Segment Information | Note 2— Business Segment Information As of August 1, 2020, the Company revised its reportable business segments to reflect the growth of its financial technology and cloud communications businesses and their increased contributions to the Company’s consolidated results. The Company’s three reportable business segments, Fintech, net2phone-UCaaS, and Traditional Communications, reflect management’s approach to analyzing results, its resource allocation strategy, and its assessment of business performance. Comparative segment information has been reclassified and restated in all periods to conform to the current period presentation. The Company’s reportable segments are distinguished by types of service, customers, and methods used to provide their services. The operating results of these business segments are regularly reviewed by the Company’s chief operating decision maker. The accounting policies of the segments are the same as the accounting policies of the Company as a whole. There are no significant asymmetrical allocations to segments. The Company evaluates the performance of its business segments based primarily on income (loss) from operations. The Fintech segment comprises BOSS Revolution Money Transfer, a provider of international money remittance and related value/payment transfer services, and National Retail Solutions (“NRS”), operator of a nationwide point of sale (“POS”) network providing payment processing, digital advertising, transaction data, and ancillary services. BOSS Revolution Money Transfer and NRS were previously included in the Company’s Telecom & Payment Services segment. The net2phone-UCaaS segment comprises net2phone’s cloud communications offerings, which were previously included in the Company’s net2phone segment. The Traditional Communications segment includes Mobile Top-Up, which enables customers to transfer airtime and bundles of airtime, messaging, and data to international and domestic mobile accounts, BOSS Revolution Calling, an international long-distance calling service marketed primarily to immigrant communities in the United States and Canada, and Carrier Services, a wholesale provider of international voice and SMS termination and outsourced traffic management solutions to telecoms worldwide. Traditional Communications also includes net2phone-Platform Services, which provides telephony services to cable operators and other offerings that leverage a common technology platform, as well as smaller communications and payments offerings, many in harvest mode. Most of the Traditional Communications segment was previously included in the Company’s Telecom & Payment Services segment except for net2phone-Platform Services, which was previously included in the Company’s net2phone segment. Corporate costs include compensation, consulting fees, treasury, tax and accounting services, human resources, corporate purchasing, corporate governance including Board of Directors’ fees, internal and external audit, investor relations, corporate insurance, corporate legal, business development, charitable contributions, travel, and other corporate-related general and administrative expenses. Corporate does not generate any revenues, nor does it incur any direct cost of revenues. IDT CORPORATION Operating results for the business segments of the Company were as follows: Schedule of Operating Results of Business Segments (in thousands) Fintech net2phone-UCaaS Traditional Communications Corporate Total Year ended July 31, 2021 Revenues $ 74,343 $ 43,897 $ 1,328,750 $ — $ 1,446,990 (Loss) income from operations (1,462 ) (14,272 ) 80,117 (7,393 ) 56,990 Depreciation and amortization (1,751 ) (5,007 ) (10,930 ) (76 ) (17,764 ) Year ended July 31, 2020 Revenues $ 59,924 $ 31,781 $ 1,254,064 $ — $ 1,345,769 Income (loss) from operations 3,381 (15,080 ) 39,300 (9,659 ) 17,942 Depreciation and amortization (1,524 ) (4,073 ) (14,763 ) (46 ) (20,406 ) Total assets for the reportable segments are not provided because a significant portion of the Company’s assets are servicing multiple segments and the Company does not track such assets separately by segment. Geographic Information Net long-lived assets and total assets held outside of the United States, which are located primarily in Western Europe, were as follows: Schedule of Net Long-lived Assets and Total Assets by Geographic Areas (in thousands) United States Foreign Countries Total July 31, 2021 Long-lived assets, net $ 19,562 $ 11,267 $ 30,829 Total assets 230,126 282,529 512,655 July 31, 2020 Long-lived assets, net $ 18,834 $ 11,227 $ 30,061 Total assets 102,176 302,574 404,750 |
Revenue Recognition
Revenue Recognition | 12 Months Ended |
Jul. 31, 2021 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Recognition | Note 3— Revenue Recognition Contracts with Customers The Company earns revenue from contracts with customers, primarily through the provision of retail telecommunications and payment offerings as well as wholesale international voice and SMS termination. BOSS Revolution Money Transfer, NRS, and net2phone-UCaaS are technology-driven, synergistic businesses that leverage the Company’s core assets, and revenue is primarily recognized at a point in time, and in some cases (mainly net2phone-UCaaS) is recognized over time. Traditional Communications are mostly minute-based, paid-voice communications services, and revenue is primarily recognized at a point in time. The Company’s most significant revenue streams are from Mobile Top-Up, BOSS Revolution Calling, and Carrier Services. Mobile Top-Up and BOSS Revolution Calling are sold direct-to-consumers and through distributors and retailers. Mobile Top-Up Mobile Top-Up is sold direct-to-consumers and through distributors and retailers in the same manner as BOSS Revolution Calling. The Company does not terminate the minutes in its Mobile Top-Up transactions. The Company’s performance obligation is to recharge (top-up) the airtime balance of a mobile account on behalf of the Company’s customer. The Company has contracts with various mobile operators or aggregators to provide the Mobile Top-Up service. The Company determined that it is the principal in primarily all its Mobile Top-Up transactions as the Company controls the service to top-up a mobile account on behalf of the Company’s customer. However, for the portion of its Mobile Top-Up business where the Company has no customer service responsibilities, no inventory risk, and does not establish the price, the Company determined that, as the Company is not considered to control the arrangement, it acts as an agent of the mobile operators. The Company records gross revenues based on the amount billed to the customer when it is the principal in the arrangement and records revenue net of the associated costs incurred when it acts as an agent in the arrangement. The performance obligation is satisfied, and revenue is recognized when the recharge of the mobile account occurs. Accordingly, transfer of control happens at the point in time that the airtime is recharged, which is when the Company has a right to payment and the customer has accepted the service. IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) BOSS Revolution Calling direct-to-consumers BOSS Revolution Calling direct-to-consumers is offered on a pay-as-you-go basis or in unlimited plans. The customer prepays for service in both cases, which results in a contract liability (deferred revenue). The contract term for pay-as-you-go plans is minute-to-minute that includes separate performance obligations for the series of material rights to renew the contract. The performance obligation is satisfied immediately after it arises, and the amount of consideration is known when the obligation is satisfied. Since the Company’s satisfaction of its performance obligation and the customer’s use of the service occur simultaneously, the Company recognizes revenue at the point in time when minutes are utilized, since the customer obtained control and the Company has a present right to payment. For unlimited plans, the Company has a stand ready obligation to provide service over time for an agreed upon term. Unlimited plans include fixed consideration over the term. Plan fees for unlimited plans are generally refundable up to three days after payment if there was no usage. Since the Company’s satisfaction of its performance obligation and the customer’s use of the service occur over the term, the Company recognizes revenue over a period of time as the service is rendered. The Company uses an output method as time elapses because it reflects the pattern by which the Company satisfies its performance obligation through the transfer of service to the customer. The fixed upfront consideration is recognized evenly over the service period, which is generally 24 hours, 7 days, or one month. BOSS Revolution Calling sold through distributors and retailers BOSS Revolution Calling sold through distributors and retailers is the same service as BOSS Revolution Calling direct-to-consumers. The Company sells capacity to international calling minutes to retailers, or to distributors who resell to retailers. The retailer or distributor is the Company’s customer in these transactions. The Company’s sales price to retailers and distributors, net of discounts, is less than the end user rate for BOSS Revolution Calling minutes. The customer or the Company may terminate their agreement at any time upon thirty days written notice without penalty. Retailers may sell BOSS Revolution Calling on a pay-as-you-go basis or in unlimited plans. As described above, for pay-as-you-go, the Company recognizes revenue at the point in time when minutes are utilized, and for unlimited plans, the Company recognizes revenue over a period of time as the service is rendered. Retailers and distributors also receive initial commissions upon sale to end users, and renewal commissions when certain end users subsequently purchase minutes directly from the Company. Initial and renewal commission payments are accounted for as a reduction of the transaction price over time as the end user uses the service. Carrier Services Carrier Services are offered to both postpaid and prepaid customers. Postpaid customers are billed in arrears and typically consist of credit-worthy companies such as Tier 1 carriers and mobile network operators. Prepaid customers are typically smaller communications companies and independent call aggregators. There is no performance obligation until the transport and termination of international long-distance calls commences. The initial contract durations range from six months to one year with successive extensions. During the initial term, the contract can only be terminated in certain instances (such as bankruptcy of either party, damage to the other party’s network, fraud, or breach of contract). However, no penalties are applied if the agreement is terminated in the initial term. After the initial term has expired, either party may terminate the agreement with notice of 30 days to 60 days depending on the agreement. The term of the contract is essentially minute-to-minute as there is no penalty for an early termination and no obligation to send traffic. Each iteration is a separate optional purchase that is occurring over the contract duration (that is, minute-by-minute). The satisfaction of the performance obligation is occurring at a point in time (as the minutes are transferred) because the provision of the service and the satisfaction of the performance obligation are essentially occurring simultaneously. Revenue is recognized at the point in time upon delivery of the service. The Company has not generally entered into contracts that have retroactive pricing features. Additionally, as the performance obligations are considered minute-by-minute obligations in the original contract, any modification of the original contract that leads to a conclusion that there is a new contract would not result in any adjustment related to the original contract’s consideration. The Company provides discounts to its larger customers based on the expectation of a significant volume of minutes that are consistent with that class of customer in the wholesale carrier market. The discounts do not provide a material right to the customer because the customer receives the same pricing for all usage under the contract. Carrier Services’ contracts may include tiered pricing based on minute volumes. The Company determined that its retroactive tiered pricing should be accounted for as variable consideration because the final transaction price is unknown until the customer completes or fails to complete the specified threshold. Currently, contracts with retroactive tiered pricing are not material. The Company estimates the amount of variable consideration to include in the transaction price only to the extent that it is probable that a subsequent change in the estimate would not result in a significant revenue reversal. IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) The Company enters into Notification of Reciprocal Transmission (“NORT”) transactions, in which the Company commits to purchase a specific number of wholesale carrier minutes to other specific destinations at specified rates, and the counterparty commits to purchase from the Company a specific number of minutes to specific destinations at specified rates. The number of minutes purchased and sold is not necessarily the same. The rates in these reciprocal transactions are generally not at prevailing market rates, and the amounts paid to the counterparty in excess of market rates are reflected as a reduction in revenue received from the customer. In addition, the Company enters into transactions in which it swaps minutes with another carrier. The Company recognizes revenue and the related direct cost of revenue for these reciprocal and swap transactions based on the fair value of the minutes. Carrier Services’ NORT contracts include the promise of minimum guaranteed amounts of traffic. The performance obligation represents a stand ready obligation to provide the specified number of minutes over the contractual term. The initial terms of NORT contracts generally range from one month to six months. Since the Company’s satisfaction of its performance obligation of routing calls to their destination includes a minimum guaranteed amount of traffic, the Company recognizes revenue over a period of time as the service is rendered. The customer simultaneously receives and consumes the benefits provided by the Company’s performance as the Company performs. The Company uses an output method as the usage of minutes occur because it reflects the pattern by which the Company satisfies its performance obligation through the transfer of service to the customer. Disaggregated Revenues The following table shows the Company’s revenues disaggregated by business segment and service offered to customers: Schedule of Revenues Disaggregated by Business Segment and Service Offered to Customers Year ended July 31 (in thousands) 2021 2020 BOSS Revolution Money Transfer $ 49,595 $ 47,944 National Retail Solutions 24,748 11,980 Total Fintech 74,343 59,924 net2phone-UCaaS 43,897 31,781 Mobile Top-Up 461,603 334,424 BOSS Revolution Calling 455,244 468,255 Carrier Services 360,997 394,334 Other 50,906 57,051 Total Traditional Communications 1,328,750 1,254,064 TOTAL $ 1,446,990 $ 1,345,769 The following table shows the Company’s revenues disaggregated by geographic region, which is determined based on selling location. On July 31, 2020, the Company restructured certain operations for tax purposes resulting in the change of geographic sourcing of revenues from the Netherlands to the United States, and on February 1, 2021, geographic sourcing was changed from the United States to the United Kingdom. IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) Schedule of Revenues Disaggregated by Geographic Region (in thousands) Fintech net2phone-UCaaS Traditional Communications Total Year ended July 31, 2021 United States $ 74,343 $ 23,071 $ 1,030,963 $ 1,128,377 Outside the United States: United Kingdom — — 244,626 244,626 Netherlands — — 28 28 Other — 20,826 53,133 73,959 Total outside the United States — 20,826 297,787 318,613 TOTAL $ 74,343 $ 43,897 $ 1,328,750 $ 1,446,990 Year ended July 31, 2020 United States $ 59,924 $ 15,490 $ 847,450 $ 922,864 Outside the United States: United Kingdom — 12 134,339 134,351 Netherlands — — 210,743 210,743 Other — 16,279 61,532 77,811 Total outside the United States — 16,291 406,614 422,905 TOTAL $ 59,924 $ 31,781 $ 1,254,064 $ 1,345,769 Remaining Performance Obligations The Company does not have any significant revenue from performance obligations satisfied or partially satisfied in previous reporting periods. The Company’s remaining performance obligations at July 31, 2021 and 2020 had an original expected duration of one year or less. Accounts Receivable and Contract Balances The timing of revenue recognition may differ from the time of billing to the Company’s customers. Trade accounts receivable in the Company’s consolidated balance sheets represent unconditional rights to consideration. An entity records a contract asset when revenue is recognized in advance of the entity’s right to bill and receive consideration. The Company has not identified any contract assets. Contract liabilities arise when the Company receives consideration or bills its customers prior to providing the goods or services promised in the contract. The Company’s contract liability balance is primarily payments received for prepaid BOSS Revolution Calling. Contract liabilities are recognized as revenue when services are provided to the customer. The Company estimates its expected breakage revenue by revenue stream recorded each month, based on inputs and assumptions about usage of the deferred revenue balances. The Company used its historical deferred revenue usage data by revenue stream to calculate the percentage of deferred revenue by month that will become breakage. The historical data indicated that customers utilize a very high percentage of minutes purchased in the first three months. The Company reviews its estimates quarterly based on updated data and adjusts the monthly estimates accordingly. The contract liability balances are presented in the Company’s consolidated balance sheets as “Deferred revenue”. The Company’s revenue recognized in fiscal 2021 and fiscal 2020 from amounts included in the contract liability balance at the beginning of the period was $ 28.7 million and $ 32.3 million, respectively. Deferred Customer Contract Acquisition and Fulfillment Costs The Company recognizes as an asset its incremental costs of obtaining a contract with a customer that it expects to recover. The Company charges its direct costs to fulfill contracts to expense as incurred. The Company’s incremental costs of obtaining a contract with a customer are sales commissions paid to acquire customers. The Company applies the practical expedient whereby the Company primarily charges these costs to expense when incurred because the amortization period would be one year or less for the asset that would have been recognized from deferring these costs. For net2phone-UCaaS sales, employees and third parties receive commissions on sales to end users. The Company amortizes the deferred costs over the expected customer relationship period when it is expected to exceed one year. IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) The Company’s deferred customer contract acquisition costs were as follows: Schedule of Deferred Customer Contract Acquisition Costs July 31 (in thousands) 2021 2020 Deferred customer contract acquisition costs included in “Other current assets” $ 3,460 $ 2,350 Deferred customer contract acquisition costs included in “Other assets” 3,151 2,384 TOTAL $ 6,611 $ 4,734 In fiscal 2021 and fiscal 2020, the Company’s amortization of deferred customer contract acquisition costs was $ 3.6 million and $ 2.4 million, respectively. |
Leases
Leases | 12 Months Ended |
Jul. 31, 2021 | |
Leases | |
Leases | Note 4— Leases The Company’s leases primarily consist of operating leases for office space. These leases have remaining terms from one to four years The adoption of ASC 842 resulted in the recognition of operating lease liabilities of $ 12.4 net2phone-UCaaS is the lessee in equipment leases that were classified as capital leases under Topic 840 and are finance leases under ASC 842. The assets and liabilities related to these finance leases are not material to the Company’s consolidated balance sheets. The Company leases office and parking space from Rafael Holdings, Inc. (“Rafael”) in a building and parking garage located at 520 Broad St, Newark, New Jersey. The Company also leases office space in Israel from Rafael. Howard S. Jonas, the Chairman of the Company’s Board of Directors, is also the Chairman of the Board of Directors of Rafael. The Newark lease expires in April 2025 and the Israel lease expires in July 2025. In both fiscal 2021 and fiscal 2020, the Company incurred lease costs of $ 1.9 million in connection with the Rafael leases, which is included in operating lease cost in the table below. Supplemental disclosures related to the Company’s operating leases were as follows: Schedule of Supplemental Disclosures Related to the Company's Operating Leases Year ended July 31 2021 2020 Operating lease cost $ 2,824 $ 2,832 Short-term lease cost 620 246 TOTAL LEASE COST $ 3,444 $ 3,078 Cash paid for amounts included in the measurement of lease liabilities: $ 2,779 $ 2,745 Schedule of Supplemental Disclosures Related Weighted Average Operating Leases July 31 2021 2020 Weighted-average remaining lease term-operating leases 3.4 years 4.2 Weighted-average discount rate-operating leases 2.9 % 3.12 % On September 1, 2020, the Company entered into a new lease with an aggregate operating lease liability of $ 0.6 Schedule of Aggregate Operating Lease Liability July 31 (in thousands) 2021 2020 Operating lease liabilities included in “Other current liabilities” $ 2,456 $ 2,350 Operating lease liabilities included in noncurrent liabilities 5,473 7,353 TOTAL $ 7,929 $ 9,703 IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) Future minimum maturities of operating lease liabilities were as follows: Schedule of Future Minimum Maturities of Operating Lease Liabilities (in thousands) Year ending July 31: 2022 $ 2,656 2023 2,432 2024 1,844 2025 1,423 2026 — Thereafter — Total lease payments 8,355 Less imputed interest (426 ) Total operating lease liabilities $ 7,929 |
Cash, Cash Equivalents, and Res
Cash, Cash Equivalents, and Restricted Cash and Cash Equivalents | 12 Months Ended |
Jul. 31, 2021 | |
Cash and Cash Equivalents [Abstract] | |
Cash, Cash Equivalents, and Restricted Cash and Cash Equivalents | Note 5— Cash, Cash Equivalents, and Restricted Cash and Cash Equivalents The following table provides a reconciliation of cash, cash equivalents, and restricted cash and cash equivalents reported in the consolidated balance sheets that equals the total of the same amounts reported in the consolidated statements of cash flows: Schedule of Cash, Cash Equivalents, and Restricted Cash and Cash Equivalents July 31 2021 2020 Cash and cash equivalents $ 107,147 $ 84,860 Restricted cash and cash equivalents 119,769 116,362 TOTAL CASH, CASH EQUIVALENTS, AND RESTRICTED CASH AND CASH EQUIVALENTS $ 226,916 $ 201,222 At July 31, 2021 and 2020, restricted cash and cash equivalents included $ 115.8 million and $ 116.3 million, respectively, in restricted cash and cash equivalents for customer deposits held by IDT Financial Services Limited, the Company’s Gibraltar-based bank. Company Restricted Cash and Cash Equivalents The Company treats unrestricted cash and cash equivalents held by IDT Payment Services, which provides the Company’s international money transfer services in the United States, as substantially restricted and unavailable for other purposes. At July 31, 2021 and 2020, “Cash and cash equivalents” in the Company’s consolidated balance sheets included an aggregate of $ 15.3 million and $ 11.0 million, respectively, held by IDT Payment Services that was unavailable for other purposes. |
Acquisitions
Acquisitions | 12 Months Ended |
Jul. 31, 2021 | |
Acquisitions | |
Acquisitions | Note 6— Acquisitions Mobile Top-Up Provider On December 3, 2020, the Company’s subsidiary IDT International Telecom, Inc. (“IDTIT”) acquired 51 IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) The acquisition date fair value of the consideration consisted of the following (in thousands): Schedule of Acquisition Date Fair Value of Consideration (in thousands) Dec 3, 2020 Cash paid $ 2,732 Cash acquired (344 ) Cash paid, net of cash acquired 2,388 Contingent consideration 393 Total fair value of consideration, net of cash acquired $ 2,781 The contingent consideration of $ 0.5 The impact of the acquisition’s purchase price allocations on the Company’s consolidated balance sheet was as follows: Schedule of Impact of Acquisition's Purchase Price Allocations on Consolidated Balance Sheet (in thousands) Dec 3, 2020 Trade accounts receivable $ 656 Prepaid expenses 1,644 Property, plant, and equipment 75 Goodwill 2,025 Customer relationships ( 15 1,960 Tradenames ( 20 440 Deferred income tax assets 197 Other assets 30 Trade accounts payable (1,306 ) Accrued expenses (423 ) Other current liabilities (329 ) Non-compete agreement Other liabilities Noncontrolling interests (2,188 ) Net assets acquired excluding cash $ 2,781 The goodwill was assigned to the Traditional Communications segment and was attributable primarily to the assembled workforces and the expected synergies from the business combination. The goodwill is not expected to be deductible for income tax purposes. Pursuant to a Put/Call Option Agreement related to the 5 0.3 0.2 21,000 On June 15, 2021, IDTIT purchased 19 1.0 0.3 0.2 1.0 0.3 0.2 The Company’s pro forma results of operations as if the acquisition occurred on August 1, 2019 were not materially different from the actual results of operations. Ringsouth Europa, S.L. On December 11, 2019, the Company’s subsidiary, net2phone, Inc. acquired 100 IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) The acquisition date fair value of the consideration consisted of the following: Schedule of Acquisition Date Fair Value of Consideration (in thousands) Dec 11, 2019 Cash paid $ 450 Contingent consideration 375 Total fair value of consideration $ 825 The contingent consideration includes two potential payments to the seller of $0.4 million each, based on monthly recurring revenue targets to be achieved over a 36-month period and 48-month period. The impact of the acquisition’s purchase price allocations on the Company’s consolidated balance sheet was as follows: Schedule of Impact of Acquisition's Purchase Price Allocations on Consolidated Balance Sheet (in thousands) Dec 11, 2019 Trade accounts receivable $ 142 Other current assets 21 Property, plant, and equipment 84 Goodwill 1,437 Non-compete agreement ( 4 50 Customer relationships ( 7 130 Tradename ( 2 30 Deferred income tax assets 118 Other assets 10 Trade accounts payable (302 ) Accrued expenses (136 ) Other current liabilities (408 ) Other liabilities (351 ) Net assets acquired $ 825 The goodwill was assigned to the net2phone-UCaaS segment and was attributable primarily to Ringsouth’s assembled workforce and expected synergies from the business combination. The goodwill is expected to be deductible for income tax purposes. The Company’s pro forma results of operations as if the Ringsouth acquisition occurred on August 1, 2019 were not materially different from the actual results of operations. IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) |
Debt Securities
Debt Securities | 12 Months Ended |
Jul. 31, 2021 | |
Investments, Debt and Equity Securities [Abstract] | |
Debt Securities | Note 7— Debt Securities The following is a summary of available-for-sale debt securities: Schedule of Available-for-sale Securities (in thousands) Amortized Gross Gross Fair Value July 31, 2021 Certificates of deposit* $ 1,200 $ 3 $ — $ 1,203 U.S. Treasury bills and notes 1,669 — (17 ) 1,652 Corporate bonds 6,327 38 (33 ) 6,332 Municipal bonds 4,825 — — 4,825 TOTAL $ 14,021 $ 41 $ (50 ) $ 14,012 July 31, 2020 Certificates of deposit* $ 13,844 $ 58 $ — $ 13,902 U.S. Treasury bills 2,498 — — 2,498 Municipal bonds 1,979 — (16 ) 1,963 TOTAL $ 18,321 $ 58 $ (16 ) $ 18,363 * Each of the Company’s certificates of deposit has a CUSIP, was purchased in the secondary market through a broker and may be sold in the secondary market. Proceeds from maturities and sales of debt securities and redemptions of equity investments were $ 26.2 million and $ 6.5 million in fiscal 2021 and fiscal 2020, respectively. There were no realized gains or realized losses from sales of debt securities in fiscal 2021 and fiscal 2020. The contractual maturities of the Company’s available-for-sale debt securities at July 31, 2021 were as follows: Schedule of Contractual Maturities of Available-for-sale Debt Securities (in thousands) Fair Value Within one year $ 2,489 After one year through five years 7,463 After five years through ten years 3,771 After ten years 289 TOTAL $ 14,012 The following available-for-sale debt securities were in an unrealized loss position for which other-than-temporary impairments were not recognized: Schedule of Available-for-sale Securities, Unrealized Loss Position (in thousands) Unrealized Fair July 31, 2021 U.S. Treasury bills and notes $ 17 $ 1,652 Corporate bonds 33 3,293 TOTAL $ 50 $ 4,945 July 31, 2020 Municipal bonds $ 16 $ 1,963 At July 31, 2021 and 2020, there were no securities in a continuous unrealized loss position for 12 months or longer. IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) |
Equity Investments
Equity Investments | 12 Months Ended |
Jul. 31, 2021 | |
Equity Investments | |
Equity Investments | Note 8— Equity Investments Equity investments consist of the following: Schedule of Equity Investments July 31 2021 2020 Zedge, Inc. Class B common stock, 42,282 $ 649 $ 59 Rafael Holdings, Inc. Class B common stock, 246,565 27,806 12,479 389 Rafael Holdings, Inc. restricted Class B common stock, 43,649 nil 2,209 — Other marketable equity securities 3,630 — Fixed income mutual funds 23,467 5,516 Current equity investments $ 42,434 $ 5,964 Visa Inc. Series C Convertible Participating Preferred Stock (“Visa Series C Preferred”) $ 2,465 $ 3,825 Series B convertible preferred stock—equity method investment 2,901 — Hedge funds 3,563 4,783 Other 2,725 225 Noncurrent equity investments $ 11,654 $ 8,833 The Company received the Zedge Inc. (“Zedge”) Class B common shares and 28,320 On December 7, 2020, the Company purchased from Rafael 218,245 43,649 22.91 5.0 4.6 0.4 22.91 43,649 1.0 261,894 218,245 43,649 In June 2016, upon the acquisition of Visa Europe Limited by Visa, Inc. (“Visa”), IDT Financial Services Limited received 1,830 shares of Visa Series C Preferred among other consideration. At July 31, 2020, each share of Visa Series C Preferred was convertible into 13.722 shares of Visa Class A common stock (the “Conversion Adjustment), subject to certain conditions, and will be convertible at the holder’s option beginning in June 2028. On September 24, 2020, in connection with Visa’s first mandatory release assessment, the Company received 125 shares of Visa Inc. Series A Convertible Participating Preferred Stock (“Visa Series A Preferred”) and the Conversion Adjustment for Visa Series C Preferred was reduced to 6.861 . In June 2021, the 125 shares of Visa Series A Preferred were converted into 12,500 shares of Visa Class A common stock, which the Company sold for $ 2.9 IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) The changes in the carrying value of the Company’s equity investments without readily determinable fair values for which the Company elected the measurement alternative was as follows: Schedule of Carrying Value of Equity Investments Year ended July 31 2021 2020 Balance, beginning of period $ 4,109 $ 3,919 Redemption for Visa mandatory release assessment (1,870 ) — Adjustment for observable transactions involving a similar investment from the same issuer 510 206 Upward adjustments — 3 Redemptions (6 ) (19 ) Impairments — — BALANCE, END OF PERIOD $ 2,743 $ 4,109 The Company increased the carrying value of the shares of Visa Series C Preferred it held by $ 0.5 million and $ 0.2 million in fiscal 2021 and fiscal 2020, respectively, based on the fair value of Visa Class A common stock and a discount for lack of current marketability. Unrealized gains and losses for all equity investments included the following: Schedule of Unrealized (losses) Gains for All Equity Investments Year ended July 31 2021 2020 Net gains (losses) recognized during the period on equity investments $ 8,830 $ (336 ) Less: net gains recognized during the period on equity investments redeemed during the period 1,090 — Unrealized gains (losses) recognized during the period on equity investments still held at the reporting date $ 7,740 $ (336 ) Equity Method Investment On February 2, 2021, the Company paid $ 4.0 23.95 The following table summarizes the change in the balance of the Company’s equity method investment: Summary of Changes in Equity Method Investments Year ended July 31 2021 2020 Balance, beginning of period $ — $ — Purchase of series B convertible preferred stock 4,000 — Equity in the net loss of investee (816 ) — Amortization of equity method basis difference (283 ) — BALANCE, END OF PERIOD $ 2,901 $ — The Company determined that on the date of the acquisition, there was a difference of $ 3.4 million between its investment in the EMI and its proportional interest in the equity of the EMI, which represented the Company’s share of the EMI’s customer list on the date of acquisition. This basis difference is being amortized over the 6-year estimated life of the customer list. In the accompanying consolidated statements of income, amortization of equity method basis difference is included in the equity in the net loss of investee, which is recorded in “Other income (expense), net” (see Note 17). IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) Summarized financial information of the EMI was as follows: Summary of Statements of Operations July 31, 2021 Current assets $ 1,467 Noncurrent assets $ 2,549 Current liabilities $ (4,041 ) Noncurrent liabilities $ (50 ) From the date of acquisition to July 31, 2021 (in thousands) REVENUES $ 1,898 COSTS AND EXPENSES: Direct cost of revenues 1,937 Selling, general and administrative 3,388 TOTAL COSTS AND EXPENSES 5,325 LOSS FROM OPERATIONS (3,427 ) Other income, net 101 NET LOSS $ (3,326 ) On August 10, 2021, the Company paid $ 1.1 26.57 |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Jul. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Note 9— Fair Value Measurements The following table presents the balance of assets and liabilities measured at fair value on a recurring basis: Schedule of Balance of Assets Measured at Fair Value On a Recurring Basis (in thousands) Level 1 Level 2 Level 3 Total July 31, 2021 Debt securities $ 1,652 $ 12,360 $ — $ 14,012 Equity investments included in current assets 40,225 2,209 — 42,434 Equity investments included in noncurrent assets — — 2,465 2,465 TOTAL $ 41,877 $ 14,569 $ 2,465 $ 58,911 Contingent consideration included in: Other current liabilities (see Note 6) $ — $ — $ (628 ) $ (628 ) Other noncurrent liabilities (see Note 6) — — (397 ) (397 ) TOTAL $ — $ — $ (1,025 ) $ (1,025 ) July 31, 2020 Debt securities $ 2,498 $ 15,865 $ — $ 18,363 Equity investments included in current assets 5,964 — — 5,964 Equity investments included in noncurrent assets — — 3,825 3,825 TOTAL $ 8,462 $ 15,865 $ 3,825 $ 28,152 Contingent consideration included in other noncurrent liabilities (see Note 6) $ — $ — $ (396 ) $ (396 ) At July 31, 2021 and 2020, the Company had $ 3.6 million and $ 4.8 million, respectively, in investments in hedge funds, which were included in noncurrent “Equity investments” in the accompanying consolidated balance sheets. The Company’s investments in hedge funds were accounted for using the equity method, therefore they were not measured at fair value. IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) The following tables summarize the change in the balance of the Company’s assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3): Schedule of Assets Measured at Fair Value On a Recurring Basis Using Significant Unobservable Inputs (level 3) Year ended July 31, 2021 2020 Balance, beginning of period $ 3,825 $ 3,619 Purchase of Rafael Holdings, Inc. warrant 354 — Exercise of Rafael Holdings, Inc. warrant (380 ) — Redemption for Visa mandatory release assessment (1,870 ) — Total gains included in “Other income (expense), net” 536 206 BALANCE, END OF PERIOD $ 2,465 $ 3,825 Change in unrealized gains or losses for the period included in earnings for assets held at the end of the period $ — $ — The following tables summarize the change in the balance of the Company’s liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3): Schedule of Liabilities Measured at Fair Value On a Recurring Basis Using Significant Unobservable Inputs (level 3) Year ended July 31, 2021 2020 Balance, beginning of period $ 396 $ — Transfer into Level 3 from acquisitions (see Note 6) 628 375 Total losses included in “Foreign currency translation adjustments” 1 21 BALANCE, END OF PERIOD $ 1,025 $ 396 Change in unrealized gains or losses for the period included in earnings for liabilities at the end of the period $ — $ — Fair Value of Other Financial Instruments The estimated fair value of the Company’s other financial instruments was determined using available market information or other appropriate valuation methodologies. However, considerable judgment is required in interpreting these data to develop estimates of fair value. Consequently, the estimates are not necessarily indicative of the amounts that could be realized or would be paid in a current market exchange. Cash and cash equivalents, restricted cash and cash equivalents, other current assets, customer deposits, and other current liabilities. Other assets and other liabilities. |
Property, Plant, and Equipment
Property, Plant, and Equipment | 12 Months Ended |
Jul. 31, 2021 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant, and Equipment | Note 10— Property, Plant, and Equipment Property, plant, and equipment consist of the following: Schedule of Property, Plant and Equipment July 31 2021 2020 Equipment $ 50,039 $ 67,530 Computer software 141,978 130,565 Leasehold improvements 1,727 1,723 Furniture and fixtures 588 450 Property, plant and equipment, gross 194,332 200,268 Less accumulated depreciation and amortization (163,503 ) (170,207 ) Property, plant, and equipment, net $ 30,829 $ 30,061 The Company reduced gross property, plant, and equipment and accumulated depreciation and amortization by $ 23.9 16.9 Depreciation and amortization expense of property, plant, and equipment was $ 17.1 20.0 million in fiscal 2021 and fiscal 2020, respectively. Telephone equipment leased to customers included in “Equipment” in the table above was as follows: Schedule of Property, Plant and Equipment July 31 (in thousands) 2021 2020 Equipment $ 7,438 $ 4,563 Property, plant and equipment, gross $ 7,438 $ 4,563 Less accumulated depreciation (2,071 ) (1,021 ) Net $ 5,367 $ 3,542 Depreciation expense of telephone equipment leased to customers was $ 1.1 0.6 million in fiscal 2021 and fiscal 2020, respectively. IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) |
Goodwill
Goodwill | 12 Months Ended |
Jul. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill | Note 11— Goodwill The table below reconciles the change in the carrying amount of goodwill by operating segment for the period from July 31, 2019 to July 31, 2021: Schedule of Change in Carrying Amount of Goodwill by Operating Segment (in thousands) Traditional Communications net2phone-UCaaS Total Balance at July 31, 2019 $ 11,209 $ — $ 11,209 Acquisition — 1,437 1,437 Foreign currency translation adjustments 130 82 212 Balance at July 31, 2020 11,339 1,519 12,858 Acquisition 2,025 — 2,025 Foreign currency translation adjustments 10 4 14 Balance at July 31, 2021 $ 13,374 $ 1,523 $ 14,897 |
Other Intangible Assets
Other Intangible Assets | 12 Months Ended |
Jul. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Other Intangible Assets | Note 12— Other Intangible Assets The table below presents information on the Company’s amortized intangible assets: Schedule of Company's Amortized Intangible Assets (in thousands) Weighted Gross Accumulated Net July 31, 2021 Tradenames 13.0 $ 2,080 $ (506 ) $ 1,574 Non-compete agreements 4.9 680 (380 ) 300 Customer relationships 11.5 9,462 (3,758 ) 5,704 TOTAL 11.4 $ 12,222 $ (4,644 ) $ 7,578 July 31, 2020 Tradenames 16.5 $ 1,017 $ (392 ) $ 625 Non-compete agreements 4.9 636 (227 ) 409 Customer relationships 11.2 6,215 (3,290 ) 2,925 TOTAL 11.4 $ 7,868 $ (3,909 ) $ 3,959 Amortization expense of intangible assets was $ 0.7 million and $ 0.4 million in fiscal 2021 and fiscal 2020, respectively. The Company estimates that amortization expense of intangible assets with finite lives will be $ 0.9 million, $ 0.9 million, $ 0.7 million, $ 0.6 million, and $ 0.5 million in fiscal 2022, fiscal 2023, fiscal 2024, fiscal 2025, and fiscal 2026, respectively. |
Variable Interest Entity
Variable Interest Entity | 12 Months Ended |
Jul. 31, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Variable Interest Entity | Note 13— Variable Interest Entity As of May 31, 2021, the Company entered into a Warrant Purchase Agreement with the shareholders of an entity (the variable interest entity, or “VIE”) that operates money transfer businesses. The purchase price of the warrant was cash of $ 0.8 million and a contingent payment of $ 0.1 million. IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) The Company has various management rights and protective provisions pursuant to the Warrant Purchase Agreement . Primarily as a result of the Warrant Purchase Agreement, the Company can obtain 90 The Company determined that, effective May 31, 2021, it had the power to direct the activities of the VIE that most significantly impact its economic performance, and the Company has the obligation to absorb losses of and the right to receive benefits from the VIE that could potentially be significant to it. The Company therefore determined that it is the primary beneficiary of the VIE, and as a result, the Company consolidates the VIE. The Company does not currently own any interest in the VIE and thus the net income incurred by the VIE was attributed to noncontrolling interests in the accompanying statements of income. The VIE’s net income and aggregate funding provided by the Company to finance the VIE’s operations were as follows: Schedule of Net Income (loss) and Aggregate Funding Provided by the Company to VIE to Finance Its Operations or Repaid For the period from May 31, 2021 to July 31, 2021 Net income of the VIE $ 54 Aggregate funding provided by the Company, net $ (8 ) The VIE’s summarized consolidated balance sheet amounts are as follows: VIE’s Summarized Consolidated Balance Sheet (in thousands) May 31, 2021 July 31, 2021 ASSETS Cash and cash equivalents $ 1,249 $ 1,364 Restricted cash 2,087 3,848 Trade accounts receivable, net 80 91 Prepaid expenses 126 344 Other current assets 1,248 858 Property, plant, and equipment, net 637 637 Other intangibles, net 1,067 1,042 TOTAL ASSETS $ 6,494 $ 8,184 LIABILITIES AND NONCONTROLLING INTERESTS Trade accounts payable $ 22 $ 312 Accrued expenses 43 26 Other current liabilities 3,136 4,491 Due to the Company — 8 Accumulated other comprehensive loss (7) (7 ) Noncontrolling interests 3,300 3,354 TOTAL LIABILITIES AND NONCONTROLLING INTERESTS $ 6,494 $ 8,184 The VIE’s assets may only be used to settle the VIE’s obligations and may not be used for other consolidated entities. The VIE’s liabilities are non-recourse to the general credit of the Company’s other consolidated entities. |
Other Operating Gain (Expense),
Other Operating Gain (Expense), Net | 12 Months Ended |
Jul. 31, 2021 | |
Other Income and Expenses [Abstract] | |
Other Operating Gain (Expense), Net | Note 14— Other Operating Gain (Expense), Net The following table summarizes the other operating gain (expense), net by business segment: Schedule of Other Operating Gain (Expense), Net Year ended July 31 2021 2020 Corporate —Straight Path Communications Inc. class action insurance claims net of legal fees/(legal fees net of insurance claims) $ 225 $ (531 ) net2phone-UCaaS—other, net (100 ) (63 ) Fintech—money transfer settlement 45 — Traditional Communications—gain from sale of rights under class action lawsuit 2,000 — Traditional Communications—net2phone indemnification claim (472 ) (1,244 ) Traditional Communications—accrual for non-income related taxes related to a foreign subsidiary — (2,150 ) Traditional Communications—other (967 ) (1,075 ) TOTAL $ 731 $ (5,063 ) IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) Straight Path Communications Inc. Class Action As discussed in Note 22, the Company (as well as other defendants) has been named in a pending putative class action on behalf of the stockholders of the Company’s former subsidiary, Straight Path Communications Inc. (“Straight Path”), and a derivative complaint. In fiscal 2021 and fiscal 2020, the Company incurred legal fees of $ 2.9 million and $ 3.6 million, respectively, related to this action. Also, in fiscal 2021 and fiscal 2020, the Company recorded offsetting gains from insurance claims for this matter of $ 3.1 million and $ 3.1 million, respectively. Gain from Sale of Rights under Class Action Lawsuit On December 21, 2020, the Company received $ 2.0 Indemnification Claim In June 2019, as part of a commercial resolution, the Company indemnified a net2phone cable telephony customer related to patent infringement claims brought against the customer. Accrual for Non-Income Related Taxes In fiscal 2020, the Company recorded an accrual for non-income related taxes related to one of its foreign subsidiaries. |
Revolving Credit Facility and N
Revolving Credit Facility and Note Payable | 12 Months Ended |
Jul. 31, 2021 | |
Debt Disclosure [Abstract] | |
Revolving Credit Facility and Note Payable | Note 15— Revolving Credit Facility and Note Payable Revolving Credit Facility The Company’s subsidiary, IDT Telecom, Inc. (“IDT Telecom”), entered into a credit agreement, dated as of May 17, 2021, with TD Bank, N.A. for a revolving credit facility for up to a maximum principal amount of $ 25.0 million. IDT Telecom may use the proceeds to finance working capital requirements and for certain closing costs of the facility. At July 31, 2021, IDT Telecom had not borrowed any amounts under this facility. The revolving credit facility is secured by primarily all of IDT Telecom’s assets. The principal outstanding bears interest per annum at the Intercontinental Exchange Benchmark Administration Ltd. LIBOR multiplied by the Regulation D maximum reserve requirement plus 125 to 175 basis points, depending upon IDT Telecom’s leverage ratio as computed for the most recent fiscal quarter. Interest is payable monthly, and all outstanding principal and any accrued and unpaid interest is due in May 2024. IDT Telecom pays a quarterly unused commitment fee on the average daily balance of the unused portion of the $ 25.0 IDT Telecom had a credit agreement dated as of October 31, 2019, with TD Bank, N.A. for a revolving credit facility for up to a maximum principal amount of $ 25.0 The principal outstanding incurred interest per annum at the LIBOR rate adjusted by the Regulation D maximum reserve requirement plus 125 basis points. 0.3 25.0 Note Payable On April 20, 2020, IDT Domestic Telecom, Inc. (“IDT DT”), a subsidiary of the Company, received loan proceeds of $ 10.0 million (the “PPP Loan”) from TD Bank, N.A., pursuant to the Paycheck Protection Program (the “PPP”) under the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) administered by the U.S. Small Business Administration 10.0 million in proceeds from the PPP Loan. IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) |
Accrued Expenses
Accrued Expenses | 12 Months Ended |
Jul. 31, 2021 | |
Payables and Accruals [Abstract] | |
Accrued Expenses | Note 16— Accrued Expenses Accrued expenses consist of the following: Schedule of Accrued Expenses July 31 2021 2020 Carrier minutes termination $ 35,738 $ 33,766 Regulatory fees and taxes 52,292 54,087 Compensation costs 15,465 16,051 Maintenance and support 3,258 2,015 Commissions (money transfer and Mobile Top-Up) 3,213 1,904 Legal and professional fees 6,134 5,466 Other 12,985 12,255 TOTAL $ 129,085 $ 125,544 |
Other Income (Expense), Net
Other Income (Expense), Net | 12 Months Ended |
Jul. 31, 2021 | |
Other Income and Expenses [Abstract] | |
Other Income (Expense), Net | Note 17— Other Income (Expense), Net Other income (expense), net consists of the following: Schedule of Other Income, (Expense) Net Year ended July 31 2021 2020 Foreign currency transaction gains $ 1,009 $ 370 Equity in net loss of investee (1,099 ) — Write-off of tax assets related to prior periods — (1,346 ) Gain (loss) on investments 8,830 (336 ) Other (824 ) 45 TOTAL $ 7,916 $ (1,267 ) |
Income Taxes
Income Taxes | 12 Months Ended |
Jul. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 18— Income Taxes The components of income before income taxes are as follows: Components of Income Before Income Taxes Year ended July 31 2021 2020 Domestic $ 60,969 $ 13,380 Foreign 4,255 4,338 INCOME BEFORE INCOME TAXES $ 65,224 $ 17,718 Significant components of the Company’s deferred income tax assets consist of the following: Significant Components of Deferred Income Taxes July 31 2021 2020 Deferred income tax assets: Bad debt reserve $ 1,011 $ 854 Accrued expenses 3,456 2,963 Stock options and restricted stock 980 1,226 Charitable contributions 778 659 Depreciation (373 ) (71 ) Unrealized gain (1,826 ) (302 ) Net operating loss 49,368 62,588 Deferred revenue (352 ) (705 ) Total deferred income tax assets 53,042 67,212 Valuation allowance (11,540 ) (58,700 ) NET DEFERRED INCOME TAX ASSETS $ 41,502 $ 8,512 IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) The (provision for) benefit from income taxes consist of the following: Schedule of (Provision for) Benefits from Income Taxes Year ended July 31 2021 2020 Current: Federal $ — $ — State and local (512 ) (46 ) Foreign (811 ) (177 ) Current (1,323 ) (223 ) Deferred: Federal 26,408 8,345 State and local (57 ) 12 Foreign 6,639 (4,434 ) Deferred 32,990 3,923 BENEFIT FROM INCOME TAXES $ 31,667 $ 3,700 The differences between income taxes expected at the U.S. federal statutory income tax rate and income taxes provided are as follows: Schedule of Differences Between Income Taxes Expected Federal Statutory Income Taxes Year ended July 31 2021 2020 U.S. federal income tax at statutory rate $ (13,697 ) $ (3,721 ) Valuation allowance 47,862 15,470 Foreign tax rate differential (190 ) (3,702 ) Nondeductible expenses (636 ) (813 ) Other 299 88 Foreign restructuring (1,510 ) (3,266 ) State and local income tax, net of federal benefit (461 ) (356 ) BENEFIT FROM INCOME TAXES $ 31,667 $ 3,700 The Company’s cumulative undistributed foreign earnings are included in accumulated deficit in the Company’s consolidated balance sheets and consisted of approximately $ 351 million at July 31, 2021. The Company has concluded that the earnings remain permanently reinvested. At July 31, 2021, the Company had federal net operating loss carryforwards of approximately $ 104 million. These carry-forward losses are available to offset future U.S. federal taxable income. Federal net operating loss carryforwards of $ 101 . The Company has foreign net operating losses of approximately $ 82 million, of which approximately $ 77 million does not expire, approximately $ 4 million expires in two to ten years and $ 1 million expires in twenty years. These foreign net operating losses are available to offset future taxable income in the countries in which the losses were incurred. The Company’s subsidiary, net2phone, has additional federal net operating losses of approximately $ 42 7 million per year. The net operating losses do not include any excess benefits related to stock options or restricted stock. IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) The change in the valuation allowance is as follows: Summary of Changes in Valuation Allowance Year ended July 31 Balance at Additions Deductions Balance at 2021 Reserves deducted from deferred income taxes, net: Valuation allowance $ 58,700 $ 835 $ (47,995 ) $ 11,540 2020 Reserves deducted from deferred income taxes, net: Valuation allowance $ 74,170 $ — $ (15,470 ) $ 58,700 In fiscal 2021, the Company released $ 46.5 million of its valuation allowance on the portion of the deferred income tax assets that it is more likely than not going to utilize. This release was mostly related to domestic deferred income tax assets. The Company used the framework of ASC Income Taxes (Topic 740) In fiscal 2020, due to taxable income in the United States, the Company utilized deferred tax assets and released the corresponding valuation allowance to offset income tax expense of $ 3.5 million. In addition, in fiscal 2020, the Company released an additional $ 8.4 million of the valuation allowance on the portion of the deferred tax assets that it is more likely than not going to utilize because the Company forecasted future profitability in the United States. At July 31, 2021 and 2020, the Company did not have any unrecognized income tax benefits. There were no changes in the balance of unrecognized income tax benefits in fiscal 2021 and fiscal 2020. At July 31, 2021, the Company did not expect any changes in unrecognized income tax benefits during the next twelve months. In fiscal 2021 and fiscal 2020, the Company did not record any interest and penalties on income taxes. At July 31, 2021 and 2020, there was no accrued interest included in current income taxes payable. In September 2017, the Company, IDT DT, and certain other affiliates were certified by the New Jersey Economic Development Authority as having met all of the requirements of the Grow New Jersey Assistance Act Tax Credit Program. The program provides for credits against a corporation’s New Jersey corporate business tax liability and that, tax credits may be sold subject to certain conditions. The tax credits are dependent on the corporation maintaining a minimum number of employees in New Jersey. The Company has applied for several years of credits but has not yet received any credits and the Company is not assured of receiving any credits. The Company currently remains subject to examinations of its tax returns as follows: U.S. federal tax returns for fiscal 2018 to fiscal 2021, state and local tax returns generally for fiscal 2017 to fiscal 2021, and foreign tax returns generally for fiscal 2017 to fiscal 2021. |
Equity
Equity | 12 Months Ended |
Jul. 31, 2021 | |
Stockholders' Equity Note [Abstract] | |
Equity | Note 19— Equity Class A Common Stock and Class B Common Stock The rights of holders of Class A common stock and Class B common stock are identical except for certain voting and conversion rights and restrictions on transferability. The holders of Class A common stock and Class B common stock receive identical dividends per share when and if declared by the Company’s Board of Directors. In addition, the holders of Class A common stock and Class B common stock have identical and equal priority rights per share in liquidation. The Class A common stock and Class B common stock do not have any other contractual participation rights. The holders of Class A common stock are entitled to three votes per share and the holders of Class B common stock are entitled to one-tenth of a vote per share. Each share of Class A common stock may be converted into one share of Class B common stock, at any time, at the option of the holder. Shares of Class A common stock are subject to certain limitations on transferability that do not apply to shares of Class B common stock. IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) Stock Repurchases The Company has an existing stock repurchase program authorized by its Board of Directors for the repurchase of shares of the Company’s Class B common stock. The Board of Directors authorized the repurchase of up to 8.0 463,792 2.8 671,117 4.2 5.8 In fiscal 2021 and fiscal 2020, the Company paid $ 1.3 0.3 109,381 37,348 |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Jul. 31, 2021 | |
Share-based Payment Arrangement [Abstract] | |
Stock-Based Compensation | Note 20— Stock-Based Compensation Stock-Based Compensation Plan The 2015 Stock Option and Incentive Plan is intended to provide incentives to officers, employees, directors and consultants of the Company, including stock options, stock appreciation rights, limited rights, deferred stock units, and restricted stock. On December 12, 2019, the Company’s stockholders approved an amendment to the 2015 Stock Option and Incentive Plan to increase the number of shares of the Company’s Class B common stock available for the grant of awards thereunder by an additional 0.4 million shares. At July 31, 2021, the Company had 1.6 million shares of Class B common stock reserved for awards made under the 2015 Stock Option and Incentive Plan and 0.3 million shares were available for future grants. On September 14, 2021, the Company’s Board of Directors amended the Company’s 2015 Stock Option and Incentive Plan to increase the number of shares of the Company’s Class B common stock available for the grant of awards thereunder by an additional 175,000 Stock Options Option awards are generally granted with an exercise price equal to the market price of the Company’s stock on the date of grant. Option awards generally vest on a graded basis over three years of service and have ten-year contractual terms. No A summary of stock option activity for the Company is as follows: Schedule of Stock Option Activity Number of Weighted- Weighted- Aggregate Outstanding at July 31, 2020 1,126 $ 14.42 Granted — — Exercised (81 ) (8.48 ) Cancelled / Forfeited (10 ) (13.72 ) OUTSTANDING AT JULY 31, 2021 1,035 $ 14.89 0.8 $ 36,133 EXERCISABLE AT JULY 31, 2021 1,035 $ 14.89 0.8 $ 36,133 The outstanding and exercisable options at July 31, 2021 include options to purchase up to 1.0 May 2, 2017 14.93 May 1, 2022 In fiscal 2021 and fiscal 2020, the Company received proceeds from the exercise of stock options of $ 0.7 million and $ 0.3 million, respectively, for which the Company issued 81,041 and 32,551 shares, respectively, of its Class B common stock. The total intrinsic value of options exercised during fiscal 2021 and fiscal 2020 was $ 0.2 16,000 IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) Restricted Stock The fair value of restricted shares of the Company’s Class B common stock is determined based on the closing price of the Company’s Class B common stock on the grant date. Share awards generally vest on a graded basis over three years of service. A summary of the status of the Company’s grants of restricted shares of Class B common stock is presented below: Schedule of Grants of Restricted Shares (in thousands) Number of Weighted- Non-vested shares at July 31, 2020 199 $ 4.41 Granted 17 12.70 Vested (21 ) (10.47 ) Forfeited — — NON-VESTED SHARES AT JULY 31, 2021 195 $ 4.49 At July 31, 2021, there was $ 0.2 million of total unrecognized compensation cost related to non-vested stock-based compensation arrangements, which is expected to be recognized over a weighted-average period of 0.4 years. The total grant date fair value of shares vested in fiscal 2021 and fiscal 2020 was $ 0.2 million and $ 0.3 million, respectively. Deferred Stock Units Equity Incentive Program The Company has an existing equity incentive program in the form of DSUs that, upon vesting, will entitle the grantees to receive shares of the Company’s Class B common stock. Subject to continued full time employment or other service to the Company, the DSUs were eligible for vesting in three equal amounts on each of January 6, 2020, January 5, 2021, and January 5, 2022. The number of shares issuable on each vesting date varies between 50% to 200% of the number of DSUs that vest on that vesting date, depending on the market price for the underlying Class B common stock on the vesting date relative to the market price at the time of the grant. On January 5, 2021 and January 6, 2020, in accordance with the program and based on elections made by certain grantees, the Company issued 283,838 and 100,284 shares, respectively, of its Class B common stock in respect of vested DSUs. Based on those elections, on January 5, 2021 and January 6, 2020, vesting for 19,919 and 38,024 DSUs, respectively, was delayed until the next vesting date. A summary of the status of the Company’s grants of DSUs under this program is presented below: Schedule of Grants of Restricted Shares (in thousands) Number of Weighted- Non-vested shares at July 31, 2020 315 $ 10.26 Granted 1 11.19 Vested (152 ) (10.07 ) Forfeited (10 ) (11.19 ) NON-VESTED SHARES AT JULY 31, 2021 154 $ 10.39 All of the non-vested DSUs outstanding at July 31, 2021 are eligible to vest (if the conditions therefor are satisfied) on January 5, 2022, the final vesting date under the program. At July 31, 2021, there was $0 .3 million of total unrecognized compensation cost related to non-vested DSUs, which is expected to be recognized over a weighted-average period of 0.4 years. The total grant date fair value of DSUs vested in fiscal 2021 and fiscal 2020 was $ 1.5 million and $ 1.1 million, respectively. IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) Grant of Restricted Equity in net2phone 2.0, Inc. On December 31, 2020, the previously approved compensatory arrangement with each of Howard S. Jonas and Shmuel Jonas, the Company’s Chief Executive Officer, was finalized. Howard S. Jonas and Shmuel Jonas each received fifty 5 The restricted shares will vest if: (a) for any fiscal quarter of net2phone 2.0 between November 1, 2020 and October 31, 2023, net2phone 2.0 records subscription revenue that is at least $18 million, and (b) as of October 31, 2023, the valuation of net2phone 2.0 is $100 million or more. The restricted shares will also vest in the event, prior to October 31, 2023, net2phone 2.0 or its assets are sold at an equity valuation and on a cash-free basis of $100 million or more, regardless of whether the revenue threshold was satisfied prior thereto. The restricted shares entitle each grantee to proceeds only on a sale, spin-off, initial public offering, or other monetization of net2phone 2.0 and have protection from dilution for the first $15 million invested in the net2phone 2.0 following the grant. 0.2 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 12 Months Ended |
Jul. 31, 2021 | |
EQUITY: | |
Accumulated Other Comprehensive Loss | Note 21— Accumulated Other Comprehensive Loss The accumulated balances for each classification of other comprehensive income (loss) were as follows: Schedule of Accumulated Balances for Each Classification of Other Comprehensive (Loss) Income (in thousands) Unrealized Foreign Accumulated Balance at July 31, 2019 $ — $ (4,858 ) $ (4,858 ) Other comprehensive income (loss) attributable to IDT Corporation 42 (2,594 ) (2,552 ) Balance at July 31, 2020 42 (7,452 ) (7,410 ) Balance at July 31, 2020 42 (7,452 ) (7,410 ) Other comprehensive loss attributable to IDT Corporation (51 ) (2,722 ) (2,773 ) BALANCE AT JULY 31, 2021 $ (9 ) $ (10,174 ) $ (10,183 ) |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Jul. 31, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 22— Commitments and Contingencies Coronavirus Disease (COVID-19) The Company continues to monitor and respond to the impacts of the COVID-19 pandemic on all aspects of its business, including its customers, employees, suppliers, vendors, and business partners. Operationally, the Company’s employees transitioned to work-from-home during the third quarter of fiscal 2020 and, to a large degree, continue to work-from-home. Beginning in the fourth quarter of fiscal 2021, certain of the Company’s employees returned to its offices on a part-time basis. The Company’s salespeople, customer service employees, technicians, and delivery employees continue to serve its independent retailers, channel partners, and customers with minimal interruption. COVID-19 had mixed financial impacts on the Company beginning in the third quarter of fiscal 2020 and continuing through the fourth quarter of fiscal 2021. Legal Proceedings On January 22, 2019, Jose Rosales filed a putative class action against IDT America, IDT Domestic Telecom and IDT International in California state court alleging certain violations of employment law. Plaintiff alleges that these companies failed to compensate members of the putative class in accordance with California law. In August 2019, the Company filed a cross complaint against Rosales alleging trade secret and other violations. The parties are now seeking court approval of a settlement agreement. On April 24, 2018, Sprint Communications Company L.P. filed a patent infringement claim against the Company and certain of its affiliates in the U.S. District Court for the District of Delaware alleging infringement of U.S. Patent Nos. 6,298,064; 6,330,224; 6,343,084; 6,452,932; 6,463,052; 6,473,429; 6,563,918; 6,633,561; 6,697,340; 6,999,463; 7,286,561; 7,324,534; 7,327,728; 7,505,454; and 7,693,131. Plaintiff was seeking damages and injunctive relief. On June 28, 2018, Sprint dismissed the complaint without prejudice. The Company is evaluating the underlying claim, and at this stage, is unable to estimate its potential liability, if any. The Company intends to vigorously defend any claim of infringement of the listed patents. IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) On July 5, 2017, plaintiff JDS1, LLC, on behalf of itself and all other similarly situated stockholders of Straight Path, and derivatively on behalf of Straight Path as nominal defendant, filed a putative class action and derivative complaint in the Court of Chancery of the State of Delaware against the Company, The Patrick Henry Trust (a trust formed by Howard S. Jonas that held record and beneficial ownership of certain shares of Straight Path he formerly held), Howard S. Jonas, and each of Straight Path’s directors. The complaint alleges that the Company aided and abetted Straight Path Chairman of the Board and Chief Executive Officer Davidi Jonas, and Howard S. Jonas in his capacity as controlling stockholder of Straight Path, in breaching their fiduciary duties to Straight Path in connection with the settlement of claims between Straight Path and the Company related to potential indemnification claims concerning Straight Path’s obligations under the Consent Decree it entered into with the Federal Communications Commission (“FCC”), as well as the sale of Straight Path’s subsidiary Straight Path IP Group, Inc. to the Company in connection with that settlement. That action was consolidated with a similar action that was initiated by The Arbitrage Fund. The Plaintiffs are seeking, among other things, (i) a declaration that the action may be maintained as a class action or in the alternative, that demand on the Straight Path Board is excused; (ii) that the term sheet is invalid; (iii) awarding damages for the unfair price stockholders received in the merger between Straight Path and Verizon Communications Inc. for their shares of Straight Path’s Class B common stock; and (iv) ordering Howard S. Jonas, Davidi Jonas, and the Company to disgorge any profits for the benefit of the class Plaintiffs. On August 28, 2017, the Plaintiffs filed an amended complaint. On September 24, 2017, the Company filed a motion to dismiss the amended complaint, which was ultimately denied, and which denial was affirmed by the Delaware Supreme Court. The parties are engaged in discovery. The trial is currently scheduled for May 2022. The Company intends to vigorously defend this matter (see Note 14). At this stage, the Company is unable to estimate its potential liability, if any. In addition to the foregoing, the Company is subject to other legal proceedings that have arisen in the ordinary course of business and have not been finally adjudicated. Although there can be no assurance in this regard, the Company believes that none of the other legal proceedings to which the Company is a party will have a material adverse effect on the Company’s results of operations, cash flows, or financial condition. Sales Tax Contingency On June 21, 2018, the United States Supreme Court rendered a decision in South Dakota v. Wayfair, Inc., holding that a state may require a remote seller with no physical presence in the state to collect and remit sales tax on goods and services provided to purchasers in the state, overturning certain existing court precedent. The Company has evaluated its state tax filings with respect to the Wayfair decision and is in the process of reviewing its remittance practices. It is possible that one or more jurisdictions may assert that the Company has liability for periods for which it has not collected sales, use or other similar taxes, and if such an assertion or assertions were successful it could materially and adversely affect the Company’s business, financial position, and operating results. One or more jurisdictions may change their laws or policies to apply their sales, use or other similar taxes to the Company’s operations, and if such changes were made it could materially and adversely affect the Company’s business, financial position, and operating results. Regulatory Fees Audit The Company’s 2017 FCC Form 499-A, which reports its calendar year 2016 revenue, is currently under audit by the Universal Service Administrative Company (“USAC”). The Internal Audit Division of USAC issued preliminary audit findings and the Company has, in accordance with audit procedures, appealed certain of the findings. The Company awaits a final decision by USAC on the preliminary audit findings. Depending on the findings contained in the final decision, the Company may further appeal to the FCC. Although a final decision remains pending, the Company has been invoiced $ 2.9 million and $ 1.8 million on behalf of the Federal Telecommunications Relay Services Fund and on behalf of the Universal Service Fund, respectively. The Company does not intend to remit payment for these fees unless and until a negative decision on its appeal has been issued. In response to the aforementioned preliminary audit findings, the Company made certain changes to its filing policies and procedures for years that remain potentially under audit. At July 31, 2021 and 2020, the Company’s accrued expenses included $ 38.3 million and $ 40.8 million, respectively, for FCC-related regulatory fees for the year covered by the audit, as well as prior and subsequent years. Purchase Commitments At July 31, 2021, the Company had purchase commitments of $ 3.7 million primarily for equipment and services. Performance Bonds The Company has performance bonds issued through third parties for the benefit of various states in order to comply with the states’ financial requirements for money remittance licenses and telecommunications resellers. At July 31, 2021, the Company had aggregate performance bonds of $ 19.6 million outstanding. IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) FCC Investigation of Straight Path Spectrum LLC On September 20, 2016, the Company received a letter of inquiry from the Enforcement Bureau of the FCC requesting certain information and materials related to an investigation of potential violations by Straight Path Spectrum LLC (formerly a subsidiary of the Company and Straight Path) in connection with licenses to operate on the 28 GHz and 39 GHz bands of the Fixed Microwave Services. The Company has cooperated with the FCC in this matter and has responded to the letter of inquiry. If the FCC were to pursue separate action against the Company, the FCC could seek to fine or impose regulatory penalties or civil liability on the Company related to activities during the period of ownership by the Company. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Jul. 31, 2021 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Note 23— Related Party Transactions Rafael Holdings, Inc. In connection with the spin-off of Rafael in March 2018, the Company and Rafael entered into a Transition Services Agreement pursuant to which certain administrative and other services are provided by the Company and Rafael. The Company charged Rafael $ 0.3 million and $ 0.4 million in fiscal 2021 and fiscal 2020, respectively, for services provided, net of the amounts charged by Rafael to the Company. At July 31, 2021 and 2020, other current assets reported in the Company’s consolidated balance sheets included net receivable from Rafael of $ 0.2 million and $ 50,000 , respectively. See Note 4 for the Company’s lease commitments with Rafael. Straight Path Communications Inc. On July 5, 2017, certain Straight Path stockholders filed a putative class action and derivative complaint against the Company and others (see Note 22). On September 20, 2016, the Company received a letter of inquiry from the Enforcement Bureau of the FCC requesting certain information and materials related to an investigation of potential violations by Straight Path Spectrum LLC (formerly a subsidiary of the Company and Straight Path) in connection with licenses to operate on the 28 GHz and 39 GHz bands of the Fixed Microwave Services (see Note 22). Genie Energy Ltd. The Company entered into a Transition Services Agreement with Genie Energy Ltd. (“Genie”) prior to the spin-off of Genie in October 2011, which provides for certain services to be performed by the Company and Genie. The Company charged Genie $ 1.3 million and $ 1.1 million in fiscal 2021 and fiscal 2020, respectively, for services provided and other items, net of the amounts charged by Genie to the Company. At both July 31, 2021 and 2020, other current assets reported in the Company’s consolidated balance sheets included receivables from Genie of $ 0.2 million. Other Related Party Transactions The Company provides office space, certain connectivity and other services to Jonas Media Group, a publishing firm owned by Howard S. Jonas. Billings for such services were $ 9,000 15,000 26,000 30,000 7,000 19,000 Mason and Company Consulting, LLC (“Mason and Co.”), a company owned solely by Jonathan Mason, receives annual commissions and fees for the insurance brokerage referral and placement of certain of the Company’s insurance policies. Jonathan Mason is the husband of Joyce J. Mason, the Company’s General Counsel, and brother-in-law of Howard S. Jonas. Based on information the Company received from Jonathan Mason, the Company believes that Mason and Co. received commissions and fees from payments made by the Company in the aggregate amount of $ 63,000 63,000 IDT DT leases space in a building in the Bronx, New York. The building is owned by a limited liability company that is jointly owned by Howard S. Jonas and Shmuel Jonas. The lease, which became effective November 1, 2012, had a one-year term with a one-year renewal option. Since the expiration of this lease and until May 31, 2020, the parties continued IDT DT’s occupancy of the space on the same terms. Aggregate annual rent under the lease was $ 60,900 18,600 IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) The Company had loans receivable outstanding from employees aggregating $ 0.2 0.2 |
Defined Contribution Plans
Defined Contribution Plans | 12 Months Ended |
Jul. 31, 2021 | |
Retirement Benefits [Abstract] | |
Defined Contribution Plans | Note 24— Defined Contribution Plans The Company maintains a 401(k) Plan available to all employees meeting certain eligibility criteria. The plan permits participants to contribute up to the maximum amount allowed by law. The plan provides for discretionary matching contributions that vest over the first five years of employment. The plan permits the discretionary matching contributions to be granted as of December 31 of each year. All contributions made by participants vest immediately into the participant’s account. On May 27, 2021, the Company contributed 35,839 newly issued shares of its Class B common stock to the Company’s 401(k) Plan for $ 1.0 million of matching contributions. In fiscal 2021 and fiscal 2020, the Company’s expense related to the plan was $ 0.8 million and $ 1.0 million, respectively. The Company’s Class A common stock and Class B common stock are not investment options for the plan’s participants. |
Subsequent Event
Subsequent Event | 12 Months Ended |
Jul. 31, 2021 | |
Subsequent Events [Abstract] | |
Subsequent Event | Note 25— Subsequent Event On September 29, 2021, NRS sold 862,442 2.5% 10 |
Description of Business and S_2
Description of Business and Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Jul. 31, 2021 | |
Accounting Policies [Abstract] | |
Description of Business | Description of Business IDT Corporation (the “Company”) is a global provider of financial technology, or fintech, cloud communications, and traditional communications services. The Company has three |
Basis of Consolidation | Basis of Consolidation The method of accounting applied to long-term investments, whether consolidated, equity or cost, involves an evaluation of the significant terms of each investment that explicitly grant or suggest evidence of control or influence over the operations of the investee and includes the identification of any variable interests in which the Company is the primary beneficiary. The consolidated financial statements include the Company’s controlled subsidiaries and the variable interest entity in which the Company is the primary beneficiary (see Note 13). All significant intercompany accounts and transactions between the consolidated entities are eliminated. |
Accounting for Investments | Accounting for Investments Investments in businesses that the Company does not control, but in which the Company has the ability to exercise significant influence over operating and financial matters, are accounted for using the equity method. Investments in which the Company does not have the ability to exercise significant influence over operating and financial matters are accounted for using the cost method. Investments in hedge funds are accounted for using the equity method unless the Company’s interest is so minor that it has virtually no influence over operating and financial policies, in which case these investments are accounted for using the cost method. The Company periodically evaluates its equity and cost method investments for impairment due to declines considered to be other than temporary. If the Company determines that a decline in fair value is other than temporary, then a charge to earnings is recorded in “Other income (expense), net” in the accompanying consolidated statements of income, and a new basis in the investment is established. |
Reclassifications | Reclassifications Certain prior year amounts in the consolidated balance sheet were reclassified to conform to the current year’s presentation as follows: $ 25.3 6.0 |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”) requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results may differ from those estimates. |
Revenue Recognition | Revenue Recognition The Company accounts for its revenues under Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers (Topic 606) |
Direct Cost of Revenues | Direct Cost of Revenues Direct cost of revenues consists primarily of termination and origination costs, toll-free costs, and network costs—including customer/carrier interconnect charges and fiber circuit charges. These costs include an estimate of charges for which invoices have not yet been received, and estimated amounts for pending disputes with other carriers. Direct cost of revenues also includes the cost of airtime top-up minutes. Direct cost of revenues excludes depreciation and amortization expense. |
Cash and Cash Equivalents | Cash and Cash Equivalents The Company considers all highly liquid investments with an original maturity of three months or less when purchased to be cash equivalents. IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) |
Debt Securities | Debt Securities The Company’s investments in debt securities are classified as “available-for-sale.” Available-for-sale debt securities are required to be carried at their fair value, with unrealized gains and losses (net of income taxes) that are considered temporary in nature recorded in “Accumulated other comprehensive loss” in the accompanying consolidated balance sheets. The Company uses the specific identification method in computing the gross realized gains and gross realized losses on the sales of debt securities. The Company periodically evaluates its investments in debt securities for impairment due to declines in market value considered to be other than temporary. Such impairment evaluations include, in addition to persistent, declining market prices, general economic and Company-specific evaluations. If the Company determines that a decline in market value is other than temporary, then a charge to operations is recorded in “Other income (expense), net” in the accompanying consolidated statements of income and a new cost basis in the investment is established. |
Equity Investments | Equity Investments Investments in equity securities (except those accounted for under the equity method or that result in consolidation) are measured at fair value, with changes in fair value recognized in net income. For investments in equity securities without a readily determinable fair value, the Company elects the measurement alternative and measures these investments at cost, less any impairment, plus or minus changes resulting from observable price changes in orderly transactions for an identical or similar investment of the same issuer. At each reporting date, the Company reassesses whether the investment still qualifies for this measurement alternative. Further, at each reporting date, the Company performs a qualitative assessment to evaluate whether the investment is impaired. If the qualitative assessment indicates that the investment is impaired and the fair value of the investment is less than its carrying value, the carrying amount of the investment will be reduced and the resulting loss recognized in “Other income (expense), net” in the accompanying consolidated statements of income in the period the impairment is identified. On August 1, 2021, the Company adopted ASU No. 2020-01, Investments—Equity Securities (Topic 321) Investments—Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815), |
Disbursement Prefunding | Disbursement Prefunding The Company maintains relationships with disbursement partners in various countries for its money transfer and Mobile Top-Up services. The Company maintains prefunding balances with these disbursement partners, so they can satisfy the Company’s customer liabilities. The Company does not earn interest on these balances. The balances are not compensating balances and are not legally restricted. |
Property, Plant, and Equipment and Intangible Assets | Property, Plant, and Equipment and Intangible Assets Equipment, computer software, and furniture and fixtures are recorded at cost and are depreciated on a straight-line basis over their estimated useful lives, which range as follows: equipment— 5 7 20 2 3 5 5 7 10 The fair value of non-compete agreement, customer relationships, and tradenames acquired in a business combination accounted for under the purchase method are amortized over their estimated useful lives (see Notes 6 and 12). The Company tests the recoverability of its property, plant, and equipment and intangible assets with finite useful lives whenever events or changes in circumstances indicate that the carrying value of the asset may not be recoverable. The Company tests for recoverability based on the projected undiscounted cash flows to be derived from such asset. If the projected undiscounted future cash flows are less than the carrying value of the asset, the Company will record an impairment loss, if any, based on the difference between the estimated fair value and the carrying value of the asset. The Company generally measures fair value by considering sale prices for similar assets or by discounting estimated future cash flows from such asset using an appropriate discount rate. Cash flow projections and fair value estimates require significant estimates and assumptions by management. Should the estimates and assumptions prove to be incorrect, the Company may be required to record impairments in future periods and such impairments could be material. |
Goodwill | Goodwill Goodwill is the excess of the acquisition cost of businesses over the fair value of the identifiable net assets acquired. Goodwill and other indefinite lived intangible assets are not amortized. Instead, these assets are reviewed annually (or more frequently under various conditions) for impairment When performing its quantitative annual, or interim, goodwill impairment test the Company is comparing the fair value of its reporting units with their carrying amounts. The Company would recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value; however, the loss recognized would not exceed the total amount of goodwill allocated to that reporting unit. Additionally, the Company considers income tax effects from any tax-deductible goodwill on the carrying amount of its reporting unit when measuring the goodwill impairment loss, if applicable. The fair value of the reporting units is estimated using discounted cash flow methodologies, as well as considering third party market value indicators. The Company’s use of a discounted cash flow methodology includes estimates of future revenue based upon budgets and projections. The Company also develops estimates for future levels of gross and operating profits and projected capital expenditures. The Company’s methodology also includes the use of estimated discount rates based upon industry and competitor analysis as well as other factors. Calculating the fair value of the reporting units requires significant estimates and assumptions by management. Should the estimates and assumptions regarding the fair value of the reporting units prove to be incorrect, the Company may be required to record impairments to its goodwill in future periods and such impairments could be material. IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) |
Advertising Expense | Advertising Expense Cost of advertising is charged to selling, general and administrative expenses in the period in which it is incurred. In fiscal 2021 and fiscal 2020, advertising expense was $ 15.3 million and $ 15.7 million, respectively. |
Capitalized Internal Use Software Costs | Capitalized Internal Use Software Costs The Company capitalizes the cost of internal-use software that has a useful life in excess of one year. These costs consist of payments made to third parties and the salaries of employees working on such software development. Subsequent additions, modifications or upgrades to internal-use software are capitalized only to the extent that they allow the software to perform a task it previously did not perform. Software maintenance and training costs are expensed in the period in which they are incurred. Capitalized internal use software costs are amortized on a straight-line basis over their estimated useful lives. Amortization expense related to such capitalized software in fiscal 2021 and fiscal 2020 was $ 12.6 million and $ 14.6 million, respectively. Unamortized capitalized internal use software costs at July 31, 2021 and 2020 were $ 16.7 million and $ 18.1 million, respectively. |
Repairs and Maintenance | Repairs and Maintenance The Company charges the cost of repairs and maintenance, including the cost of replacing minor items not constituting substantial betterment, to selling, general and administrative expenses as these costs are incurred. |
Foreign Currency Translation | Foreign Currency Translation Assets and liabilities of foreign subsidiaries denominated in foreign currencies are translated to U.S. Dollars at end-of-period rates of exchange, and their monthly results of operations are translated to U.S. Dollars at the average rates of exchange for that month. Gains or losses resulting from such foreign currency translations are recorded in “Accumulated other comprehensive loss” in the accompanying consolidated balance sheets. Foreign currency transaction gains and losses are reported in “Other income (expense), net” in the accompanying consolidated statements of income. |
Income Taxes | Income Taxes The Company recognizes deferred tax assets and liabilities for the future tax consequences attributable to temporary differences between the financial statements carrying amounts of existing assets and liabilities and their respective tax bases. A valuation allowance is provided when it is more likely than not that some portion or all of a deferred tax asset will not be realized. The ultimate realization of deferred tax assets depends on the generation of future taxable income during the period in which related temporary differences become deductible. The Company considers the scheduled reversal of deferred tax liabilities, projected future taxable income and tax planning strategies in its assessment of a valuation allowance. Deferred tax assets and liabilities are measured using the enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date of such change. The Company uses a two-step approach for recognizing and measuring tax benefits taken or expected to be taken in a tax return. The Company determines whether it is more-likely-than-not that a tax position will be sustained upon examination, including resolution of any related appeals or litigation processes, based on the technical merits of the position. In evaluating whether a tax position has met the more-likely-than-not recognition threshold, the Company presumes that the position will be examined by the appropriate taxing authority that has full knowledge of all relevant information. Tax positions that meet the more-likely-than-not recognition threshold are measured to determine the amount of tax benefit to recognize in the financial statements. The tax position is measured at the largest amount of benefit that is greater than 50 The Company classifies interest and penalties on income taxes as a component of income tax expense. IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) On August 1, 2021, the Company adopted ASU No. 2019-12, Income Taxes (Topic 740) Simplifying the Accounting for Income Taxes, |
Contingencies | Contingencies The Company accrues for loss contingencies when both (a) information available prior to issuance of the financial statements indicates that it is probable that a liability had been incurred at the date of the financial statements and (b) the amount of loss can reasonably be estimated. When the Company accrues for loss contingencies and the reasonable estimate of the loss is within a range, the Company records its best estimate within the range. When no amount within the range is a better estimate than any other amount, the Company accrues the minimum amount in the range. The Company discloses an estimated possible loss or a range of loss when it is at least reasonably possible that a loss may have been incurred. |
Earnings Per Share | Earnings Per Share Basic earnings per share is computed by dividing net income attributable to all classes of common stockholders of the Company by the weighted average number of shares of all classes of common stock outstanding during the applicable period. Diluted earnings per share is determined in the same manner as basic earnings per share, except that the number of shares is increased to include restricted stock still subject to risk of forfeiture and to assume exercise of potentially dilutive stock options using the treasury stock method, unless the effect of such increase is anti-dilutive. The weighted-average number of shares used in the calculation of basic and diluted earnings per share attributable to the Company’s common stockholders consists of the following: Schedule of Weighted-average Number of Shares Used in the Calculation of Basic and Diluted Earnings Per Share Year ended July 31 (in thousands) 2021 2020 Basic weighted-average number of shares 25,495 26,278 Effect of dilutive securities: Stock options 229 1 Non-vested restricted Class B common stock 329 162 Diluted weighted-average number of shares 26,053 26,441 The following outstanding stock options were excluded from the calculation of diluted earnings per share because the exercise prices of the stock options were greater than the average market price of the Company’s stock during the period: Schedule of Outstanding Stock Options Excluded from the Calculation of Diluted Earnings Per Share Year ended July 31 (in thousands) 2021 2020 Shares excluded from the calculation of diluted earnings per share 535 1,138 |
Stock-Based Compensation | Stock-Based Compensation The Company recognizes compensation expense for its grants of stock-based awards based on the estimated fair value on the grant date. Compensation cost for awards is recognized using the straight-line method over the vesting period. Stock-based compensation is included in selling, general and administrative expense. |
Vulnerability Due to Certain Concentrations | Vulnerability Due to Certain Concentrations Financial instruments that potentially subject the Company to concentration of credit risk consist principally of cash, cash equivalents, restricted cash and cash equivalents, debt securities, equity investments, and trade accounts receivable. The Company holds cash and cash equivalents at several major financial institutions, which often exceed FDIC insurance limits. Historically, the Company has not experienced any losses due to such concentration of credit risk. The Company’s temporary cash investments policy is to limit the dollar amount of investments with any one financial institution and monitor the credit ratings of those institutions. While the Company may be exposed to credit losses due to the nonperformance of the holders of its deposits, the Company does not expect the settlement of these transactions to have a material effect on its results of operations, cash flows, or financial condition. IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) Concentration of credit risk with respect to trade accounts receivable is limited due to the large number of customers in various geographic regions and industry segments comprising the Company’s customer base. No single customer accounted for more than 10% of consolidated revenues in fiscal 2021 or fiscal 2020. However, the Company’s five largest customers collectively accounted for 14.5% and 12.7% of its consolidated revenues in fiscal 2021 and fiscal 2020, respectively. The Company’s customers with the five largest receivable balances collectively accounted for 9.7% and 13.8% of the consolidated gross trade accounts receivable at July 31, 2021 and 2020, respectively. This concentration of customers increases the Company’s risk associated with nonpayment by those customers. In an effort to reduce such risk, the Company performs ongoing credit evaluations of its significant customers. In addition, the Company attempts to mitigate the credit risk related to specific Carrier Services customers by also buying services from the customer, in order to create an opportunity to offset its payables and receivables and reduce its net trade receivable exposure risk. When it is practical to do so, the Company will increase its purchases from Carrier Services customers with receivable balances that exceed the Company’s applicable payables in order to maximize the offset and reduce its credit risk. |
Allowance for Doubtful Accounts | Allowance for Doubtful Accounts The Company estimates the balance of its allowance for doubtful accounts by analyzing accounts receivable balances by age and applying historical write-off and collection trend rates. The Company’s estimates include separately providing for customer receivables based on specific circumstances and credit conditions, and when it is deemed probable that the balance is uncollectible. Account balances are written off against the allowance when it is determined that the receivable will not be recovered. The change in the allowance for doubtful accounts is as follows: Schedule Of Changes In Allowance For Doubtful Accounts Year ended July 31 (in thousands) Balance at beginning of year Additions charged to costs and expenses Deductions (1) Balance at end of year 2021 Reserves deducted from accounts receivable: Allowance for doubtful accounts $ 6,085 $ 1,782 $ (3,429 ) $ 4,438 2020 Reserves deducted from accounts receivable: Allowance for doubtful accounts $ 5,444 $ 3,109 $ (2,468 ) $ 6,085 (1) Primarily uncollectible accounts written off, net of recoveries. |
Fair Value Measurements | Fair Value Measurements Fair value of financial and non-financial assets and liabilities is defined as an exit price, which is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The three-tier hierarchy for inputs used to measure fair value, which prioritizes the inputs to valuation techniques used to measure fair value, is as follows: Level 1– quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2– quoted prices for similar assets and liabilities in active markets or inputs that are observable for the asset or liability, either directly or indirectly through market corroboration, for substantially the full term of the financial instrument. Level 3– unobservable inputs based on the Company’s assumptions used to measure assets and liabilities at fair value. A financial asset or liability’s classification within the hierarchy is determined based on the lowest level input that is significant to the fair value measurement. The assessment of the significance of a particular input to the fair value measurement requires judgment and may affect the valuation of the assets and liabilities being measured and their placement within the fair value hierarchy. |
Leases | Leases On August 1, 2019, the Company adopted ASU No. 2016-02, Leases (Topic 842) IDT CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) The Company elected to apply the optional ASC 842 transition provisions beginning on August 1, 2019. Accordingly, the Company continued to apply Topic 840 prior to August 1, 2019. The Company elected the package of practical expedients for all its leases that commenced before August 1, 2019. In addition, the Company elected not to apply the recognition requirements of ASC 842 for its short-term leases. As the Company’s leases do not provide an implicit rate, nor is one readily available, the Company used its incremental borrowing rate based on information available at August 1, 2019 to determine the present value of its future minimum rental payments. |
Recently Issued Accounting Standard Not Yet Adopted | Recently Issued Accounting Standard Not Yet Adopted In June 2016, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2016-13, Financial Instruments—Credit Losses (Topic 326) Measurement of Credit Losses on Financial Instruments, |
Description of Business and S_3
Description of Business and Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Jul. 31, 2021 | |
Accounting Policies [Abstract] | |
Schedule of Weighted-average Number of Shares Used in the Calculation of Basic and Diluted Earnings Per Share | Schedule of Weighted-average Number of Shares Used in the Calculation of Basic and Diluted Earnings Per Share Year ended July 31 (in thousands) 2021 2020 Basic weighted-average number of shares 25,495 26,278 Effect of dilutive securities: Stock options 229 1 Non-vested restricted Class B common stock 329 162 Diluted weighted-average number of shares 26,053 26,441 |
Schedule of Outstanding Stock Options Excluded from the Calculation of Diluted Earnings Per Share | Schedule of Outstanding Stock Options Excluded from the Calculation of Diluted Earnings Per Share Year ended July 31 (in thousands) 2021 2020 Shares excluded from the calculation of diluted earnings per share 535 1,138 |
Schedule Of Changes In Allowance For Doubtful Accounts | Schedule Of Changes In Allowance For Doubtful Accounts Year ended July 31 (in thousands) Balance at beginning of year Additions charged to costs and expenses Deductions (1) Balance at end of year 2021 Reserves deducted from accounts receivable: Allowance for doubtful accounts $ 6,085 $ 1,782 $ (3,429 ) $ 4,438 2020 Reserves deducted from accounts receivable: Allowance for doubtful accounts $ 5,444 $ 3,109 $ (2,468 ) $ 6,085 (1) Primarily uncollectible accounts written off, net of recoveries. |
Business Segment Information (T
Business Segment Information (Tables) | 12 Months Ended |
Jul. 31, 2021 | |
Segment Reporting [Abstract] | |
Schedule of Operating Results of Business Segments | Operating results for the business segments of the Company were as follows: Schedule of Operating Results of Business Segments (in thousands) Fintech net2phone-UCaaS Traditional Communications Corporate Total Year ended July 31, 2021 Revenues $ 74,343 $ 43,897 $ 1,328,750 $ — $ 1,446,990 (Loss) income from operations (1,462 ) (14,272 ) 80,117 (7,393 ) 56,990 Depreciation and amortization (1,751 ) (5,007 ) (10,930 ) (76 ) (17,764 ) Year ended July 31, 2020 Revenues $ 59,924 $ 31,781 $ 1,254,064 $ — $ 1,345,769 Income (loss) from operations 3,381 (15,080 ) 39,300 (9,659 ) 17,942 Depreciation and amortization (1,524 ) (4,073 ) (14,763 ) (46 ) (20,406 ) |
Schedule of Net Long-lived Assets and Total Assets by Geographic Areas | Net long-lived assets and total assets held outside of the United States, which are located primarily in Western Europe, were as follows: Schedule of Net Long-lived Assets and Total Assets by Geographic Areas (in thousands) United States Foreign Countries Total July 31, 2021 Long-lived assets, net $ 19,562 $ 11,267 $ 30,829 Total assets 230,126 282,529 512,655 July 31, 2020 Long-lived assets, net $ 18,834 $ 11,227 $ 30,061 Total assets 102,176 302,574 404,750 |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 12 Months Ended |
Jul. 31, 2021 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Revenues Disaggregated by Business Segment and Service Offered to Customers | The following table shows the Company’s revenues disaggregated by business segment and service offered to customers: Schedule of Revenues Disaggregated by Business Segment and Service Offered to Customers Year ended July 31 (in thousands) 2021 2020 BOSS Revolution Money Transfer $ 49,595 $ 47,944 National Retail Solutions 24,748 11,980 Total Fintech 74,343 59,924 net2phone-UCaaS 43,897 31,781 Mobile Top-Up 461,603 334,424 BOSS Revolution Calling 455,244 468,255 Carrier Services 360,997 394,334 Other 50,906 57,051 Total Traditional Communications 1,328,750 1,254,064 TOTAL $ 1,446,990 $ 1,345,769 |
Schedule of Revenues Disaggregated by Geographic Region | Schedule of Revenues Disaggregated by Geographic Region (in thousands) Fintech net2phone-UCaaS Traditional Communications Total Year ended July 31, 2021 United States $ 74,343 $ 23,071 $ 1,030,963 $ 1,128,377 Outside the United States: United Kingdom — — 244,626 244,626 Netherlands — — 28 28 Other — 20,826 53,133 73,959 Total outside the United States — 20,826 297,787 318,613 TOTAL $ 74,343 $ 43,897 $ 1,328,750 $ 1,446,990 Year ended July 31, 2020 United States $ 59,924 $ 15,490 $ 847,450 $ 922,864 Outside the United States: United Kingdom — 12 134,339 134,351 Netherlands — — 210,743 210,743 Other — 16,279 61,532 77,811 Total outside the United States — 16,291 406,614 422,905 TOTAL $ 59,924 $ 31,781 $ 1,254,064 $ 1,345,769 |
Schedule of Deferred Customer Contract Acquisition Costs | The Company’s deferred customer contract acquisition costs were as follows: Schedule of Deferred Customer Contract Acquisition Costs July 31 (in thousands) 2021 2020 Deferred customer contract acquisition costs included in “Other current assets” $ 3,460 $ 2,350 Deferred customer contract acquisition costs included in “Other assets” 3,151 2,384 TOTAL $ 6,611 $ 4,734 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Jul. 31, 2021 | |
Leases | |
Schedule of Supplemental Disclosures Related to the Company's Operating Leases | Supplemental disclosures related to the Company’s operating leases were as follows: Schedule of Supplemental Disclosures Related to the Company's Operating Leases Year ended July 31 2021 2020 Operating lease cost $ 2,824 $ 2,832 Short-term lease cost 620 246 TOTAL LEASE COST $ 3,444 $ 3,078 Cash paid for amounts included in the measurement of lease liabilities: $ 2,779 $ 2,745 |
Schedule of Supplemental Disclosures Related Weighted Average Operating Leases | Schedule of Supplemental Disclosures Related Weighted Average Operating Leases July 31 2021 2020 Weighted-average remaining lease term-operating leases 3.4 years 4.2 Weighted-average discount rate-operating leases 2.9 % 3.12 % |
Schedule of Aggregate Operating Lease Liability | Schedule of Aggregate Operating Lease Liability July 31 (in thousands) 2021 2020 Operating lease liabilities included in “Other current liabilities” $ 2,456 $ 2,350 Operating lease liabilities included in noncurrent liabilities 5,473 7,353 TOTAL $ 7,929 $ 9,703 |
Schedule of Future Minimum Maturities of Operating Lease Liabilities | Future minimum maturities of operating lease liabilities were as follows: Schedule of Future Minimum Maturities of Operating Lease Liabilities (in thousands) Year ending July 31: 2022 $ 2,656 2023 2,432 2024 1,844 2025 1,423 2026 — Thereafter — Total lease payments 8,355 Less imputed interest (426 ) Total operating lease liabilities $ 7,929 |
Cash, Cash Equivalents, and R_2
Cash, Cash Equivalents, and Restricted Cash and Cash Equivalents (Tables) | 12 Months Ended |
Jul. 31, 2021 | |
Cash and Cash Equivalents [Abstract] | |
Schedule of Cash, Cash Equivalents, and Restricted Cash and Cash Equivalents | The following table provides a reconciliation of cash, cash equivalents, and restricted cash and cash equivalents reported in the consolidated balance sheets that equals the total of the same amounts reported in the consolidated statements of cash flows: Schedule of Cash, Cash Equivalents, and Restricted Cash and Cash Equivalents July 31 2021 2020 Cash and cash equivalents $ 107,147 $ 84,860 Restricted cash and cash equivalents 119,769 116,362 TOTAL CASH, CASH EQUIVALENTS, AND RESTRICTED CASH AND CASH EQUIVALENTS $ 226,916 $ 201,222 |
Acquisitions (Tables)
Acquisitions (Tables) | 12 Months Ended |
Jul. 31, 2021 | |
AcquistionsLineItem [Line Items] | |
Schedule of Acquisition Date Fair Value of Consideration | The acquisition date fair value of the consideration consisted of the following (in thousands): Schedule of Acquisition Date Fair Value of Consideration (in thousands) Dec 3, 2020 Cash paid $ 2,732 Cash acquired (344 ) Cash paid, net of cash acquired 2,388 Contingent consideration 393 Total fair value of consideration, net of cash acquired $ 2,781 |
Schedule of Impact of Acquisition's Purchase Price Allocations on Consolidated Balance Sheet | The impact of the acquisition’s purchase price allocations on the Company’s consolidated balance sheet was as follows: Schedule of Impact of Acquisition's Purchase Price Allocations on Consolidated Balance Sheet (in thousands) Dec 3, 2020 Trade accounts receivable $ 656 Prepaid expenses 1,644 Property, plant, and equipment 75 Goodwill 2,025 Customer relationships ( 15 1,960 Tradenames ( 20 440 Deferred income tax assets 197 Other assets 30 Trade accounts payable (1,306 ) Accrued expenses (423 ) Other current liabilities (329 ) Non-compete agreement Other liabilities Noncontrolling interests (2,188 ) Net assets acquired excluding cash $ 2,781 |
Ringsouth Europa SL [Member] | |
AcquistionsLineItem [Line Items] | |
Schedule of Acquisition Date Fair Value of Consideration | The acquisition date fair value of the consideration consisted of the following: Schedule of Acquisition Date Fair Value of Consideration (in thousands) Dec 11, 2019 Cash paid $ 450 Contingent consideration 375 Total fair value of consideration $ 825 |
Schedule of Impact of Acquisition's Purchase Price Allocations on Consolidated Balance Sheet | The impact of the acquisition’s purchase price allocations on the Company’s consolidated balance sheet was as follows: Schedule of Impact of Acquisition's Purchase Price Allocations on Consolidated Balance Sheet (in thousands) Dec 11, 2019 Trade accounts receivable $ 142 Other current assets 21 Property, plant, and equipment 84 Goodwill 1,437 Non-compete agreement ( 4 50 Customer relationships ( 7 130 Tradename ( 2 30 Deferred income tax assets 118 Other assets 10 Trade accounts payable (302 ) Accrued expenses (136 ) Other current liabilities (408 ) Other liabilities (351 ) Net assets acquired $ 825 |
Debt Securities (Tables)
Debt Securities (Tables) | 12 Months Ended |
Jul. 31, 2021 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of Available-for-sale Securities | The following is a summary of available-for-sale debt securities: Schedule of Available-for-sale Securities (in thousands) Amortized Gross Gross Fair Value July 31, 2021 Certificates of deposit* $ 1,200 $ 3 $ — $ 1,203 U.S. Treasury bills and notes 1,669 — (17 ) 1,652 Corporate bonds 6,327 38 (33 ) 6,332 Municipal bonds 4,825 — — 4,825 TOTAL $ 14,021 $ 41 $ (50 ) $ 14,012 July 31, 2020 Certificates of deposit* $ 13,844 $ 58 $ — $ 13,902 U.S. Treasury bills 2,498 — — 2,498 Municipal bonds 1,979 — (16 ) 1,963 TOTAL $ 18,321 $ 58 $ (16 ) $ 18,363 * Each of the Company’s certificates of deposit has a CUSIP, was purchased in the secondary market through a broker and may be sold in the secondary market. |
Schedule of Contractual Maturities of Available-for-sale Debt Securities | The contractual maturities of the Company’s available-for-sale debt securities at July 31, 2021 were as follows: Schedule of Contractual Maturities of Available-for-sale Debt Securities (in thousands) Fair Value Within one year $ 2,489 After one year through five years 7,463 After five years through ten years 3,771 After ten years 289 TOTAL $ 14,012 |
Schedule of Available-for-sale Securities, Unrealized Loss Position | The following available-for-sale debt securities were in an unrealized loss position for which other-than-temporary impairments were not recognized: Schedule of Available-for-sale Securities, Unrealized Loss Position (in thousands) Unrealized Fair July 31, 2021 U.S. Treasury bills and notes $ 17 $ 1,652 Corporate bonds 33 3,293 TOTAL $ 50 $ 4,945 July 31, 2020 Municipal bonds $ 16 $ 1,963 |
Equity Investments (Tables)
Equity Investments (Tables) | 12 Months Ended |
Jul. 31, 2021 | |
Equity Investments | |
Schedule of Equity Investments | Equity investments consist of the following: Schedule of Equity Investments July 31 2021 2020 Zedge, Inc. Class B common stock, 42,282 $ 649 $ 59 Rafael Holdings, Inc. Class B common stock, 246,565 27,806 12,479 389 Rafael Holdings, Inc. restricted Class B common stock, 43,649 nil 2,209 — Other marketable equity securities 3,630 — Fixed income mutual funds 23,467 5,516 Current equity investments $ 42,434 $ 5,964 Visa Inc. Series C Convertible Participating Preferred Stock (“Visa Series C Preferred”) $ 2,465 $ 3,825 Series B convertible preferred stock—equity method investment 2,901 — Hedge funds 3,563 4,783 Other 2,725 225 Noncurrent equity investments $ 11,654 $ 8,833 |
Schedule of Carrying Value of Equity Investments | The changes in the carrying value of the Company’s equity investments without readily determinable fair values for which the Company elected the measurement alternative was as follows: Schedule of Carrying Value of Equity Investments Year ended July 31 2021 2020 Balance, beginning of period $ 4,109 $ 3,919 Redemption for Visa mandatory release assessment (1,870 ) — Adjustment for observable transactions involving a similar investment from the same issuer 510 206 Upward adjustments — 3 Redemptions (6 ) (19 ) Impairments — — BALANCE, END OF PERIOD $ 2,743 $ 4,109 |
Schedule of Unrealized (losses) Gains for All Equity Investments | Unrealized gains and losses for all equity investments included the following: Schedule of Unrealized (losses) Gains for All Equity Investments Year ended July 31 2021 2020 Net gains (losses) recognized during the period on equity investments $ 8,830 $ (336 ) Less: net gains recognized during the period on equity investments redeemed during the period 1,090 — Unrealized gains (losses) recognized during the period on equity investments still held at the reporting date $ 7,740 $ (336 ) |
Summary of Changes in Equity Method Investments | The following table summarizes the change in the balance of the Company’s equity method investment: Summary of Changes in Equity Method Investments Year ended July 31 2021 2020 Balance, beginning of period $ — $ — Purchase of series B convertible preferred stock 4,000 — Equity in the net loss of investee (816 ) — Amortization of equity method basis difference (283 ) — BALANCE, END OF PERIOD $ 2,901 $ — |
Summary of Statements of Operations | Summarized financial information of the EMI was as follows: Summary of Statements of Operations July 31, 2021 Current assets $ 1,467 Noncurrent assets $ 2,549 Current liabilities $ (4,041 ) Noncurrent liabilities $ (50 ) From the date of acquisition to July 31, 2021 (in thousands) REVENUES $ 1,898 COSTS AND EXPENSES: Direct cost of revenues 1,937 Selling, general and administrative 3,388 TOTAL COSTS AND EXPENSES 5,325 LOSS FROM OPERATIONS (3,427 ) Other income, net 101 NET LOSS $ (3,326 ) On August 10, 2021, the Company paid $ 1.1 26.57 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Jul. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
Schedule of Balance of Assets Measured at Fair Value On a Recurring Basis | The following table presents the balance of assets and liabilities measured at fair value on a recurring basis: Schedule of Balance of Assets Measured at Fair Value On a Recurring Basis (in thousands) Level 1 Level 2 Level 3 Total July 31, 2021 Debt securities $ 1,652 $ 12,360 $ — $ 14,012 Equity investments included in current assets 40,225 2,209 — 42,434 Equity investments included in noncurrent assets — — 2,465 2,465 TOTAL $ 41,877 $ 14,569 $ 2,465 $ 58,911 Contingent consideration included in: Other current liabilities (see Note 6) $ — $ — $ (628 ) $ (628 ) Other noncurrent liabilities (see Note 6) — — (397 ) (397 ) TOTAL $ — $ — $ (1,025 ) $ (1,025 ) July 31, 2020 Debt securities $ 2,498 $ 15,865 $ — $ 18,363 Equity investments included in current assets 5,964 — — 5,964 Equity investments included in noncurrent assets — — 3,825 3,825 TOTAL $ 8,462 $ 15,865 $ 3,825 $ 28,152 Contingent consideration included in other noncurrent liabilities (see Note 6) $ — $ — $ (396 ) $ (396 ) |
Schedule of Assets Measured at Fair Value On a Recurring Basis Using Significant Unobservable Inputs (level 3) | The following tables summarize the change in the balance of the Company’s assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3): Schedule of Assets Measured at Fair Value On a Recurring Basis Using Significant Unobservable Inputs (level 3) Year ended July 31, 2021 2020 Balance, beginning of period $ 3,825 $ 3,619 Purchase of Rafael Holdings, Inc. warrant 354 — Exercise of Rafael Holdings, Inc. warrant (380 ) — Redemption for Visa mandatory release assessment (1,870 ) — Total gains included in “Other income (expense), net” 536 206 BALANCE, END OF PERIOD $ 2,465 $ 3,825 Change in unrealized gains or losses for the period included in earnings for assets held at the end of the period $ — $ — |
Schedule of Liabilities Measured at Fair Value On a Recurring Basis Using Significant Unobservable Inputs (level 3) | The following tables summarize the change in the balance of the Company’s liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3): Schedule of Liabilities Measured at Fair Value On a Recurring Basis Using Significant Unobservable Inputs (level 3) Year ended July 31, 2021 2020 Balance, beginning of period $ 396 $ — Transfer into Level 3 from acquisitions (see Note 6) 628 375 Total losses included in “Foreign currency translation adjustments” 1 21 BALANCE, END OF PERIOD $ 1,025 $ 396 Change in unrealized gains or losses for the period included in earnings for liabilities at the end of the period $ — $ — |
Property, Plant, and Equipment
Property, Plant, and Equipment (Tables) | 12 Months Ended |
Jul. 31, 2021 | |
Property, Plant and Equipment [Line Items] | |
Schedule of Property, Plant and Equipment | Property, plant, and equipment consist of the following: Schedule of Property, Plant and Equipment July 31 2021 2020 Equipment $ 50,039 $ 67,530 Computer software 141,978 130,565 Leasehold improvements 1,727 1,723 Furniture and fixtures 588 450 Property, plant and equipment, gross 194,332 200,268 Less accumulated depreciation and amortization (163,503 ) (170,207 ) Property, plant, and equipment, net $ 30,829 $ 30,061 |
Telephone Equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Schedule of Property, Plant and Equipment | Telephone equipment leased to customers included in “Equipment” in the table above was as follows: Schedule of Property, Plant and Equipment July 31 (in thousands) 2021 2020 Equipment $ 7,438 $ 4,563 Property, plant and equipment, gross $ 7,438 $ 4,563 Less accumulated depreciation (2,071 ) (1,021 ) Net $ 5,367 $ 3,542 |
Goodwill (Tables)
Goodwill (Tables) | 12 Months Ended |
Jul. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Change in Carrying Amount of Goodwill by Operating Segment | The table below reconciles the change in the carrying amount of goodwill by operating segment for the period from July 31, 2019 to July 31, 2021: Schedule of Change in Carrying Amount of Goodwill by Operating Segment (in thousands) Traditional Communications net2phone-UCaaS Total Balance at July 31, 2019 $ 11,209 $ — $ 11,209 Acquisition — 1,437 1,437 Foreign currency translation adjustments 130 82 212 Balance at July 31, 2020 11,339 1,519 12,858 Acquisition 2,025 — 2,025 Foreign currency translation adjustments 10 4 14 Balance at July 31, 2021 $ 13,374 $ 1,523 $ 14,897 |
Other Intangible Assets (Tables
Other Intangible Assets (Tables) | 12 Months Ended |
Jul. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Company's Amortized Intangible Assets | The table below presents information on the Company’s amortized intangible assets: Schedule of Company's Amortized Intangible Assets (in thousands) Weighted Gross Accumulated Net July 31, 2021 Tradenames 13.0 $ 2,080 $ (506 ) $ 1,574 Non-compete agreements 4.9 680 (380 ) 300 Customer relationships 11.5 9,462 (3,758 ) 5,704 TOTAL 11.4 $ 12,222 $ (4,644 ) $ 7,578 July 31, 2020 Tradenames 16.5 $ 1,017 $ (392 ) $ 625 Non-compete agreements 4.9 636 (227 ) 409 Customer relationships 11.2 6,215 (3,290 ) 2,925 TOTAL 11.4 $ 7,868 $ (3,909 ) $ 3,959 |
Variable Interest Entity (Table
Variable Interest Entity (Tables) | 12 Months Ended |
Jul. 31, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Net Income (loss) and Aggregate Funding Provided by the Company to VIE to Finance Its Operations or Repaid | The VIE’s net income and aggregate funding provided by the Company to finance the VIE’s operations were as follows: Schedule of Net Income (loss) and Aggregate Funding Provided by the Company to VIE to Finance Its Operations or Repaid For the period from May 31, 2021 to July 31, 2021 Net income of the VIE $ 54 Aggregate funding provided by the Company, net $ (8 ) |
VIE’s Summarized Consolidated Balance Sheet | The VIE’s summarized consolidated balance sheet amounts are as follows: VIE’s Summarized Consolidated Balance Sheet (in thousands) May 31, 2021 July 31, 2021 ASSETS Cash and cash equivalents $ 1,249 $ 1,364 Restricted cash 2,087 3,848 Trade accounts receivable, net 80 91 Prepaid expenses 126 344 Other current assets 1,248 858 Property, plant, and equipment, net 637 637 Other intangibles, net 1,067 1,042 TOTAL ASSETS $ 6,494 $ 8,184 LIABILITIES AND NONCONTROLLING INTERESTS Trade accounts payable $ 22 $ 312 Accrued expenses 43 26 Other current liabilities 3,136 4,491 Due to the Company — 8 Accumulated other comprehensive loss (7) (7 ) Noncontrolling interests 3,300 3,354 TOTAL LIABILITIES AND NONCONTROLLING INTERESTS $ 6,494 $ 8,184 |
Other Operating Gain (Expense_2
Other Operating Gain (Expense), Net (Tables) | 12 Months Ended |
Jul. 31, 2021 | |
Other Income and Expenses [Abstract] | |
Schedule of Other Operating Gain (Expense), Net | The following table summarizes the other operating gain (expense), net by business segment: Schedule of Other Operating Gain (Expense), Net Year ended July 31 2021 2020 Corporate —Straight Path Communications Inc. class action insurance claims net of legal fees/(legal fees net of insurance claims) $ 225 $ (531 ) net2phone-UCaaS—other, net (100 ) (63 ) Fintech—money transfer settlement 45 — Traditional Communications—gain from sale of rights under class action lawsuit 2,000 — Traditional Communications—net2phone indemnification claim (472 ) (1,244 ) Traditional Communications—accrual for non-income related taxes related to a foreign subsidiary — (2,150 ) Traditional Communications—other (967 ) (1,075 ) TOTAL $ 731 $ (5,063 ) |
Accrued Expenses (Tables)
Accrued Expenses (Tables) | 12 Months Ended |
Jul. 31, 2021 | |
Payables and Accruals [Abstract] | |
Schedule of Accrued Expenses | Accrued expenses consist of the following: Schedule of Accrued Expenses July 31 2021 2020 Carrier minutes termination $ 35,738 $ 33,766 Regulatory fees and taxes 52,292 54,087 Compensation costs 15,465 16,051 Maintenance and support 3,258 2,015 Commissions (money transfer and Mobile Top-Up) 3,213 1,904 Legal and professional fees 6,134 5,466 Other 12,985 12,255 TOTAL $ 129,085 $ 125,544 |
Other Income (Expense), Net (Ta
Other Income (Expense), Net (Tables) | 12 Months Ended |
Jul. 31, 2021 | |
Other Income and Expenses [Abstract] | |
Schedule of Other Income, (Expense) Net | Other income (expense), net consists of the following: Schedule of Other Income, (Expense) Net Year ended July 31 2021 2020 Foreign currency transaction gains $ 1,009 $ 370 Equity in net loss of investee (1,099 ) — Write-off of tax assets related to prior periods — (1,346 ) Gain (loss) on investments 8,830 (336 ) Other (824 ) 45 TOTAL $ 7,916 $ (1,267 ) |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Jul. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Components of Income Before Income Taxes | The components of income before income taxes are as follows: Components of Income Before Income Taxes Year ended July 31 2021 2020 Domestic $ 60,969 $ 13,380 Foreign 4,255 4,338 INCOME BEFORE INCOME TAXES $ 65,224 $ 17,718 |
Significant Components of Deferred Income Taxes | Significant components of the Company’s deferred income tax assets consist of the following: Significant Components of Deferred Income Taxes July 31 2021 2020 Deferred income tax assets: Bad debt reserve $ 1,011 $ 854 Accrued expenses 3,456 2,963 Stock options and restricted stock 980 1,226 Charitable contributions 778 659 Depreciation (373 ) (71 ) Unrealized gain (1,826 ) (302 ) Net operating loss 49,368 62,588 Deferred revenue (352 ) (705 ) Total deferred income tax assets 53,042 67,212 Valuation allowance (11,540 ) (58,700 ) NET DEFERRED INCOME TAX ASSETS $ 41,502 $ 8,512 |
Schedule of (Provision for) Benefits from Income Taxes | The (provision for) benefit from income taxes consist of the following: Schedule of (Provision for) Benefits from Income Taxes Year ended July 31 2021 2020 Current: Federal $ — $ — State and local (512 ) (46 ) Foreign (811 ) (177 ) Current (1,323 ) (223 ) Deferred: Federal 26,408 8,345 State and local (57 ) 12 Foreign 6,639 (4,434 ) Deferred 32,990 3,923 BENEFIT FROM INCOME TAXES $ 31,667 $ 3,700 |
Schedule of Differences Between Income Taxes Expected Federal Statutory Income Taxes | The differences between income taxes expected at the U.S. federal statutory income tax rate and income taxes provided are as follows: Schedule of Differences Between Income Taxes Expected Federal Statutory Income Taxes Year ended July 31 2021 2020 U.S. federal income tax at statutory rate $ (13,697 ) $ (3,721 ) Valuation allowance 47,862 15,470 Foreign tax rate differential (190 ) (3,702 ) Nondeductible expenses (636 ) (813 ) Other 299 88 Foreign restructuring (1,510 ) (3,266 ) State and local income tax, net of federal benefit (461 ) (356 ) BENEFIT FROM INCOME TAXES $ 31,667 $ 3,700 |
Summary of Changes in Valuation Allowance | The change in the valuation allowance is as follows: Summary of Changes in Valuation Allowance Year ended July 31 Balance at Additions Deductions Balance at 2021 Reserves deducted from deferred income taxes, net: Valuation allowance $ 58,700 $ 835 $ (47,995 ) $ 11,540 2020 Reserves deducted from deferred income taxes, net: Valuation allowance $ 74,170 $ — $ (15,470 ) $ 58,700 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Jul. 31, 2021 | |
Schedule of Stock Option Activity | A summary of stock option activity for the Company is as follows: Schedule of Stock Option Activity Number of Weighted- Weighted- Aggregate Outstanding at July 31, 2020 1,126 $ 14.42 Granted — — Exercised (81 ) (8.48 ) Cancelled / Forfeited (10 ) (13.72 ) OUTSTANDING AT JULY 31, 2021 1,035 $ 14.89 0.8 $ 36,133 EXERCISABLE AT JULY 31, 2021 1,035 $ 14.89 0.8 $ 36,133 |
Schedule of Grants of Restricted Shares | A summary of the status of the Company’s grants of DSUs under this program is presented below: Schedule of Grants of Restricted Shares (in thousands) Number of Weighted- Non-vested shares at July 31, 2020 315 $ 10.26 Granted 1 11.19 Vested (152 ) (10.07 ) Forfeited (10 ) (11.19 ) NON-VESTED SHARES AT JULY 31, 2021 154 $ 10.39 |
Common Class B [Member] | |
Schedule of Grants of Restricted Shares | A summary of the status of the Company’s grants of restricted shares of Class B common stock is presented below: Schedule of Grants of Restricted Shares (in thousands) Number of Weighted- Non-vested shares at July 31, 2020 199 $ 4.41 Granted 17 12.70 Vested (21 ) (10.47 ) Forfeited — — NON-VESTED SHARES AT JULY 31, 2021 195 $ 4.49 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 12 Months Ended |
Jul. 31, 2021 | |
EQUITY: | |
Schedule of Accumulated Balances for Each Classification of Other Comprehensive (Loss) Income | The accumulated balances for each classification of other comprehensive income (loss) were as follows: Schedule of Accumulated Balances for Each Classification of Other Comprehensive (Loss) Income (in thousands) Unrealized Foreign Accumulated Balance at July 31, 2019 $ — $ (4,858 ) $ (4,858 ) Other comprehensive income (loss) attributable to IDT Corporation 42 (2,594 ) (2,552 ) Balance at July 31, 2020 42 (7,452 ) (7,410 ) Balance at July 31, 2020 42 (7,452 ) (7,410 ) Other comprehensive loss attributable to IDT Corporation (51 ) (2,722 ) (2,773 ) BALANCE AT JULY 31, 2021 $ (9 ) $ (10,174 ) $ (10,183 ) |
Description of Business and S_4
Description of Business and Summary of Significant Accounting Policies (Details Narrative) $ in Thousands | 12 Months Ended | |
Jul. 31, 2021USD ($)Integer | Jul. 31, 2020USD ($) | |
AccountingPoliciesLineItem [Line Items] | ||
Number of Reportable Segments | Integer | 3 | |
Disbursement prefunding | $ 27,656 | $ 25,325 |
Other current liabilities | 27,930 | 18,070 |
Advertising expense | 15,300 | 15,700 |
Amortization expense | 12,600 | 14,600 |
Amortization expense | $ 16,700 | $ 18,100 |
Tax position ultimate settlement, percentage | 50.00% | |
Revenue Benchmark [Member] | Customer Concentration Risk [Member] | ||
AccountingPoliciesLineItem [Line Items] | ||
Concentration risk threshold percentage | 14.50% | 12.70% |
Accounts Receivable [Member] | Customer Concentration Risk [Member] | ||
AccountingPoliciesLineItem [Line Items] | ||
Concentration risk threshold percentage | 9.70% | 13.80% |
Equipment [Member] | ||
AccountingPoliciesLineItem [Line Items] | ||
Estimated useful lives of long-lived assets | 7 years | |
Computer Software [Member] | ||
AccountingPoliciesLineItem [Line Items] | ||
Estimated useful lives of long-lived assets | 3 years | |
Furniture and Fixtures [Member] | ||
AccountingPoliciesLineItem [Line Items] | ||
Estimated useful lives of long-lived assets | 7 years | |
Software and Software Development Costs [Member] | ||
AccountingPoliciesLineItem [Line Items] | ||
InternalUseSoftwarePolicyDescription | The Company capitalizes the cost of internal-use software that has a useful life in excess of one year. | |
Minimum [Member] | Equipment [Member] | ||
AccountingPoliciesLineItem [Line Items] | ||
Estimated useful lives of long-lived assets | 5 years | |
Minimum [Member] | Computer Software [Member] | ||
AccountingPoliciesLineItem [Line Items] | ||
Estimated useful lives of long-lived assets | 2 years | |
Minimum [Member] | Furniture and Fixtures [Member] | ||
AccountingPoliciesLineItem [Line Items] | ||
Estimated useful lives of long-lived assets | 5 years | |
Maximum [Member] | Equipment [Member] | ||
AccountingPoliciesLineItem [Line Items] | ||
Estimated useful lives of long-lived assets | 20 years | |
Maximum [Member] | Computer Software [Member] | ||
AccountingPoliciesLineItem [Line Items] | ||
Estimated useful lives of long-lived assets | 5 years | |
Maximum [Member] | Furniture and Fixtures [Member] | ||
AccountingPoliciesLineItem [Line Items] | ||
Estimated useful lives of long-lived assets | 10 years | |
Revision of Prior Period, Reclassification, Adjustment [Member] | ||
AccountingPoliciesLineItem [Line Items] | ||
Disbursement prefunding | $ 25,300 | |
Other current liabilities | $ 6,000 |
Schedule of Weighted-average Nu
Schedule of Weighted-average Number of Shares Used in the Calculation of Basic and Diluted Earnings Per Share (Details) - shares | 12 Months Ended | |
Jul. 31, 2021 | Jul. 31, 2020 | |
Accounting Policies [Abstract] | ||
Basic weighted-average number of shares | 25,495,000 | 26,278,000 |
Stock options | 229,000 | 1,000 |
Non-vested restricted Class B common stock | 329,000 | 162,000 |
Diluted weighted-average number of shares | 26,053,000 | 26,441,000 |
Schedule of Outstanding Stock O
Schedule of Outstanding Stock Options Excluded from the Calculation of Diluted Earnings Per Share (Details) - shares shares in Thousands | 12 Months Ended | |
Jul. 31, 2021 | Jul. 31, 2020 | |
Accounting Policies [Abstract] | ||
Shares excluded from the calculation of diluted earnings per share | 535 | 1,138 |
Schedule Of Changes In Allowanc
Schedule Of Changes In Allowance For Doubtful Accounts (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jul. 31, 2021 | Jul. 31, 2020 | ||
Accounting Policies [Abstract] | |||
Allowance for doubtful accounts, Balance at beginning of year | $ 6,085 | $ 5,444 | |
Allowance for doubtful accounts, Additions charged to costs and expenses | 1,782 | 3,109 | |
Allowance for doubtful accounts, Deductions | [1] | (3,429) | (2,468) |
Allowance for doubtful accounts, Balance at end of year | $ 4,438 | $ 6,085 | |
[1] | Primarily uncollectible accounts written off, net of recoveries. |
Schedule of Operating Results o
Schedule of Operating Results of Business Segments (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jul. 31, 2021 | Jul. 31, 2020 | |
Segment Reporting Information [Line Items] | ||
Revenues | $ 1,446,990 | $ 1,345,769 |
Operating Income (Loss) | 56,990 | 17,942 |
Depreciation and amortization | (17,764) | (20,406) |
Fintech [Member] | ||
Segment Reporting Information [Line Items] | ||
Revenues | 74,343 | 59,924 |
Operating Income (Loss) | (1,462) | 3,381 |
Depreciation and amortization | (1,751) | (1,524) |
Net2phone-UCaaS [Member] | ||
Segment Reporting Information [Line Items] | ||
Revenues | 43,897 | 31,781 |
Operating Income (Loss) | (14,272) | (15,080) |
Depreciation and amortization | (5,007) | (4,073) |
Traditional Communications [Member] | ||
Segment Reporting Information [Line Items] | ||
Revenues | 1,328,750 | 1,254,064 |
Operating Income (Loss) | 80,117 | 39,300 |
Depreciation and amortization | (10,930) | (14,763) |
Corporate Segment [Member] | ||
Segment Reporting Information [Line Items] | ||
Revenues | ||
Operating Income (Loss) | (7,393) | (9,659) |
Depreciation and amortization | $ (76) | $ (46) |
Schedule of Net Long-lived Asse
Schedule of Net Long-lived Assets and Total Assets by Geographic Areas (Details) - USD ($) $ in Thousands | Jul. 31, 2021 | Jul. 31, 2020 |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Long-lived assets, net | $ 30,829 | $ 30,061 |
Total assets | 512,655 | 404,750 |
UNITED STATES | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Long-lived assets, net | 19,562 | 18,834 |
Total assets | 230,126 | 102,176 |
Foreign Countries [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Long-lived assets, net | 11,267 | 11,227 |
Total assets | $ 282,529 | $ 302,574 |
Business Segment Information (D
Business Segment Information (Details Narrative) | 12 Months Ended |
Jul. 31, 2021Integer | |
Segment Reporting [Abstract] | |
Number of Reportable Segments | 3 |
Schedule of Revenues Disaggrega
Schedule of Revenues Disaggregated by Business Segment and Service Offered to Customers (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jul. 31, 2021 | Jul. 31, 2020 | |
Disaggregation of Revenue [Line Items] | ||
Total | $ 1,446,990 | $ 1,345,769 |
Fintech [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total | 74,343 | 59,924 |
Net2phone-UCaaS [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total | 43,897 | 31,781 |
Traditional Communications [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total | 1,328,750 | 1,254,064 |
BOSS Revolution Money Transfer [Member] | Fintech [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total | 49,595 | 47,944 |
National Retail Solutions [Member] | Fintech [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total | 24,748 | 11,980 |
Mobile Top-Up [Member] | Traditional Communications [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total | 461,603 | 334,424 |
BOSS Revolution Calling [Member] | Traditional Communications [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total | 455,244 | 468,255 |
Carrier Services [Member] | Traditional Communications [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total | 360,997 | 394,334 |
Other [Member] | Traditional Communications [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total | $ 50,906 | $ 57,051 |
Schedule of Revenues Disaggre_2
Schedule of Revenues Disaggregated by Geographic Region (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jul. 31, 2021 | Jul. 31, 2020 | |
Disaggregation of Revenue [Line Items] | ||
Total | $ 1,446,990 | $ 1,345,769 |
Total outside the United States | 318,613 | 422,905 |
UNITED STATES | ||
Disaggregation of Revenue [Line Items] | ||
Total | 1,128,377 | 922,864 |
UNITED KINGDOM | ||
Disaggregation of Revenue [Line Items] | ||
Total outside the United States | 244,626 | 134,351 |
NETHERLANDS | ||
Disaggregation of Revenue [Line Items] | ||
Total outside the United States | 28 | 210,743 |
Others [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total outside the United States | 73,959 | 77,811 |
Fintech [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total | 74,343 | 59,924 |
Total outside the United States | ||
Fintech [Member] | UNITED STATES | ||
Disaggregation of Revenue [Line Items] | ||
Total | 74,343 | 59,924 |
Fintech [Member] | UNITED KINGDOM | ||
Disaggregation of Revenue [Line Items] | ||
Total outside the United States | ||
Fintech [Member] | NETHERLANDS | ||
Disaggregation of Revenue [Line Items] | ||
Total outside the United States | ||
Fintech [Member] | Others [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total outside the United States | ||
Net2phone-UCaaS [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total | 43,897 | 31,781 |
Total outside the United States | 20,826 | 16,291 |
Net2phone-UCaaS [Member] | UNITED STATES | ||
Disaggregation of Revenue [Line Items] | ||
Total | 23,071 | 15,490 |
Net2phone-UCaaS [Member] | UNITED KINGDOM | ||
Disaggregation of Revenue [Line Items] | ||
Total outside the United States | 12 | |
Net2phone-UCaaS [Member] | NETHERLANDS | ||
Disaggregation of Revenue [Line Items] | ||
Total outside the United States | ||
Net2phone-UCaaS [Member] | Others [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total outside the United States | 20,826 | 16,279 |
Traditional Communications [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total | 1,328,750 | 1,254,064 |
Total outside the United States | 297,787 | 406,614 |
Traditional Communications [Member] | UNITED STATES | ||
Disaggregation of Revenue [Line Items] | ||
Total | 1,030,963 | 847,450 |
Traditional Communications [Member] | UNITED KINGDOM | ||
Disaggregation of Revenue [Line Items] | ||
Total outside the United States | 244,626 | 134,339 |
Traditional Communications [Member] | NETHERLANDS | ||
Disaggregation of Revenue [Line Items] | ||
Total outside the United States | 28 | 210,743 |
Traditional Communications [Member] | Others [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total outside the United States | $ 53,133 | $ 61,532 |
Schedule of Deferred Customer C
Schedule of Deferred Customer Contract Acquisition Costs (Details) - USD ($) $ in Thousands | Jul. 31, 2021 | Jul. 31, 2020 |
Revenue from Contract with Customer [Abstract] | ||
Deferred customer contract acquisition costs included in “Other current assets” | $ 3,460 | $ 2,350 |
Deferred customer contract acquisition costs included in “Other assets” | 3,151 | 2,384 |
TOTAL | $ 6,611 | $ 4,734 |
Revenue Recognition (Details Na
Revenue Recognition (Details Narrative) - USD ($) $ in Millions | 12 Months Ended | |
Jul. 31, 2021 | Jul. 31, 2020 | |
Revenue from Contract with Customer [Abstract] | ||
Contract liability | $ 28.7 | $ 32.3 |
Capitalized Contract Cost, Amortization | $ 3.6 | $ 2.4 |
Schedule of Supplemental Disclo
Schedule of Supplemental Disclosures Related to the Company's Operating Leases (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jul. 31, 2021 | Jul. 31, 2020 | |
Leases | ||
Operating lease cost | $ 2,824 | $ 2,832 |
Short-term lease cost | 620 | 246 |
TOTAL LEASE COST | 3,444 | 3,078 |
Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases | $ 2,779 | $ 2,745 |
Schedule of Supplemental Disc_2
Schedule of Supplemental Disclosures Related Weighted Average Operating Leases (Details) | Jul. 31, 2021 | Jul. 31, 2020 |
Leases | ||
Operating Lease, Weighted Average Remaining Lease Term | 3 years 4 months 24 days | 4 years 2 months 12 days |
Operating Lease, Weighted Average Discount Rate, Percent | 2.90% | 3.12% |
Schedule of Aggregate Operating
Schedule of Aggregate Operating Lease Liability (Details) - USD ($) $ in Thousands | Jul. 31, 2021 | Jul. 31, 2020 |
Operating lease liabilities included in noncurrent liabilities | $ 5,473 | $ 7,353 |
TOTAL | 7,929 | |
Operating Lease Liability [Member] | ||
Operating lease liabilities included in “Other current liabilities” | 2,456 | 2,350 |
Operating lease liabilities included in noncurrent liabilities | 5,473 | 7,353 |
TOTAL | $ 7,929 | $ 9,703 |
Schedule of Future Minimum Matu
Schedule of Future Minimum Maturities of Operating Lease Liabilities (Details) $ in Thousands | Jul. 31, 2021USD ($) |
Leases | |
2022 | $ 2,656 |
2023 | 2,432 |
2024 | 1,844 |
2025 | 1,423 |
2026 | |
Thereafter | |
Total lease payments | 8,355 |
Less imputed interest | (426) |
Total operating lease liabilities | $ 7,929 |
Leases (Details Narrative)
Leases (Details Narrative) - USD ($) $ in Millions | Sep. 01, 2020 | Jul. 31, 2021 | Jul. 31, 2020 |
DisclosureLeasesLineItem [Line Items] | |||
Operating lease liability | $ 0.6 | ||
Rafael Holdings Inc. [Member] | |||
DisclosureLeasesLineItem [Line Items] | |||
Operating Leases, Rent Expense | $ 1.9 | ||
Newark [Member] | |||
DisclosureLeasesLineItem [Line Items] | |||
LeaseTermDescription | The Newark lease expires in April 2025 and the Israel lease expires in July 2025. | ||
Accounting Standards Update 2016-02 [Member] | |||
DisclosureLeasesLineItem [Line Items] | |||
ASU 2016-02 Adoption | $ 12.4 | ||
Minimum [Member] | |||
DisclosureLeasesLineItem [Line Items] | |||
Lessor, Operating Lease, Renewal Term | 1 year | ||
Maximum [Member] | |||
DisclosureLeasesLineItem [Line Items] | |||
Lessor, Operating Lease, Renewal Term | 4 years |
Schedule of Cash, Cash Equivale
Schedule of Cash, Cash Equivalents, and Restricted Cash and Cash Equivalents (Details) - USD ($) $ in Thousands | Jul. 31, 2021 | Jul. 31, 2020 | Jul. 31, 2019 |
Cash and Cash Equivalents [Abstract] | |||
Cash and cash equivalents | $ 107,147 | $ 84,860 | |
Restricted cash and cash equivalents | 119,769 | 116,362 | |
TOTAL CASH, CASH EQUIVALENTS, AND RESTRICTED CASH AND CASH EQUIVALENTS | $ 226,916 | $ 201,222 | $ 257,199 |
Cash, Cash Equivalents, and R_3
Cash, Cash Equivalents, and Restricted Cash and Cash Equivalents (Details Narrative) - USD ($) $ in Thousands | Jul. 31, 2021 | Jul. 31, 2020 |
Restricted Cash and Cash Equivalents, Current | $ 119,769 | $ 116,362 |
Cash and Cash Equivalents, at Carrying Value | 107,147 | 84,860 |
IDT Financial Services Limited [Member] | ||
Restricted Cash and Cash Equivalents, Current | 115,800 | 116,300 |
IDT Payment Services [Member] | ||
Cash and Cash Equivalents, at Carrying Value | $ 15,300 | $ 11,000 |
Schedule of Acquisition Date Fa
Schedule of Acquisition Date Fair Value of Consideration (Details) - USD ($) $ in Thousands | Jun. 15, 2021 | Dec. 03, 2020 | Dec. 11, 2019 | Jul. 31, 2021 | Jul. 31, 2020 |
AcquistionsLineItem [Line Items] | |||||
Cash paid, net of cash acquired | $ 3,673 | $ 450 | |||
IDT International Telecom, Inc [Member] | |||||
AcquistionsLineItem [Line Items] | |||||
Cash paid | $ 1,000 | $ 2,732 | |||
Cash acquired | (344) | ||||
Cash paid, net of cash acquired | 2,388 | ||||
Contingent consideration | 393 | ||||
Total fair value of consideration, net of cash acquired | $ 2,781 | ||||
Ringsouth Europa SL [Member] | |||||
AcquistionsLineItem [Line Items] | |||||
Cash paid | $ 450 | ||||
Contingent consideration | 375 | ||||
Total fair value of consideration | $ 825 |
Schedule of Impact of Acquisiti
Schedule of Impact of Acquisition's Purchase Price Allocations on Consolidated Balance Sheet (Details) - USD ($) $ in Thousands | Jul. 31, 2021 | Dec. 03, 2020 | Jul. 31, 2020 | Dec. 11, 2019 | Jul. 31, 2019 |
AcquistionsLineItem [Line Items] | |||||
Goodwill | $ 14,897 | $ 12,858 | $ 11,209 | ||
IDT International Telecom, Inc [Member] | |||||
AcquistionsLineItem [Line Items] | |||||
Trade accounts receivable | $ 656 | ||||
Other current assets | 1,644 | ||||
Property, plant, and equipment | 75 | ||||
Goodwill | 2,025 | ||||
Customer relationships (7-year useful life) | 1,960 | ||||
Tradename (2-year useful life) | 440 | ||||
Deferred income tax assets | 197 | ||||
Other assets | 30 | ||||
Trade accounts payable | (1,306) | ||||
Accrued expenses | (423) | ||||
Other current liabilities | (329) | ||||
Noncontrolling interests | (2,188) | ||||
Net assets acquired | $ 2,781 | ||||
Ringsouth Europa SL [Member] | |||||
AcquistionsLineItem [Line Items] | |||||
Trade accounts receivable | $ 142 | ||||
Other current assets | 21 | ||||
Property, plant, and equipment | 84 | ||||
Goodwill | 1,437 | ||||
Customer relationships (7-year useful life) | 130 | ||||
Tradename (2-year useful life) | 30 | ||||
Deferred income tax assets | 118 | ||||
Other assets | 10 | ||||
Trade accounts payable | (302) | ||||
Accrued expenses | (136) | ||||
Other current liabilities | (408) | ||||
Non-compete agreement (4-year useful life) | 50 | ||||
Other liabilities | (351) | ||||
Net assets acquired | $ 825 |
Schedule of Impact of Acquisi_2
Schedule of Impact of Acquisition's Purchase Price Allocations on Consolidated Balance Sheet (Details) (Parenthetical) | Dec. 03, 2020 | Dec. 11, 2019 |
IDT International Telecom, Inc [Member] | Customer Relationships [Member] | ||
AcquistionsLineItem [Line Items] | ||
Finite-Lived Intangible Asset, Useful Life | 15 years | |
IDT International Telecom, Inc [Member] | Trade Names [Member] | ||
AcquistionsLineItem [Line Items] | ||
Finite-Lived Intangible Asset, Useful Life | 20 years | |
Ringsouth Europa SL [Member] | Customer Relationships [Member] | ||
AcquistionsLineItem [Line Items] | ||
Finite-Lived Intangible Asset, Useful Life | 7 years | |
Ringsouth Europa SL [Member] | Trade Names [Member] | ||
AcquistionsLineItem [Line Items] | ||
Finite-Lived Intangible Asset, Useful Life | 2 years | |
Ringsouth Europa SL [Member] | Non-compete agreement [Member] | ||
AcquistionsLineItem [Line Items] | ||
Finite-Lived Intangible Asset, Useful Life | 4 years |
Acquisitions (Details Narrative
Acquisitions (Details Narrative) - USD ($) | Jun. 15, 2021 | Mar. 22, 2021 | Dec. 03, 2020 | Dec. 11, 2019 | Jul. 31, 2021 |
Restructuring Cost and Reserve [Line Items] | |||||
Reduction in additional paid in capital | $ 300,000 | ||||
IDT International Telecom, Inc [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Business acquired percentage | 19.00% | 51.00% | |||
Contingent consideration, description | The contingent consideration of $0.5 million will be paid (a) no later than November 30, 2021 if the acquired company generates EBITDA (as defined in the purchase agreement) of no less than $1.0 million between October 1, 2020 and September 30, 2021; or (b) no later than November 30, 2022 if the acquired company generates EBITDA of no less than $1.0 million between October 1, 2021 and September 30, 2022. | ||||
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, High | $ 500,000 | ||||
Option of shares value | $ 300,000 | ||||
Purchase price | $ 1,000,000 | $ 2,732,000 | |||
Contingent consideration | 300,000 | ||||
Fair value of contingent consideration | 200,000 | ||||
Reduction in noncontrolling interest | $ 1,000,000 | ||||
IDT International Telecom, Inc [Member] | Noncontrolling Interest [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Purchase of option shares reduction | 200,000 | ||||
Purchase of option shares reduction | (200,000) | ||||
IDT International Telecom, Inc [Member] | Additional Paid-in Capital [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Purchase of option shares reduction | (21,000) | ||||
Purchase of option shares reduction | $ 21,000 | ||||
IDT International Telecom, Inc [Member] | Put/Call Option Agreement [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Business acquired percentage | 5.00% | ||||
Net2phone, Inc. [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Business acquired percentage | 100.00% | ||||
Ringsouth Europa SL [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Contingent consideration, description | The contingent consideration includes two potential payments to the seller of $0.4 million each, based on monthly recurring revenue targets to be achieved over a 36-month period and 48-month period. | ||||
Purchase price | $ 450,000 |
Schedule of Available-for-sale
Schedule of Available-for-sale Securities (Details) - USD ($) $ in Thousands | Jul. 31, 2021 | Jul. 31, 2020 | |
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | |||
Debt Securities, Available-for-sale, Amortized Cost | $ 14,021 | $ 18,321 | |
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Gain, before Tax | 41 | 58 | |
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Loss, before Tax | (50) | (16) | |
Debt Securities, Available-for-sale | 14,012 | 18,363 | |
Certificates of Deposit [Member] | |||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | |||
Debt Securities, Available-for-sale, Amortized Cost | [1] | 1,200 | 13,844 |
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Gain, before Tax | [1] | 3 | 58 |
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Loss, before Tax | [1] | ||
Debt Securities, Available-for-sale | [1] | 1,203 | 13,902 |
US Treasury Bill Securities [Member] | |||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | |||
Debt Securities, Available-for-sale, Amortized Cost | 1,669 | 2,498 | |
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Gain, before Tax | |||
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Loss, before Tax | (17) | ||
Debt Securities, Available-for-sale | 1,652 | 2,498 | |
Corporate Bond Securities [Member] | |||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | |||
Debt Securities, Available-for-sale, Amortized Cost | 6,327 | ||
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Gain, before Tax | 38 | ||
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Loss, before Tax | (33) | ||
Debt Securities, Available-for-sale | 6,332 | ||
Municipal Bonds [Member] | |||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | |||
Debt Securities, Available-for-sale, Amortized Cost | 4,825 | 1,979 | |
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Gain, before Tax | |||
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Loss, before Tax | (16) | ||
Debt Securities, Available-for-sale | $ 4,825 | $ 1,963 | |
[1] | Each of the Company’s certificates of deposit has a CUSIP, was purchased in the secondary market through a broker and may be sold in the secondary market. |
Schedule of Contractual Maturit
Schedule of Contractual Maturities of Available-for-sale Debt Securities (Details) - USD ($) $ in Thousands | Jul. 31, 2021 | Jul. 31, 2020 |
Investments, Debt and Equity Securities [Abstract] | ||
Within one year | $ 2,489 | |
After one year through five years | 7,463 | |
After five years through ten years | 3,771 | |
After ten years | 289 | |
TOTAL | $ 14,012 | $ 18,363 |
Schedule of Available-for-sal_2
Schedule of Available-for-sale Securities, Unrealized Loss Position (Details) - USD ($) $ in Thousands | Jul. 31, 2021 | Jul. 31, 2020 |
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | $ 50 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 4,945 | |
US Treasury Bill Securities [Member] | ||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | 17 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 1,652 | |
Corporate Bond Securities [Member] | ||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | 33 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | $ 3,293 | |
Municipal Bonds [Member] | ||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | $ 16 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | $ 1,963 |
Debt Securities (Details Narrat
Debt Securities (Details Narrative) - USD ($) $ in Millions | 12 Months Ended | |
Jul. 31, 2021 | Jul. 31, 2020 | |
Investments, Debt and Equity Securities [Abstract] | ||
Proceeds from Sale and Maturity of Debt Securities, Available-for-sale | $ 26.2 | $ 6.5 |
Schedule of Equity Investments
Schedule of Equity Investments (Details) (Parenthetical) - shares | 12 Months Ended | |
Jul. 31, 2021 | Jul. 31, 2020 | |
Common Class B [Member] | Zedge Inc [Member] | ||
Number of related party shares received | 42,282 | 42,282 |
Common Class B [Member] | Rafael Holdings Inc. [Member] | ||
Number of related party shares received | 246,565 | 27,806 |
Restricted Common Class B [Member] | Rafael Holdings Inc. [Member] | ||
Number of related party shares received | 43,649 |
Schedule of Equity Investment_2
Schedule of Equity Investments (Details) - USD ($) $ in Thousands | Jul. 31, 2021 | Jul. 31, 2020 |
EquityInvestmentsDisclosureLineItem [Line Items] | ||
Equity Securities, FV-NI, Current | $ 42,434 | $ 5,964 |
Long-term Investments | 11,654 | 8,833 |
Other Marketable Equity Securities [Member] | ||
EquityInvestmentsDisclosureLineItem [Line Items] | ||
Equity Securities, FV-NI, Current | 3,630 | |
Mutual Fund [Member] | ||
EquityInvestmentsDisclosureLineItem [Line Items] | ||
Equity Securities, FV-NI, Current | 23,467 | 5,516 |
Hedge Funds [Member] | ||
EquityInvestmentsDisclosureLineItem [Line Items] | ||
Long-term Investments | 3,563 | 4,783 |
Other Investments [Member] | ||
EquityInvestmentsDisclosureLineItem [Line Items] | ||
Long-term Investments | 2,725 | 225 |
Common Class B [Member] | Zedge Inc [Member] | ||
EquityInvestmentsDisclosureLineItem [Line Items] | ||
Equity Securities, FV-NI, Current | 649 | 59 |
Common Class B [Member] | Rafael Holdings Inc. [Member] | ||
EquityInvestmentsDisclosureLineItem [Line Items] | ||
Equity Securities, FV-NI, Current | 12,479 | 389 |
Restricted Common Class B [Member] | Rafael Holdings Inc. [Member] | ||
EquityInvestmentsDisclosureLineItem [Line Items] | ||
Equity Securities, FV-NI, Current | 2,209 | |
Series C Preferred Stock [Member] | ||
EquityInvestmentsDisclosureLineItem [Line Items] | ||
Long-term Investments | 2,465 | 3,825 |
Series B Convertible Preferred Stock [Member] | ||
EquityInvestmentsDisclosureLineItem [Line Items] | ||
Long-term Investments | $ 2,901 |
Schedule of Carrying Value of E
Schedule of Carrying Value of Equity Investments (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jul. 31, 2021 | Jul. 31, 2020 | |
Equity Investments | ||
Balance, beginning of period | $ 4,109 | $ 3,919 |
Redemption for Visa mandatory release assessment | (1,870) | |
Adjustment for observable transactions involving a similar investment from the same issuer | 510 | 206 |
Upward adjustments | 3 | |
Redemptions | (6) | (19) |
Impairments | ||
BALANCE, END OF PERIOD | $ 2,743 | $ 4,109 |
Schedule of Unrealized (losses)
Schedule of Unrealized (losses) Gains for All Equity Investments (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jul. 31, 2021 | Jul. 31, 2020 | |
Equity Investments | ||
Net gains (losses) recognized during the period on equity investments | $ 8,830 | $ (336) |
Less: net gains recognized during the period on equity investments redeemed during the period | 1,090 | |
Unrealized gains (losses) recognized during the period on equity investments still held at the reporting date | $ 7,740 | $ (336) |
Summary of Changes in Equity Me
Summary of Changes in Equity Method Investments (Details) - USD ($) $ in Thousands | Aug. 10, 2021 | Feb. 02, 2021 | Jul. 31, 2021 | Jul. 31, 2020 |
EquityInvestmentsDisclosureLineItem [Line Items] | ||||
Payments to Acquire Equity Method Investments | $ 1,100 | $ 4,000 | ||
Equity in the net loss of investee | (1,099) | |||
Series B Convertible Preferred Stock [Member] | Equity Method Investee [Member] | ||||
EquityInvestmentsDisclosureLineItem [Line Items] | ||||
Balance, beginning of period | ||||
Payments to Acquire Equity Method Investments | $ 4,000 | 4,000 | ||
Equity in the net loss of investee | (816) | |||
Amortization of equity method basis difference | (283) | |||
BALANCE, END OF PERIOD | 2,901 | |||
BALANCE, END OF PERIOD | $ 2,901 |
Summary of Statements of Operat
Summary of Statements of Operations (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jul. 31, 2021 | Jul. 31, 2020 | ||
Defined Benefit Plan Disclosure [Line Items] | |||
Current assets | $ 388,135 | $ 322,132 | |
Current liabilities | (339,334) | (324,870) | |
Revenues | 1,446,990 | 1,345,769 | |
Selling, general and administrative | [1] | 218,467 | 214,846 |
Total costs and expenses | 1,390,731 | 1,322,764 | |
Loss from operations and net loss | 56,990 | 17,942 | |
Nonoperating Income (Expense) | 7,916 | (1,267) | |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | 96,891 | $ 21,418 | |
Equity Method Investee [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Current assets | 1,467 | ||
Noncurrent assets | 2,549 | ||
Current liabilities | (4,041) | ||
Noncurrent liabilities | (50) | ||
Revenues | 1,898 | ||
Direct cost of revenues | 1,937 | ||
Selling, general and administrative | 3,388 | ||
Total costs and expenses | 5,325 | ||
Loss from operations and net loss | (3,427) | ||
Nonoperating Income (Expense) | 101 | ||
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | $ (3,326) | ||
[1] | Stock-based compensation included in selling, general and administrative expenses |
Equity Investments (Details Nar
Equity Investments (Details Narrative) - USD ($) $ / shares in Units, $ in Thousands | Aug. 10, 2021 | Feb. 02, 2021 | Jun. 30, 2021 | Jul. 31, 2021 | Jul. 31, 2020 | Sep. 30, 2021 | Mar. 15, 2021 | Dec. 07, 2020 | Sep. 24, 2020 | Jun. 30, 2016 |
Proceeds from sale of common stock | $ 26,230 | $ 6,457 | ||||||||
Equity Securities without Readily Determinable Fair Value, Upward Price Adjustment, Annual Amount | 3 | |||||||||
Payments to acquire shares | $ 1,100 | $ 4,000 | ||||||||
Equity Method Investment, Difference Between Carrying Amount and Underlying Equity | $ 3,400 | |||||||||
Equity Method Investment, Difference Between Carrying Amount and Underlying Equity, Accounting Treatment | This basis difference is being amortized over the 6-year estimated life of the customer list. | |||||||||
Equity Method Investee [Member] | ||||||||||
Equity Method Investment, Ownership Percentage | 26.57% | |||||||||
Unrestricted Common Class B [Member] | Zedge Inc [Member] | ||||||||||
Number of related party shares received | 28,320 | |||||||||
Class B Common [Member] | Rafael Holdings Inc. [Member] | ||||||||||
Owned shares | 218,245 | |||||||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 43,649 | 43,649 | ||||||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 22.91 | |||||||||
Investment Owned, at Fair Value | $ 5,000 | |||||||||
Class of warrant, exercise price of warrants | $ 1,000 | |||||||||
Class B Common Stock [Member] | Rafael Holdings Inc. [Member] | ||||||||||
Owned shares | 218,245 | 261,894 | ||||||||
Investment Owned, at Fair Value | $ 4,600 | |||||||||
Shares Issued, Price Per Share | $ 22.91 | |||||||||
Class B Common Stock [Member] | Rafael Holdings Inc. [Member] | Forecast [Member] | ||||||||||
Owned shares | 43,649 | |||||||||
Warrants Class B Common Stock [Member] | Rafael Holdings Inc. [Member] | ||||||||||
Investment Owned, at Fair Value | $ 400 | |||||||||
Visa Series C Convertible Participating Preferred Stock [Member] | ||||||||||
Owned shares | 1,830 | |||||||||
Convertible Preferred Stock, Shares Issued upon Conversion | 13.722 | |||||||||
Equity Securities without Readily Determinable Fair Value, Upward Price Adjustment, Annual Amount | $ 500 | $ 200 | ||||||||
Visa Series A Convertible Participating Preferred Stock [Member] | ||||||||||
Owned shares | 125 | 125 | ||||||||
Convertible Preferred Stock, Shares Issued upon Conversion | 6.861 | |||||||||
Visa Series A Convertible Participating Preferred Stock [Member] | Visa Class A Common Stock [Member] | ||||||||||
Owned shares | 12,500 | |||||||||
Proceeds from sale of common stock | $ 2,900 | |||||||||
Series B Convertible Preferred Stock [Member] | Equity Method Investee [Member] | ||||||||||
Payments to acquire shares | $ 4,000 | $ 4,000 | ||||||||
Equity Method Investment, Ownership Percentage | 23.95% |
Schedule of Balance of Assets M
Schedule of Balance of Assets Measured at Fair Value On a Recurring Basis (Details) - USD ($) $ in Thousands | Jul. 31, 2021 | Jul. 31, 2020 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt securities | $ 14,012 | $ 18,363 |
Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt securities | 14,012 | 18,363 |
Equity investments included in current assets | 42,434 | 5,964 |
Equity investments included in noncurrent assets | 2,465 | 3,825 |
Total | 58,911 | 28,152 |
Contingent consideration included in other current liabilities | (628) | |
Contingent consideration included in other noncurrent liabilities | (397) | (396) |
Contingent consideration included in other liabilities | (1,025) | |
Fair Value, Inputs, Level 1 [Member] | Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt securities | 1,652 | 2,498 |
Equity investments included in current assets | 40,225 | 5,964 |
Equity investments included in noncurrent assets | ||
Total | 41,877 | 8,462 |
Contingent consideration included in other current liabilities | ||
Contingent consideration included in other noncurrent liabilities | ||
Contingent consideration included in other liabilities | ||
Fair Value, Inputs, Level 2 [Member] | Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt securities | 12,360 | 15,865 |
Equity investments included in current assets | 2,209 | |
Equity investments included in noncurrent assets | ||
Total | 14,569 | 15,865 |
Contingent consideration included in other current liabilities | ||
Contingent consideration included in other noncurrent liabilities | ||
Contingent consideration included in other liabilities | ||
Fair Value, Inputs, Level 3 [Member] | Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt securities | ||
Equity investments included in current assets | ||
Equity investments included in noncurrent assets | 2,465 | 3,825 |
Total | 2,465 | 3,825 |
Contingent consideration included in other current liabilities | (628) | |
Contingent consideration included in other noncurrent liabilities | (397) | $ (396) |
Contingent consideration included in other liabilities | $ (1,025) |
Schedule of Assets Measured at
Schedule of Assets Measured at Fair Value On a Recurring Basis Using Significant Unobservable Inputs (level 3) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jul. 31, 2021 | Jul. 31, 2020 | |
Fair Value Disclosures [Abstract] | ||
Balance, beginning of period | $ 3,825 | $ 3,619 |
Purchase of Rafael Holdings, Inc. warrant | 354 | |
Exercise of Rafael Holdings, Inc. warrant | (380) | |
Redemption for Visa mandatory release assessment | (1,870) | |
Total gains (losses) recognized in "Other income (expense), net" | 536 | 206 |
Balance, end of period | 2,465 | 3,825 |
Change in unrealized gains or losses for the period included in earnings for assets held at the end of the period |
Schedule of Liabilities Measure
Schedule of Liabilities Measured at Fair Value On a Recurring Basis Using Significant Unobservable Inputs (level 3) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jul. 31, 2021 | Jul. 31, 2020 | |
Fair Value Disclosures [Abstract] | ||
Balance, beginning of period | $ 396 | |
Transfer into Level 3 from acquisitions (see Note 6) | 628 | 375 |
Total (gains) losses included in "Foreign currency translation adjustment" | 1 | 21 |
Balance, end of period | 1,025 | 396 |
Change in unrealized gains or losses for the period included in earnings for liabilities held at the end of the period |
Fair Value Measurements (Detail
Fair Value Measurements (Details Narrative) - USD ($) $ in Millions | Jul. 31, 2021 | Jul. 31, 2020 |
Fair Value Disclosures [Abstract] | ||
Investment in hedge funds | $ 3.6 | $ 4.8 |
Schedule of Property, Plant and
Schedule of Property, Plant and Equipment (Details) - USD ($) $ in Thousands | Jul. 31, 2021 | Jul. 31, 2020 |
Property, Plant and Equipment [Line Items] | ||
Equipment | $ 50,039 | $ 67,530 |
Computer software | 141,978 | 130,565 |
Leasehold improvements | 1,727 | 1,723 |
Furniture and fixtures | 588 | 450 |
Property, plant and equipment, gross | 194,332 | 200,268 |
Less accumulated depreciation | (163,503) | (170,207) |
Net | 30,829 | 30,061 |
Telephone Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 7,438 | 4,563 |
Less accumulated depreciation | (2,071) | (1,021) |
Net | $ 5,367 | $ 3,542 |
Property, Plant, and Equipmen_2
Property, Plant, and Equipment (Details Narrative) - USD ($) $ in Thousands | 12 Months Ended | |
Jul. 31, 2021 | Jul. 31, 2020 | |
Property, Plant and Equipment [Line Items] | ||
Disposal of property, plant and equipment | $ 23,900 | $ 16,900 |
Depreciation expense | 17,100 | 20,000 |
Telephone Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Depreciation expense | $ 1,100 | $ 600 |
Schedule of Change in Carrying
Schedule of Change in Carrying Amount of Goodwill by Operating Segment (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jul. 31, 2021 | Jul. 31, 2020 | |
Indefinite-lived Intangible Assets [Line Items] | ||
Balance at July 31, 2020 | $ 12,858 | $ 11,209 |
Acquisition | 2,025 | 1,437 |
Foreign currency translation adjustments | 14 | 212 |
Balance at July 31, 2021 | 14,897 | 12,858 |
Traditional Communications [Member] | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Balance at July 31, 2020 | 11,339 | 11,209 |
Acquisition | 2,025 | |
Foreign currency translation adjustments | 10 | 130 |
Balance at July 31, 2021 | 13,374 | 11,339 |
Net2phone-UCaaS [Member] | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Balance at July 31, 2020 | 1,519 | |
Acquisition | 1,437 | |
Foreign currency translation adjustments | 4 | 82 |
Balance at July 31, 2021 | $ 1,523 | $ 1,519 |
Schedule of Company's Amortized
Schedule of Company's Amortized Intangible Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jul. 31, 2021 | Jul. 31, 2020 | |
Indefinite-lived Intangible Assets [Line Items] | ||
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 11 years 4 months 24 days | 11 years 4 months 24 days |
Gross Carrying Amount | $ 12,222 | $ 7,868 |
Accumulated Amortization | (4,644) | (3,909) |
Net Balance | $ 7,578 | $ 3,959 |
Trade Names [Member] | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 13 years | 16 years 6 months |
Gross Carrying Amount | $ 2,080 | $ 1,017 |
Accumulated Amortization | (506) | (392) |
Net Balance | $ 1,574 | $ 625 |
Noncompete Agreements [Member] | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 4 years 10 months 24 days | 4 years 10 months 24 days |
Gross Carrying Amount | $ 680 | $ 636 |
Accumulated Amortization | (380) | (227) |
Net Balance | $ 300 | $ 409 |
Customer Relationships [Member] | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 11 years 6 months | 11 years 2 months 12 days |
Gross Carrying Amount | $ 9,462 | $ 6,215 |
Accumulated Amortization | (3,758) | (3,290) |
Net Balance | $ 5,704 | $ 2,925 |
Other Intangible Assets (Detail
Other Intangible Assets (Details Narrative) - USD ($) $ in Millions | 12 Months Ended | |
Jul. 31, 2021 | Jul. 31, 2020 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Amortization of Intangible Assets | $ 0.7 | $ 0.4 |
Finite-Lived Intangible Asset, Expected Amortization, Year One | 0.9 | |
Finite-Lived Intangible Asset, Expected Amortization, Year Two | 0.9 | |
Finite-Lived Intangible Asset, Expected Amortization, Year Three | 0.7 | |
Finite-Lived Intangible Asset, Expected Amortization, Year Four | 0.6 | |
Finite-Lived Intangible Asset, Expected Amortization, Year Five | $ 0.5 |
Variable Interest Entity (Detai
Variable Interest Entity (Details Narrative) - Variable Interest Entity [Member] - Warrant Purchase Agreement [Member] $ in Millions | 1 Months Ended |
May 31, 2021USD ($) | |
Variable Interest Entity [Line Items] | |
Payments to acquire warrant | $ 0.8 |
Contingent consideration potential payment noncurrent | $ 0.1 |
Variable Interest Entity, Qualitative or Quantitative Information, Ownership Percentage | 90.00% |
Schedule of Net Income (loss) a
Schedule of Net Income (loss) and Aggregate Funding Provided by the Company to VIE to Finance Its Operations or Repaid (Details) - Variable Interest Entity [Member] $ in Thousands | 2 Months Ended |
Jul. 31, 2021USD ($) | |
Net income (loss) of VTP | $ 54 |
Aggregate funding (provided by) repaid to the Company, net | $ (8) |
VIE_s Summarized Consolidated B
VIE’s Summarized Consolidated Balance Sheet (Details) - USD ($) $ in Thousands | Jul. 31, 2021 | May 31, 2021 | Jul. 31, 2020 | Jul. 31, 2019 |
Cash and Cash Equivalents, at Carrying Value | $ 107,147 | $ 84,860 | ||
Receivables, Net, Current | 46,644 | 44,166 | ||
Prepaid Expense, Current | 13,694 | 7,790 | ||
Other Assets, Current | 16,779 | 19,302 | ||
Property, Plant and Equipment, Net | 30,829 | 30,061 | ||
Other Intangible Assets, Net | 7,578 | 3,959 | ||
Assets | 512,655 | 404,750 | ||
Accounts Payable, Current | 24,502 | 25,150 | ||
Accrued Liabilities, Current | 129,085 | 125,544 | ||
Other Liabilities, Current | 27,930 | 18,070 | ||
Accumulated Other Comprehensive Income (Loss), Net of Tax | (10,183) | (7,410) | $ (4,858) | |
Stockholders' Equity Attributable to Noncontrolling Interest | 1,750 | (3,633) | ||
Liabilities and Equity | 512,655 | $ 404,750 | ||
Variable Interest Entity [Member] | ||||
Cash and Cash Equivalents, at Carrying Value | 1,364 | $ 1,249 | ||
Restricted Cash, Current | 3,848 | 2,087 | ||
Receivables, Net, Current | 91 | 80 | ||
Prepaid Expense, Current | 344 | 126 | ||
Other Assets, Current | 858 | 1,248 | ||
Property, Plant and Equipment, Net | 637 | 637 | ||
Other Intangible Assets, Net | 1,042 | 1,067 | ||
Assets | 8,184 | 6,494 | ||
Accounts Payable, Current | 312 | 22 | ||
Accrued Liabilities, Current | 26 | 43 | ||
Other Liabilities, Current | 4,491 | 3,136 | ||
Due to Related Parties, Noncurrent | 8 | |||
Accumulated Other Comprehensive Income (Loss), Net of Tax | (7) | (7) | ||
Stockholders' Equity Attributable to Noncontrolling Interest | 3,354 | 3,300 | ||
Liabilities and Equity | $ 8,184 | $ 6,494 |
Schedule of Other Operating Gai
Schedule of Other Operating Gain (Expense), Net (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jul. 31, 2021 | Jul. 31, 2020 | |
Other Income and Expenses [Abstract] | ||
Corporate —Straight Path Communications Inc. class action insurance claims net of legal fees/(legal fees net of insurance claims) | $ 225 | $ (531) |
net2phone-UCaaS—other, net | (100) | (63) |
Fintech—money transfer settlement | 45 | |
Traditional Communications—gain from sale of rights under class action lawsuit | 2,000 | |
Traditional Communications—net2phone indemnification claim | (472) | (1,244) |
Traditional Communications—accrual for non-income related taxes related to a foreign subsidiary | (2,150) | |
Traditional Communications—other | (967) | (1,075) |
TOTAL | $ 731 | $ (5,063) |
Other Operating Gain (Expense_3
Other Operating Gain (Expense), Net (Details Narrative) - USD ($) $ in Millions | Dec. 21, 2020 | Jul. 31, 2021 | Jul. 31, 2020 |
Payment Card Interchange Fee and Merchant Discount Antitrust Litigation [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Proceed from sale to third parties | $ 2 | ||
Straight Path [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Legal fees | $ 2.9 | $ 3.6 | |
Unusual or Infrequent Item, or Both, Insurance Proceeds | $ 3.1 | $ 3.1 |
Revolving Credit Facility and_2
Revolving Credit Facility and Note Payable (Details Narrative) - USD ($) $ in Thousands | Apr. 20, 2020 | Oct. 31, 2019 | Jul. 31, 2021 | Jul. 31, 2020 | May 17, 2021 |
Line of Credit Facility [Line Items] | |||||
Proceeds from Notes Payable | $ 10,000 | ||||
Repayments of Notes Payable | $ 10,000 | ||||
TD Bank [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Proceeds from Notes Payable | $ 10,000 | ||||
Repayments of Notes Payable | $ 10,000 | ||||
Revolving Credit Facility [Member] | TD Bank [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Line of credit, maximum borrowing capacity | $ 25,000 | ||||
Credit facility, description | The revolving credit facility is secured by primarily all of IDT Telecom’s assets. The principal outstanding bears interest per annum at the Intercontinental Exchange Benchmark Administration Ltd. LIBOR multiplied by the Regulation D maximum reserve requirement plus 125 to 175 basis points, depending upon IDT Telecom’s leverage ratio as computed for the most recent fiscal quarter. Interest is payable monthly, and all outstanding principal and any accrued and unpaid interest is due in May 2024. IDT Telecom pays a quarterly unused commitment fee on the average daily balance of the unused portion of the $25.0 million commitment of 30 to 85 basis points, depending upon IDT Telecom’s leverage ratio as computed for the most recent fiscal quarter. | ||||
Revolving credit, unused portion amount | $ 25,000 | ||||
Revolving Credit Facility [Member] | TD Bank [Member] | Credit Agreement [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Line of credit, maximum borrowing capacity | $ 25,000 | ||||
Credit facility, description | The principal outstanding incurred interest per annum at the LIBOR rate adjusted by the Regulation D maximum reserve requirement plus 125 basis points. | ||||
Revolving credit, unused portion amount | $ 25,000 | ||||
Average percentage of commitment fee per annum | 0.30% |
Schedule of Accrued Expenses (D
Schedule of Accrued Expenses (Details) - USD ($) $ in Thousands | Jul. 31, 2021 | Jul. 31, 2020 |
Payables and Accruals [Abstract] | ||
Carrier minutes termination | $ 35,738 | $ 33,766 |
Regulatory fees and taxes | 52,292 | 54,087 |
Compensation costs | 15,465 | 16,051 |
Maintenance and support | 3,258 | 2,015 |
Commissions (money transfer and Mobile Top-Up) | 3,213 | 1,904 |
Legal and professional fees | 6,134 | 5,466 |
Other | 12,985 | 12,255 |
TOTAL | $ 129,085 | $ 125,544 |
Schedule of Other Income, (Expe
Schedule of Other Income, (Expense) Net (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jul. 31, 2021 | Jul. 31, 2020 | |
Other Income and Expenses [Abstract] | ||
Foreign currency transaction gains | $ 1,009 | $ 370 |
Equity in net loss of investee | (1,099) | |
Write-off of tax assets related to prior periods | (1,346) | |
Gain (loss) on investments | 8,830 | (336) |
Other | (824) | 45 |
TOTAL | $ 7,916 | $ (1,267) |
Components of Income Before Inc
Components of Income Before Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jul. 31, 2021 | Jul. 31, 2020 | |
Income Tax Disclosure [Abstract] | ||
Domestic | $ 60,969 | $ 13,380 |
Foreign | 4,255 | 4,338 |
Income before income taxes | $ 65,224 | $ 17,718 |
Significant Components of Defer
Significant Components of Deferred Income Taxes (Details) - USD ($) $ in Thousands | Jul. 31, 2021 | Jul. 31, 2020 | Jul. 31, 2019 |
Income Tax Disclosure [Abstract] | |||
Bad debt reserve | $ 1,011 | $ 854 | |
Accrued expenses | 3,456 | 2,963 | |
Stock options and restricted stock | 980 | 1,226 | |
Charitable contributions | 778 | 659 | |
Depreciation | (373) | (71) | |
Unrealized gain | (1,826) | (302) | |
Net operating loss | 49,368 | 62,588 | |
Deferred revenue | (352) | (705) | |
Total deferred income tax assets | 53,042 | 67,212 | |
Valuation allowance | (11,540) | (58,700) | $ (74,170) |
NET DEFERRED INCOME TAX ASSETS | $ 41,502 | $ 8,512 |
Schedule of (Provision for) Ben
Schedule of (Provision for) Benefits from Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jul. 31, 2021 | Jul. 31, 2020 | |
Income Tax Disclosure [Abstract] | ||
Federal | ||
State and local | (512) | (46) |
Foreign | (811) | (177) |
Current | (1,323) | (223) |
Federal | 26,408 | 8,345 |
State and local | (57) | 12 |
Foreign | 6,639 | (4,434) |
Deferred | 32,990 | 3,923 |
BENEFIT FROM INCOME TAXES | $ 31,667 | $ 3,700 |
Schedule of Differences Between
Schedule of Differences Between Income Taxes Expected Federal Statutory Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jul. 31, 2021 | Jul. 31, 2020 | |
Income Tax Disclosure [Abstract] | ||
U.S. federal income tax at statutory rate | $ (13,697) | $ (3,721) |
Valuation allowance | 47,862 | 15,470 |
Foreign tax rate differential | (190) | (3,702) |
Nondeductible expenses | (636) | (813) |
Other | 299 | 88 |
Foreign restructuring | (1,510) | (3,266) |
State and local income tax, net of federal benefit | (461) | (356) |
BENEFIT FROM INCOME TAXES | $ 31,667 | $ 3,700 |
Summary of Changes in Valuation
Summary of Changes in Valuation Allowance (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jul. 31, 2021 | Jul. 31, 2020 | |
Income Tax Disclosure [Abstract] | ||
Balance at beginning of year | $ 58,700 | $ 74,170 |
Additions charged to costs and expenses | 835 | |
Deductions | (47,995) | (15,470) |
Balance at end of year | $ 11,540 | $ 58,700 |
Income Taxes (Details Narrative
Income Taxes (Details Narrative) - USD ($) $ in Thousands | 12 Months Ended | |
Jul. 31, 2021 | Jul. 31, 2020 | |
Undistributed Earnings of Foreign Subsidiaries | $ 351,000 | |
Operating Loss Carryforwards | $ 104,000 | |
Operating loss expiration description | Federal net operating loss carryforwards of $101 million expire in fiscal 2027 through fiscal 2038 | |
Net operating loss carryforwards subject to expiration | $ 101,000 | |
Foreign net operating loss carry forwards | 82,000 | |
Foreign net operating loss carry forwards no expiration | 77,000 | |
Foreign net operating loss, expiration in two to ten years. | 4,000 | |
Foreign net operating loss, expiration in twenty years | 1,000 | |
Valuation Allowance, Deferred Tax Asset, Increase (Decrease), Amount | (47,995) | $ (15,470) |
Valuation Allowance Utilized Future Expense [Member] | ||
Valuation Allowance, Deferred Tax Asset, Increase (Decrease), Amount | 46,500 | |
SEC Schedule, 12-09, Valuation Allowances and Reserves, Deduction | 8,400 | |
Valuation Allowance Utilized Current Expense [Member] | ||
SEC Schedule, 12-09, Valuation Allowances and Reserves, Deduction | $ 3,500 | |
Subsidiaries [Member] | ||
Operating Loss Carryforwards | $ 42,000 | |
Net operating losses expiration, description | The Company’s subsidiary, net2phone, has additional federal net operating losses of approximately $42 million, which will expire through fiscal 2027. | |
Total Subsidiary Tax Net Operating Loss Carry Forwards Annual Limit Amount Under Internal Revenue Code | $ 7,000 |
Equity (Details Narrative)
Equity (Details Narrative) - USD ($) $ in Millions | 12 Months Ended | |
Jul. 31, 2021 | Jul. 31, 2020 | |
Stock Repurchase Program, Remaining Number of Shares Authorized to be Repurchased | 5,800,000 | |
Class B Common Stock [Member] | ||
Aggregate repurchased shares | 8,000,000 | |
Class B common stock shares repurchased | 463,792 | 671,117 |
Aggregate purchase price of shares repurchased | $ 2.8 | $ 4.2 |
Class B Common Stock [Member] | Employees [Member] | ||
Class B common stock shares repurchased | 109,381 | 37,348 |
Aggregate purchase price of shares repurchased | $ 1.3 | $ 0.3 |
Schedule of Stock Option Activi
Schedule of Stock Option Activity (Details) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended |
Jul. 31, 2021USD ($)$ / sharesshares | |
Share-based Payment Arrangement [Abstract] | |
Number of Options, Outstanding, Beginning balance | shares | 1,126 |
Weighted-Average Exercise Price, Outstanding, Beginning balance | $ / shares | $ 14.42 |
Number of Options, Granted | shares | |
Weighted-Average Exercise Price, Granted | $ / shares | |
Number of Options, Exercised | shares | (81) |
Weighted-Average Exercise Price, Exercised | $ / shares | $ (8.48) |
Number of Options, Cancelled / Forfeited | shares | (10) |
Weighted-Average Exercise Price, Cancelled / Forfeited | $ / shares | $ (13.72) |
Number of Options, outstanding, Ending balance | shares | 1,035 |
Weighted-Average Exercise Price, Outstanding, Ending balance | $ / shares | $ 14.89 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term | 9 months 18 days |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Intrinsic Value | $ | $ 36,133 |
Number of Options, Exercisable | shares | 1,035 |
Weighted-Average Exercise Price, Exercisable | $ / shares | $ 14.89 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Weighted Average Remaining Contractual Term | 9 months 18 days |
Aggregate Intrinsic Value, Exercisable | $ | $ 36,133 |
Schedule of Grants of Restricte
Schedule of Grants of Restricted Shares (Details) shares in Thousands | 12 Months Ended |
Jul. 31, 2021$ / sharesshares | |
Number of Non-vested Shares, Beginning Balance | shares | 315 |
Weighted- Average Grant- Date Fair Value, Beginning balance | $ / shares | $ 10.26 |
Number of Non-vested Shares, Granted | shares | 1 |
Weighted- Average Grant- Date Fair Value, Granted | $ / shares | $ 11.19 |
Number of Non-vested Shares, Vested | shares | (152) |
Weighted- Average Grant- Date Fair Value, Vested | $ / shares | $ (10.07) |
Number of Non-vested Shares, Forfeited | shares | (10) |
Weighted- Average Grant- Date Fair Value, Forfeited | $ / shares | $ (11.19) |
Number of Non-vested Shares, Ending Balance | shares | 154 |
Weighted- Average Grant- Date Fair Value, Ending balance | $ / shares | $ 10.39 |
Common Class B [Member] | |
Number of Non-vested Shares, Beginning Balance | shares | 199 |
Weighted- Average Grant- Date Fair Value, Beginning balance | $ / shares | $ 4.41 |
Number of Non-vested Shares, Granted | shares | 17 |
Weighted- Average Grant- Date Fair Value, Granted | $ / shares | $ 12.70 |
Number of Non-vested Shares, Vested | shares | (21) |
Weighted- Average Grant- Date Fair Value, Vested | $ / shares | $ (10.47) |
Number of Non-vested Shares, Forfeited | shares | |
Weighted- Average Grant- Date Fair Value, Forfeited | $ / shares | |
Number of Non-vested Shares, Ending Balance | shares | 195 |
Weighted- Average Grant- Date Fair Value, Ending balance | $ / shares | $ 4.49 |
Stock-Based Compensation (Detai
Stock-Based Compensation (Details Narrative) - USD ($) | Sep. 14, 2021 | Jul. 31, 2021 | Jan. 05, 2021 | Dec. 31, 2020 | Jan. 06, 2020 | Dec. 12, 2019 | Jul. 31, 2021 | Jul. 31, 2020 |
Options to purchase shares of common stock | 1,035,000 | 1,035,000 | 1,126,000 | |||||
Exercise price of options | $ 14.89 | $ 14.89 | $ 14.42 | |||||
Proceeds from Stock Options Exercised | $ 687,000 | $ 276,000 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period | 81,000 | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | 152,000 | |||||||
Net2phone, Inc. [Member] | ||||||||
Number of restricted shares issued | 50 | |||||||
Common stock outstanding, percentage | 5.00% | |||||||
Grant of restricted equity description | The restricted shares will vest if: (a) for any fiscal quarter of net2phone 2.0 between November 1, 2020 and October 31, 2023, net2phone 2.0 records subscription revenue that is at least $18 million, and (b) as of October 31, 2023, the valuation of net2phone 2.0 is $100 million or more. The restricted shares will also vest in the event, prior to October 31, 2023, net2phone 2.0 or its assets are sold at an equity valuation and on a cash-free basis of $100 million or more, regardless of whether the revenue threshold was satisfied prior thereto. The restricted shares entitle each grantee to proceeds only on a sale, spin-off, initial public offering, or other monetization of net2phone 2.0 and have protection from dilution for the first $15 million invested in the net2phone 2.0 following the grant. | |||||||
Aggregate estimated fair value on grant date recognized over the vesting period | $ 200,000 | |||||||
Deferred Stock Units [Member] | ||||||||
Share-based Payment Arrangement, Nonvested Award, Excluding Option, Cost Not yet Recognized, Amount | $ 300,000 | $ 300,000 | ||||||
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition | 4 months 24 days | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Fair Value | $ 1,500,000 | 1,100,000 | ||||||
Share-based compensation arrangement by share based payment award equity instruments other than options vesting deferred in period | 19,919 | 38,024 | ||||||
Restricted Stock [Member] | ||||||||
Vesting description | Share awards generally vest on a graded basis over three years of service. | |||||||
Share-based Payment Arrangement, Nonvested Award, Excluding Option, Cost Not yet Recognized, Amount | $ 200,000 | $ 200,000 | ||||||
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition | 4 months 24 days | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Fair Value | $ 200,000 | $ 300,000 | ||||||
Equity Option [Member] | ||||||||
Vesting description | Option awards generally vest on a graded basis over three years of service and have ten-year contractual terms. | |||||||
Options granted | 0 | 0 | ||||||
Proceeds from Stock Options Exercised | $ 700,000 | $ 300,000 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period | 81,041 | 32,551 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period, Intrinsic Value | $ 200,000 | $ 16,000 | ||||||
Common Class B [Member] | ||||||||
Additional number of shares authorized | 175,000 | 400,000 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 1,600,000 | 1,600,000 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | 300,000 | 300,000 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | 21,000 | |||||||
Common Class B [Member] | Deferred Stock Units [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Description | the DSUs were eligible for vesting in three equal amounts on each of January 6, 2020, January 5, 2021, and January 5, 2022. The number of shares issuable on each vesting date varies between 50% to 200% of the number of DSUs that vest on that vesting date, depending on the market price for the underlying Class B common stock on the vesting date relative to the market price at the time of the grant. | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | 283,838 | 100,284 | ||||||
Common Class B [Member] | Howard S Jonas [Member] | ||||||||
Options to purchase shares of common stock | 1,000,000 | 1,000,000 | ||||||
Options grant date | May 2, 2017 | |||||||
Exercise price of options | $ 14.93 | $ 14.93 | ||||||
Option expiration date | May 1, 2022 |
Schedule of Accumulated Balance
Schedule of Accumulated Balances for Each Classification of Other Comprehensive (Loss) Income (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jul. 31, 2021 | Jul. 31, 2020 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Accumulated Other Comprehensive Income (Loss), Net of Tax | $ (7,410) | $ (4,858) |
Other Comprehensive Income (Loss), Net of Tax | (2,773) | (2,552) |
Accumulated Other Comprehensive Income (Loss), Net of Tax | (10,183) | (7,410) |
AOCI, Accumulated Gain (Loss), Debt Securities, Available-for-sale, Parent [Member] | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Accumulated Other Comprehensive Income (Loss), Net of Tax | 42 | |
Other Comprehensive Income (Loss), Net of Tax | (51) | 42 |
Accumulated Other Comprehensive Income (Loss), Net of Tax | (9) | 42 |
Accumulated Foreign Currency Adjustment Attributable to Parent [Member] | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Accumulated Other Comprehensive Income (Loss), Net of Tax | (7,452) | (4,858) |
Other Comprehensive Income (Loss), Net of Tax | (2,722) | (2,594) |
Accumulated Other Comprehensive Income (Loss), Net of Tax | $ (10,174) | $ (7,452) |
Commitments and Contingencies (
Commitments and Contingencies (Details Narrative) - USD ($) $ in Millions | Jul. 31, 2021 | Jul. 31, 2020 |
Product Liability Contingency [Line Items] | ||
Accrued Liabilities | $ 38.3 | $ 40.8 |
Purchase Obligation | 3.7 | |
Performance bonds outstanding | 19.6 | |
Federal Telecommunications Relay Services Fund [Member] | ||
Product Liability Contingency [Line Items] | ||
Loss Contingency, Estimate of Possible Loss | 2.9 | |
Universal Service Fund [Member] | ||
Product Liability Contingency [Line Items] | ||
Loss Contingency, Estimate of Possible Loss | $ 1.8 |
Related Party Transactions (Det
Related Party Transactions (Details Narrative) - USD ($) | 10 Months Ended | 12 Months Ended | 14 Months Ended | ||
May 31, 2020 | Jul. 31, 2021 | Jul. 31, 2020 | Jul. 31, 2021 | Sep. 30, 2020 | |
Related Party Transaction [Line Items] | |||||
Annual rent payment | $ 60,900 | $ 18,600 | |||
Outstanding net loan receivable from employees | $ 200,000 | $ 200,000 | 200,000 | ||
Mason and Co [Member] | |||||
Related Party Transaction [Line Items] | |||||
Commissions and fees from payment by company | 63,000 | 63,000 | |||
Rafael Spin Off [Member] | |||||
Related Party Transaction [Line Items] | |||||
Costs and Expenses, Related Party | 300,000 | 400,000 | |||
Due from Other Related Parties, Current | 200,000 | 50,000 | 200,000 | ||
Genie and Subsidiarie [Member] | |||||
Related Party Transaction [Line Items] | |||||
Costs and Expenses, Related Party | 1,300,000 | 1,100,000 | |||
Due from Other Related Parties, Current | 200,000 | 200,000 | 200,000 | ||
Jonas Media Group [Member] | |||||
Related Party Transaction [Line Items] | |||||
Due from Other Related Parties, Current | 26,000 | 30,000 | 26,000 | ||
Receivable from subsidiaries included in services | 9,000 | $ 15,000 | |||
Receivable from subsidiaries included in adjusted amount | $ 7,000 | ||||
Adjusted due from other related parties current | $ 19,000 | $ 19,000 |
Defined Contribution Plans (Det
Defined Contribution Plans (Details Narrative) - USD ($) $ in Millions | May 27, 2021 | Jul. 31, 2021 | Jul. 31, 2020 |
Employment period contributions, description | first five years | ||
Defined Contribution Plan, Cost | $ 0.8 | $ 1 | |
Common Class B [Member] | |||
Stock Issued During Period, Shares, New Issues | 35,839 | ||
Stock Issued During Period, Value, New Issues | $ 1 |
Subsequent Event (Details Narra
Subsequent Event (Details Narrative) - Common Class B [Member] - National Retail Solutions [Member] $ in Millions | Sep. 29, 2021USD ($)shares |
Common stock shares sold | shares | 862,442 |
Capital stock outstanding percentage | 2.50% |
Value of common stock shares sold | $ | $ 10 |