Cover
Cover - shares | 6 Months Ended | |
Jan. 31, 2024 | Mar. 06, 2024 | |
Document Type | 10-Q | |
Amendment Flag | false | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | Jan. 31, 2024 | |
Document Fiscal Period Focus | Q2 | |
Document Fiscal Year Focus | 2024 | |
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 $.01 per share | |
Trading Symbol | IDT | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Common Class A [Member] | ||
Entity Common Stock, Shares Outstanding | 1,574,326 | |
Common Class B [Member] | ||
Entity Common Stock, Shares Outstanding | 23,813,251 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Jan. 31, 2024 | Jul. 31, 2023 |
Current assets: | ||
Cash and cash equivalents | $ 141,081 | $ 103,637 |
Restricted cash and cash equivalents | 93,231 | 95,186 |
Debt securities | 31,419 | 42,414 |
Equity investments | 5,076 | 6,198 |
Trade accounts receivable, net of allowance for credit losses of $6,315 at January 31, 2024 and allowance for doubtful accounts of $5,642 at July 31, 2023 | 37,392 | 32,092 |
Settlement assets, net of reserve of $1,514 at January 31, 2024 and $1,143 at July 31, 2023 | 17,200 | 32,396 |
Disbursement prefunding | 27,749 | 30,113 |
Prepaid expenses | 23,523 | 16,638 |
Other current assets | 30,905 | 28,394 |
Total current assets | 407,576 | 387,068 |
Property, plant, and equipment, net | 38,713 | 38,655 |
Goodwill | 26,318 | 26,457 |
Other intangibles, net | 7,026 | 8,196 |
Equity investments | 7,558 | 9,874 |
Operating lease right-of-use assets | 5,079 | 5,540 |
Deferred income tax assets, net | 18,313 | 24,101 |
Other assets | 11,195 | 10,919 |
Total assets | 521,778 | 510,810 |
Current liabilities: | ||
Trade accounts payable | 21,514 | 22,231 |
Accrued expenses | 107,181 | 110,796 |
Deferred revenue | 33,803 | 35,343 |
Customer deposits | 87,553 | 86,481 |
Settlement liabilities | 15,789 | 21,495 |
Other current liabilities | 19,194 | 17,761 |
Total current liabilities | 285,034 | 294,107 |
Operating lease liabilities | 2,448 | 2,881 |
Other liabilities | 3,716 | 3,354 |
Total liabilities | 291,198 | 300,342 |
Commitments and contingencies | ||
Redeemable noncontrolling interest | 10,693 | 10,472 |
IDT Corporation stockholders’ equity: | ||
Preferred stock, $.01 par value; authorized shares—10,000; no shares issued | ||
Additional paid-in capital | 300,631 | 301,408 |
Treasury stock, at cost, consisting of 1,698 and 1,698 shares of Class A common stock and 4,288 and 4,152 shares of Class B common stock at January 31, 2024 and July 31, 2023, respectively | (118,631) | (115,461) |
Accumulated other comprehensive loss | (17,276) | (17,192) |
Retained earnings | 46,746 | 24,662 |
Total IDT Corporation stockholders’ equity | 211,784 | 193,729 |
Noncontrolling interests | 8,103 | 6,267 |
Total equity | 219,887 | 199,996 |
Total liabilities, redeemable noncontrolling interest, and equity | 521,778 | 510,810 |
Common Class A [Member] | ||
IDT Corporation stockholders’ equity: | ||
Common stock, value | 33 | 33 |
Common Class B [Member] | ||
IDT Corporation stockholders’ equity: | ||
Common stock, value | $ 281 | $ 279 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) shares in Thousands, $ in Thousands | Jan. 31, 2024 | Jul. 31, 2023 |
Allowance for doubtful accounts receivable current | $ 6,315 | $ 5,642 |
Settlement assets, net of reserve | $ 1,514 | $ 1,143 |
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 10,000 | 10,000 |
Preferred stock, shares issued | 0 | 0 |
Common Class A [Member] | ||
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 35,000 | 35,000 |
Common stock, shares issued | 3,272 | 3,272 |
Common stock, shares outstanding | 1,574 | 1,574 |
Treasury stock shares | 1,698 | 1,698 |
Common Class B [Member] | ||
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 200,000 | 200,000 |
Common stock, shares issued | 28,069 | 27,851 |
Common stock, shares outstanding | 23,781 | 23,699 |
Treasury stock shares | 4,288 | 4,152 |
Consolidated Statements of Inco
Consolidated Statements of Income (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | ||
Income Statement [Abstract] | |||||
Revenues | $ 296,098 | $ 313,936 | $ 597,302 | $ 635,752 | |
Direct cost of revenues | 198,699 | 223,499 | 405,475 | 456,170 | |
Gross profit | 97,399 | 90,437 | 191,827 | 179,582 | |
Operating expenses (gains): | |||||
Selling, general and administrative | [1] | 80,743 | 72,060 | 157,965 | 141,679 |
Severance | 345 | 213 | 869 | 312 | |
Other operating expense (gain), net (see Note 10) | 294 | (17) | (190) | (816) | |
Total operating expenses | 81,382 | 72,256 | 158,644 | 141,175 | |
Income from operations | 16,017 | 18,181 | 33,183 | 38,407 | |
Interest income, net | 1,195 | 810 | 2,039 | 1,320 | |
Other income (expense), net | 2,534 | 1,613 | (3,053) | (2,229) | |
Income before income taxes | 19,746 | 20,604 | 32,169 | 37,498 | |
Provision for income taxes | (3,992) | (5,295) | (7,939) | (9,634) | |
Net income | 15,754 | 15,309 | 24,230 | 27,864 | |
Net income attributable to noncontrolling interests | (1,329) | (686) | (2,146) | (2,239) | |
Net income attributable to IDT Corporation | $ 14,425 | $ 14,623 | $ 22,084 | $ 25,625 | |
Earnings per share attributable to IDT Corporation common stockholders: | |||||
Basic | $ 0.57 | $ 0.57 | $ 0.88 | $ 1 | |
Diluted | $ 0.57 | $ 0.57 | $ 0.87 | $ 1 | |
Weighted-average number of shares used in calculation of earnings per share: | |||||
Basic | 25,175 | 25,510 | 25,176 | 25,556 | |
Diluted | 25,317 | 25,538 | 25,297 | 25,577 | |
[1]Stock-based compensation included in selling, general and administrative expenses |
Consolidated Statements of In_2
Consolidated Statements of Income (Unaudited) (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | ||
Income Statement [Abstract] | |||||
Share based compensation | [1] | $ 2,487 | $ 1,286 | $ 3,258 | $ 1,858 |
[1]Stock-based compensation included in selling, general and administrative expenses |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Income Statement [Abstract] | ||||
Net income | $ 15,754 | $ 15,309 | $ 24,230 | $ 27,864 |
Change in unrealized loss on available-for-sale securities | 270 | 188 | 204 | (34) |
Foreign currency translation adjustments | (919) | (2,227) | (288) | (2,372) |
Other comprehensive loss | (649) | (2,039) | (84) | (2,406) |
Comprehensive income | 15,105 | 13,270 | 24,146 | 25,458 |
Comprehensive income attributable to noncontrolling interests | (1,329) | (686) | (2,146) | (2,239) |
Comprehensive income attributable to IDT Corporation | $ 13,776 | $ 12,584 | $ 22,000 | $ 23,219 |
Consolidated Statements of Equi
Consolidated Statements of Equity (Unaudited) - USD ($) $ in Thousands | Total | Common Stock [Member] Common Class A [Member] | Common Stock [Member] Common Class B [Member] | Additional Paid-in Capital [Member] | Treasury Stock, Common [Member] | AOCI Attributable to Parent [Member] | Retained Earnings [Member] | Noncontrolling Interest [Member] |
BALANCE at Jul. 31, 2022 | $ 170,637 | $ 33 | $ 277 | $ 296,005 | $ (101,565) | $ (11,305) | $ (15,830) | $ 3,022 |
Repurchases of Class B common stock through repurchase program | (5,006) | (5,006) | ||||||
Stock issued to certain executive officers for bonus payments | 615 | 615 | ||||||
Stock-based compensation | 1,858 | 1 | 1,857 | |||||
Distributions to noncontrolling interests | (187) | (187) | ||||||
Other comprehensive income (loss) | (2,406) | (2,406) | ||||||
Net income | 27,666 | 25,625 | 2,041 | |||||
BALANCE at Jan. 31, 2023 | 193,014 | 33 | 278 | 298,649 | (106,906) | (13,711) | 9,795 | 4,876 |
Exercise of stock options | 172 | 172 | ||||||
Restricted Class B common stock purchased from employees | (335) | (335) | ||||||
BALANCE at Oct. 31, 2022 | 178,439 | 33 | 278 | 297,191 | (106,906) | (11,672) | (4,828) | 4,343 |
Stock-based compensation | 1,286 | 1,286 | ||||||
Distributions to noncontrolling interests | (88) | (88) | ||||||
Other comprehensive income (loss) | (2,039) | (2,039) | ||||||
Net income | 15,244 | 14,623 | 621 | |||||
BALANCE at Jan. 31, 2023 | 193,014 | 33 | 278 | 298,649 | (106,906) | (13,711) | 9,795 | 4,876 |
Exercise of stock options | 172 | 172 | ||||||
BALANCE at Jul. 31, 2023 | 199,996 | 33 | 279 | 301,408 | (115,461) | (17,192) | 24,662 | 6,267 |
Repurchases of Class B common stock through repurchase program | (3,155) | (3,155) | ||||||
Restricted net2phone common stock purchased from employees | (3,558) | (3,611) | 53 | |||||
Exchange of National Retail Solutions shares for Class B common stock | 2 | 81 | (83) | |||||
Stock issued to certain executive officers for bonus payments | ||||||||
Stock-based compensation | 2,581 | 2,581 | ||||||
Distributions to noncontrolling interests | (59) | (59) | ||||||
Other comprehensive income (loss) | (84) | (84) | ||||||
Net income | 24,009 | 22,084 | 1,925 | |||||
BALANCE at Jan. 31, 2024 | 219,887 | 33 | 281 | 300,631 | (118,631) | (17,276) | 46,746 | 8,103 |
Exercise of stock options | 172 | 172 | ||||||
Restricted Class B common stock purchased from employees | (15) | (15) | ||||||
BALANCE at Oct. 31, 2023 | 206,967 | 33 | 279 | 302,351 | (118,312) | (16,627) | 32,321 | 6,922 |
Repurchases of Class B common stock through repurchase program | (319) | (319) | ||||||
Restricted net2phone common stock purchased from employees | (3,558) | (3,611) | 53 | |||||
Exchange of National Retail Solutions shares for Class B common stock | 2 | 81 | (83) | |||||
Stock-based compensation | 1,810 | 1,810 | ||||||
Distributions to noncontrolling interests | (4) | (4) | ||||||
Other comprehensive income (loss) | (649) | (649) | ||||||
Net income | 15,640 | 14,425 | 1,215 | |||||
BALANCE at Jan. 31, 2024 | $ 219,887 | $ 33 | $ 281 | $ 300,631 | $ (118,631) | $ (17,276) | $ 46,746 | $ 8,103 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 6 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | ||
Operating activities | |||
Net income | $ 24,230 | $ 27,864 | |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 10,146 | 9,801 | |
Deferred income taxes | 5,787 | 7,788 | |
Provision for credit losses, doubtful accounts receivable, and reserve for settlement assets | 1,696 | 915 | |
Net unrealized loss from marketable securities | 1,234 | 2,349 | |
Stock-based compensation | [1] | 3,258 | 1,858 |
Other | 1,595 | 1,359 | |
Change in assets and liabilities: | |||
Trade accounts receivable | (7,040) | 2,483 | |
Settlement assets, disbursement prefunding, prepaid expenses, other current assets, and other assets | 9,966 | 2,323 | |
Trade accounts payable, accrued expenses, settlement liabilities, other current liabilities, and other liabilities | (12,021) | (19,344) | |
Customer deposits at IDT Financial Services Limited (Gibraltar-based bank) | 2,253 | 15 | |
Deferred revenue | (1,381) | (1,795) | |
Net cash provided by operating activities | 39,723 | 35,616 | |
Investing activities | |||
Capital expenditures | (8,885) | (10,578) | |
Purchase of convertible preferred stock in equity method investment | (1,009) | ||
Payments for acquisition | (60) | ||
Purchases of debt securities and equity investments | (19,357) | (28,129) | |
Proceeds from maturities and sales of debt securities and redemptions of equity investments | 31,231 | 27,531 | |
Net cash provided by (used in) investing activities | 1,920 | (11,176) | |
Financing activities | |||
Distributions to noncontrolling interests | (59) | (187) | |
Proceeds from other liabilities | 100 | 300 | |
Repayment of other liabilities. | (15) | (2,014) | |
Proceeds from borrowings under revolving credit facility | 30,588 | 2,383 | |
Repayment of borrowings under revolving credit facility. | (30,588) | (2,383) | |
Proceeds from exercise of stock options | 172 | 172 | |
Repurchases of Class B common stock | (3,170) | (5,341) | |
Net cash used in financing activities | (2,972) | (7,070) | |
Effect of exchange rate changes on cash, cash equivalents, and restricted cash and cash equivalents | (3,182) | 746 | |
Net increase in cash, cash equivalents, and restricted cash and cash equivalents | 35,489 | 18,116 | |
Cash, cash equivalents, and restricted cash and cash equivalents at beginning of period | 198,823 | 189,562 | |
Cash, cash equivalents, and restricted cash and cash equivalents at end of period | 234,312 | 207,678 | |
Supplemental schedule of non-cash financing activities | |||
Restricted net2phone common stock withheld from employees for income tax obligations | 3,558 | ||
Value of Class B common stock exchanged for National Retail Solutions shares | 6,254 | ||
Stock issued to certain executive officers for bonus payments | $ 615 | ||
[1]Stock-based compensation included in selling, general and administrative expenses |
Basis of Presentation
Basis of Presentation | 6 Months Ended |
Jan. 31, 2024 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Note 1— Basis of Presentation The accompanying unaudited consolidated financial statements of IDT Corporation and its subsidiaries (the “Company” or “IDT”) have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and notes required by U.S. GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three and six months ended January 31, 2024 are not necessarily indicative of the results that may be expected for the fiscal year ending July 31, 2024. The balance sheet at July 31, 2023 has been derived from the Company’s audited financial statements at that date but does not include all of the information and notes required by U.S. GAAP for complete financial statements. For further information, please refer to the consolidated financial statements and footnotes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended July 31, 2023, as filed with the U.S. Securities and Exchange Commission (the “SEC”). The Company’s fiscal year ends on July 31 of each calendar year. Each reference below to a fiscal year refers to the fiscal year ending in the calendar year indicated (e.g., fiscal 2024 refers to the fiscal year ending July 31, 2024). As of January 31, 2024, the Company owned 94.0 of the outstanding shares of its subsidiary, net2phone 2.0, Inc. (“net2phone 2.0”), which owns and operates the net2phone segment, and 81.2 % of the outstanding shares of National Retail Solutions (“NRS”), and, on a fully diluted basis, assuming all the vesting criteria related to various rights granted have been met and other assumptions, the Company would own 90.8 % of net2phone 2.0 and 78.9 Reclassifications From and after August 1, 2023, the Company includes depreciation and amortization in “Direct cost of revenues” and “Selling, general and administrative” expense and is reporting gross profit (in accordance with U.S. GAAP) in the consolidated statements of income. Prior to August 1, 2023, depreciation and amortization was a separate caption in the consolidated statements of income. Depreciation and amortization expense of $ 5.0 1.1 3.9 9.8 2.1 7.7 In the consolidated statements of cash flows, cash provided by “Trade accounts receivable” in the six months ended January 31, 2023 of $ 13.8 Recently Adopted Accounting Standard On August 1, 2023, the Company adopted Accounting Standards Update (“ASU”) No. 2016-13, Financial Instruments—Credit Losses (Topic 326) Measurement of Credit Losses on Financial Instruments, |
Business Segment Information
Business Segment Information | 6 Months Ended |
Jan. 31, 2024 | |
Segment Reporting [Abstract] | |
Business Segment Information | Note 2— Business Segment Information The Company has four The NRS segment is an operator of a nationwide point-of-sale (“POS”) network providing independent retailers with store management software, electronic payment processing, and other ancillary merchant services. NRS’ POS platform provides marketers with digital out-of-home advertising and transaction data. The Fintech segment is comprised of: (i) BOSS Money, a provider of international money remittance and related value/payment transfer services; and (ii) other, significantly smaller, financial services businesses, including Leaf Global Fintech Corporation (“Leaf”), a provider of digital wallet services in emerging markets, a variable interest entity that operates money transfer businesses, and IDT Financial Services Limited (“IDT Financial Services”), the Company’s Gibraltar-based bank. The net2phone segment is comprised of net2phone’s cloud communications and contact center offerings. The Traditional Communications segment includes: (i) IDT Digital Payments, which enables customers to transfer airtime and bundles of airtime, messaging, and data to international and domestic mobile accounts; (ii) BOSS Revolution Calling, an international long-distance calling service marketed primarily to immigrant communities in the United States and Canada; and (iii) IDT Global, a wholesale provider of international voice and SMS termination and outsourced traffic management solutions to telecoms worldwide. Traditional Communications also includes other small businesses and offerings including early-stage business initiatives and mature businesses in harvest mode. 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. Corporate costs mainly 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, and other corporate-related general and administrative expenses. Corporate does not generate any revenues, nor does it incur any direct cost of revenues. Operating results for the business segments of the Company were as follows: Schedule of Operating Results of Business Segments (in thousands) National Retail Solutions Fintech net2phone Traditional Communications Corporate Total Three Months Ended January 31, 2024 Revenues $ 25,223 $ 27,987 $ 20,353 $ 222,535 $ — $ 296,098 Income (loss) from operations 5,349 (736 ) 367 14,618 (3,581 ) 16,017 Depreciation and amortization: Included in “Direct cost of revenues” 483 62 600 185 — 1,330 Included in “Selling, general and administrative expense” 294 662 952 1,844 17 3,769 Three Months Ended January 31, 2023 Revenues $ 19,822 $ 20,321 $ 17,794 $ 255,999 $ — $ 313,936 Income (loss) from operations 5,374 (806 ) (575 ) 17,008 (2,820 ) 18,181 Depreciation and amortization: Included in “Direct cost of revenues” 357 21 536 191 — 1,105 Included in “Selling, general and administrative expense” 237 637 855 2,160 18 3,907 Six Months Ended January 31, 2024 Revenues $ 49,217 $ 54,550 $ 40,280 $ 453,255 $ — $ 597,302 Income (loss) from operations 10,810 (2,120 ) 360 30,024 (5,891 ) 33,183 Depreciation and amortization: Included in “Direct cost of revenues” 933 85 1,199 369 — 2,586 Included in “Selling, general and administrative expense” 579 1,333 1,792 3,807 49 7,560 Six Months Ended January 31, 2023 Revenues $ 39,135 $ 40,208 $ 34,744 $ 521,665 $ — $ 635,752 Income (loss) from operations 10,605 706 (1,631 ) 34,271 (5,544 ) 38,407 Depreciation and amortization: Included in “Direct cost of revenues” 676 45 1,034 384 — 2,139 Included in “Selling, general and administrative expense” 395 1,235 1,709 4,287 36 7,662 Total depreciation and amortization 395 1,235 1,709 4,287 36 7,662 |
Revenue Recognition
Revenue Recognition | 6 Months Ended |
Jan. 31, 2024 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Recognition | Note 3— Revenue Recognition 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 Money, NRS, and net2phone are technology-driven, synergistic businesses that leverage the Company’s core assets. BOSS Money’s and NRS’ revenues are primarily recognized at a point in time, and net2phone’s revenue is mainly 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 IDT Digital Payments, BOSS Revolution Calling, and IDT Global. IDT Digital Payments and BOSS Revolution Calling are sold direct-to-consumer and through distributors and retailers. 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 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) National Retail Solutions $ 25,223 $ 19,822 $ 49,217 $ 39,135 BOSS Money 25,039 17,649 49,278 35,203 Other 2,948 2,672 5,272 5,005 Total Fintech 27,987 20,321 54,550 40,208 net2phone 20,353 17,794 40,280 34,744 IDT Digital Payments 99,620 106,127 199,606 215,177 BOSS Revolution Calling 66,703 82,831 137,925 169,083 IDT Global 48,741 58,631 100,775 120,242 Other 7,471 8,410 14,949 17,163 Total Traditional Communications 222,535 255,999 453,255 521,665 Total $ 296,098 $ 313,936 $ 597,302 $ 635,752 Revenues $ 296,098 $ 313,936 $ 597,302 $ 635,752 The following table shows the Company’s revenues disaggregated by geographic region, which is determined based on selling location: Schedule of Revenues Disaggregated by Geographic Region (in thousands) National Retail Solutions Fintech net2phone Traditional Communications Total Three Months Ended January 31, 2024 United States $ 25,223 $ 26,901 $ 10,700 $ 163,774 $ 226,598 Outside the United States: United Kingdom — — — 50,390 50,390 Other — 1,086 9,653 8,371 19,110 Total outside the United States — 1,086 9,653 58,761 69,500 Total $ 25,223 $ 27,987 $ 20,353 $ 222,535 $ 296,098 Revenues $ 25,223 $ 27,987 $ 20,353 $ 222,535 $ 296,098 (in thousands) National Retail Solutions Fintech net2phone Traditional Communications Total Three Months Ended January 31, 2023 United States $ 19,822 $ 19,612 $ 9,514 $ 176,424 $ 225,372 Outside the United States: United Kingdom — — — 69,000 69,000 Other — 709 8,280 10,575 19,564 Total outside the United States — 709 8,280 79,575 88,564 Total $ 19,822 $ 20,321 $ 17,794 $ 255,999 $ 313,936 Revenues $ 19,822 $ 20,321 $ 17,794 $ 255,999 $ 313,936 (in thousands) National Retail Solutions Fintech net2phone Traditional Communications Total Six Months Ended January 31, 2024 United States $ 49,217 $ 52,734 $ 21,388 $ 326,842 $ 450,181 Outside the United States: United Kingdom — — — 109,232 109,232 Other — 1,816 18,892 17,181 37,889 Total outside the United States — 1,816 18,892 126,413 147,121 Total $ 49,217 $ 54,550 $ 40,280 $ 453,255 $ 597,302 Revenues $ 49,217 $ 54,550 $ 40,280 $ 453,255 $ 597,302 (in thousands) National Retail Solutions Fintech net2phone Traditional Communications Total Six Months Ended January 31, 2023 United States $ 39,135 $ 38,867 $ 18,316 $ 361,262 $ 457,580 Outside the United States: United Kingdom — — — 137,940 137,940 Other — 1,341 16,428 22,463 40,232 Total outside the United States — 1,341 16,428 160,403 178,172 Total $ 39,135 $ 40,208 $ 34,744 $ 521,665 $ 635,752 Revenues $ 39,135 $ 40,208 $ 34,744 $ 521,665 $ 635,752 Remaining Performance Obligations The following table includes revenue by business segment expected to be recognized in the future from performance obligations that were unsatisfied or partially unsatisfied as of January 31, 2024. The table excludes contracts that had an original expected duration of one year or less. Schedule of Estimated Revenue by Business Segment (in thousands) National Retail Solutions net2phone Total Twelve-month period ending January 31: 2025 $ 5,896 $ 38,854 $ 44,750 2026 4,940 18,769 23,709 Thereafter 4,838 6,213 11,051 Total $ 15,674 $ 63,836 $ 79,510 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. The Company would record a contract asset when revenue is recognized in advance of its right to bill and receive consideration. The Company has not currently 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 contract liability balances are presented in the Company’s consolidated balance sheets as “Deferred revenue”. The following table presents information about the Company’s contract liability balance: Schedule of Information About Contract Liabilities 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) Revenue recognized in the period from amounts included in the contract liability balance at the beginning of the period $ 15,803 $ 17,072 $ 19,605 $ 21,205 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’s incremental costs of obtaining a contract with a customer are sales commissions paid to employees and third parties on sales to end users. If the amortization period were one year or less for the asset that would be recognized from deferring these costs, the Company applies the practical expedient whereby the Company charges these costs to expense when incurred. For net2phone sales, the Company defers these costs and amortizes them over the expected customer relationship period when it is expected to exceed one year. The Company’s costs to fulfill its contracts do not meet the criteria to be recognized as an asset, therefore these costs are charged to expense as incurred. The Company’s deferred customer contract acquisition costs were as follows: Schedule of Deferred Customer Contract Acquisition Costs January 31, 2024 July 31, 2023 (in thousands) Deferred customer contract acquisition costs included in “Other current assets” $ 4,197 $ 4,460 Deferred customer contract acquisition costs included in “Other assets” 3,871 3,734 Total $ 8,068 $ 8,194 The Company’s amortization of deferred customer contract acquisition costs during the periods were as follows: Schedule of Amortization of Deferred Customer Contract Acquisition Costs 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) Amortization of deferred customer contract acquisition costs $ 1,194 $ 1,228 $ 2,409 $ 2,405 |
Leases
Leases | 6 Months Ended |
Jan. 31, 2024 | |
Leases | |
Leases | Note 4— Leases The Company’s leases primarily consist of operating leases for office space. These leases have remaining terms from less than one year six years net2phone is the lessee under equipment leases that are classified as finance leases. The assets and liabilities related to these finance leases are not material to the Company’s consolidated balance sheets. Supplemental disclosures related to the Company’s operating leases were as follows: Schedule of Supplemental Disclosures Related to the Company's Operating Leases 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) Operating lease cost $ 734 $ 799 $ 1,492 $ 1,566 Short-term lease cost 132 259 459 528 Total lease cost $ 866 $ 1,058 $ 1,951 $ 2,094 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 724 $ 824 $ 1,515 $ 1,588 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases 724 824 1,515 1,588 Schedule of Supplemental Disclosures Related Weighted Average Operating Leases January 31, 2024 July 31, 2023 Weighted-average remaining lease term-operating leases 2.6 2.3 Weighted-average discount rate-operating leases 4.3 % 3.7 % In the six months ended January 31, 2024 and 2023, the Company obtained right-of-use assets of $ 0.9 1.7 The Company’s aggregate operating lease liability was as follows: Schedule of Aggregate Operating Lease Liability January 31, 2024 July 31, 2023 (in thousands) Operating lease liabilities included in “ Other current liabilities $ 2,810 $ 2,861 Operating lease liabilities included in noncurrent liabilities 2,448 2,881 Total $ 5,258 $ 5,742 Future minimum maturities of operating lease liabilities were as follows: Schedule of Future Minimum Maturities of Operating Lease Liabilities (in thousands) Twelve-month period ending January 31: 2025 $ 2,988 2026 1,344 2027 636 2028 320 2029 183 Thereafter 152 Total lease payments 5,623 Less imputed interest (365 ) Total operating lease liabilities $ 5,258 |
Cash, Cash Equivalents, and Res
Cash, Cash Equivalents, and Restricted Cash and Cash Equivalents | 6 Months Ended |
Jan. 31, 2024 | |
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 January 31, 2024 July 31, 2023 (in thousands) Cash and cash equivalents $ 141,081 $ 103,637 Restricted cash and cash equivalents 93,231 95,186 Total cash, cash equivalents, and restricted cash and cash equivalents $ 234,312 $ 198,823 At January 31, 2024 and July 31, 2023, restricted cash and cash equivalents included $ 88.2 87.3 Company Restricted Cash and Cash Equivalents The Company treats unrestricted cash and cash equivalents held by IDT Payment Services, Inc. and IDT Payment Services of New York, LLC, which provide the Company’s international money transfer services in the United States, as substantially restricted and unavailable for other purposes. At January 31, 2024 and July 31, 2023, “Cash and cash equivalents” in the Company’s consolidated balance sheets included an aggregate of $ 39.8 20.6 |
Debt Securities
Debt Securities | 6 Months Ended |
Jan. 31, 2024 | |
Investments, Debt and Equity Securities [Abstract] | |
Debt Securities | Note 6— Debt Securities The following is a summary of available-for-sale debt securities: Schedule of Available-for-sale Securities Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (in thousands) January 31, 2024: Certificates of deposit* $ 960 $ — $ — $ 960 U.S. Treasury bills and notes 23,738 12 (76 ) 23,674 Government sponsored enterprise notes 3,261 1 (3 ) 3,259 Corporate bonds 3,901 1 (376 ) 3,526 Total $ 31,860 $ 14 $ (455 ) $ 31,419 July 31, 2023: Certificates of deposit* $ 4,080 $ — $ (4 ) $ 4,076 U.S. Treasury bills and notes 31,186 — (148 ) 31,038 Government sponsored enterprise notes 3,881 — (8 ) 3,873 Corporate bonds 3,912 — (485 ) 3,427 Total $ 43,059 $ — $ (645 ) $ 42,414 * 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. The gross unrealized losses in the table above are recorded in “Accumulated other comprehensive loss” in the consolidated balance sheets. As of January 31, 2024, the Company determined that the unrealized losses were due to changes in interest rates or market liquidity and were not due to credit losses. In addition, as of January 31, 2024 and July 31, 2023, the Company did not intend to sell any of the securities with unrealized losses, and it is not more likely than not that the Company will be required to sell any of these securities before recovery of the unrealized losses, which may be at maturity. Proceeds from maturities and sales of debt securities and redemptions of equity investments were $ 14.2 16.1 31.2 27.5 The contractual maturities of the Company’s available-for-sale debt securities at January 31, 2024 were as follows: Schedule of Contractual Maturities of Available-for-sale Debt Securities Fair Value (in thousands) Within one year $ 23,087 After one year through five years 7,496 After five years through ten years 808 After ten years 28 Total $ 31,419 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 Unrealized Losses Fair Value (in thousands) January 31, 2024: Certificates of deposit $ — $ — U.S. Treasury bills and notes 76 21,754 Government sponsored enterprise notes 3 2,910 Corporate bonds 376 3,384 Total $ 455 $ 28,048 July 31, 2023: Certificates of deposit $ 4 $ 3,356 U.S. Treasury bills and notes 148 31,038 Government sponsored enterprise notes 8 3,873 Corporate bonds 485 3,368 Total $ 645 $ 41,635 The following available-for-sale debt securities included in the table above were in a continuous unrealized loss position for 12 months or longer: Schedule of Continuous Unrealized Loss Position for 12 Months or Longer Unrealized Losses Fair Value (in thousands) January 31, 2024: U.S. Treasury bills and notes $ 63 $ 2,837 Corporate bonds 376 3,384 Total $ 439 $ 6,221 July 31, 2023: U.S. Treasury bills and notes $ 86 $ 816 Corporate bonds 484 3,299 Total $ 570 $ 4,115 |
Equity Investments
Equity Investments | 6 Months Ended |
Jan. 31, 2024 | |
Cash and Cash Equivalents [Abstract] | |
Equity Investments | Note 7— Equity Investments Equity investments consist of the following: Schedule of Equity Investments January 31, 2024 July 31, 2023 (in thousands) Zedge, Inc. Class B common stock, 42,282 $ 138 $ 89 Rafael Holdings, Inc. Class B common stock, 278,810 505 558 Other marketable equity securities 188 1,497 Fixed income mutual funds 4,245 4,054 Current equity investments $ 5,076 $ 6,198 Visa Inc. Series C Convertible Participating Preferred Stock (“Visa Series C Preferred”) $ 1,450 $ 1,263 Convertible preferred stock—equity method investment 1,932 2,784 Hedge funds 2,951 3,002 Other 1,225 2,825 Noncurrent equity investments $ 7,558 $ 9,874 Howard S. Jonas, the Chairman of the Company and the Chairman of the Company’s Board of Directors, is also the Vice-Chairman of the Board of Directors of Zedge, Inc. and the Chairman of the Board of Directors and Executive Chairman of Rafael Holdings, Inc. 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 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) Balance, beginning of period $ 1,747 $ 1,474 $ 1,632 $ 1,501 Adjustment for observable transactions involving a similar investment from the same issuer 202 120 187 93 Upward adjustment — — 130 — Redemption (230 ) — (230 ) — Impairments — — — — Balance, end of the period $ 1,719 $ 1,594 $ 1,719 $ 1,594 The Company increased the carrying value of the shares of Visa Series C Preferred it held based on the fair value of Visa Class A common stock, including a discount for lack of current marketability, which is classified as “Adjustment for observable transactions involving a similar investment from the same issuer” in the table above. In addition, in connection with the acquisition of Regal Bancorp by SR Bancorp, the Company received cash of $ 0.2 Unrealized gains (losses) for all equity investments measured at fair value included the following: Schedule of Unrealized Gains (losses) Gains for All Equity Investments 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) Net gains (losses) recognized during the period on equity investments $ 715 $ (228 ) $ (202 ) $ (2,169 ) Less: net gains recognized during the period on equity investments sold during the period — 22 130 18 Unrealized gains (losses) recognized during the period on equity investments still held at the reporting date $ 715 $ (250 ) $ (332 ) $ (2,187 ) The unrealized gains and losses for all equity investments measured at fair value in the table above included the following: 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) Unrealized gains (losses) recognized during the period on equity investments: Rafael Class B common stock $ 9 $ 82 $ (53 ) $ 9 Zedge Class B common stock $ 57 $ 3 $ 49 $ (24 ) Unrealized losses recognized during the period on equity investments still held at the reporting date $ 715 $ (250 ) $ (332 ) $ (2,187 ) Equity Method Investment The Company has an investment in shares of convertible preferred stock of a communications company (the equity method investee, or “EMI”). As of January 31, 2024 and July 31, 2023, the Company’s ownership was 33.4 33.3 The Company determined that on the dates of the acquisitions of the EMI’s shares, there were differences between its investment in the EMI and its proportional interest in the equity of the EMI of an aggregate of $ 8.2 These basis differences are being amortized over the 6-year estimated life of the customer list. In February 2024, each of the EMI’s shareholders (including the Company) agreed to purchase additional shares of the EMI’s convertible preferred stock. The Company paid $ 0.3 0.2 The following table summarizes the change in the balance of the Company’s equity method investment: Summary of Changes in Equity Method Investments 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) Balance, beginning of period $ 2,444 $ 349 $ 2,784 $ 1,001 Purchase of convertible preferred stock 336 — 1,009 — Equity in the net loss of investee (506 ) (542 ) (1,176 ) (1,012 ) Amortization of equity method basis difference (342 ) (181 ) (685 ) (363 ) Balance, end of the period $ 1,932 $ (374 ) $ 1,932 $ (374 ) Summarized financial information of the EMI was as follows: Summary of Statements of Operations 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) Revenues $ 5,087 $ 1,818 $ 7,821 $ 3,691 Costs and expenses: Direct cost of revenues 4,085 1,535 6,482 3,228 Selling, general and administrative 2,385 1,772 4,570 3,408 Total costs and expenses 6,470 3,307 11,052 6,636 Loss from operations (1,383 ) (1,489 ) (3,231 ) (2,945 ) Other expense, net — (498 ) — (842 ) Net loss $ (1,383 ) $ (1,987 ) $ (3,231 ) $ (3,787 ) |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jan. 31, 2024 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Note 8— 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 Level 1 (1) Level 2 (2) Level 3 (3) Total (in thousands) January 31, 2024 Debt securities $ 23,674 $ 7,745 $ — $ 31,419 Equity investments included in current assets 5,076 — — 5,076 Equity investments included in noncurrent assets — 1,000 1,450 2,450 Total $ 28,750 $ 8,745 $ 1,450 $ 38,945 Acquisition consideration included in: Other current liabilities $ — $ — $ (1,945 ) $ (1,945 ) Other noncurrent liabilities — — (2,572 ) (2,572 ) Total $ — $ — $ (4,517 ) $ (4,517 ) July 31, 2023 Debt securities $ 31,038 $ 11,376 $ — $ 42,414 Equity investments included in current assets 6,198 — — 6,198 Equity investments included in noncurrent assets — 2,500 1,263 3,763 Total $ 37,236 $ 13,876 $ 1,263 $ 52,375 Acquisition consideration included in: Other current liabilities $ — $ — $ (2,032 ) $ (2,032 ) Other noncurrent liabilities — — (2,773 ) (2,773 ) Total $ — $ — $ (4,805 ) $ (4,805 ) (1) – quoted prices in active markets for identical assets or liabilities (2) – observable inputs other than quoted prices in active markets for identical assets and liabilities (3) – no observable pricing inputs in the market At both January 31, 2024 and July 31, 2023, the Company had $ 3.0 The following table summarizes 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) 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) Balance, beginning of period $ 1,248 $ 1,105 $ 1,263 $ 1,132 Total gains included in “Other income (expense), net” 202 120 187 93 Balance, end of period $ 1,450 $ 1,225 $ 1,450 $ 1,225 Change in unrealized gains or losses for the period included in earnings for assets held at the end of the period $ — $ — $ — $ — The following table summarizes 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) 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) Balance, beginning of period $ 4,588 $ 6,603 $ 4,805 $ 8,546 Payments — — (214 ) (375 ) Total (gains) losses included in: “ Other operating (expense) gain, net (73 ) — (73 ) (1,565 ) “ Foreign currency translation adjustment” 2 6 (1 ) 3 Balance, end of period $ 4,517 $ 6,609 $ 4,517 $ 6,609 Change in unrealized gains or losses for the period included in earnings for liabilities held at the end of the period $ — $ — $ — $ — In the six months ended January 31, 2024 and 2023, the Company paid an aggregate of $ 0.2 0.4 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, settlement assets, other current assets, customer deposits, settlement liabilities, and other current liabilities. Other assets and other liabilities. |
Variable Interest Entity
Variable Interest Entity | 6 Months Ended |
Jan. 31, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Variable Interest Entity | Note 9— Variable Interest Entity The Company is the primary beneficiary of a variable interest entity (“VIE”) that operates money transfer businesses. 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. 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 consolidated statements of income. The VIE’s net (loss) income and aggregate funding provided by (repaid to) the Company were as follows: Schedule of Net (Loss) Income and Aggregate Funding to the Company by VIE 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) Net (loss) income of the VIE $ (107 ) $ 25 $ (26 ) $ 165 Aggregate funding provided by (repaid to) the Company, net $ 123 $ (10 ) $ 237 $ 87 The VIE’s summarized consolidated balance sheet amounts are as follows: VIE’s Summarized Consolidated Balance Sheet January 31, 2024 July 31, 2023 (in thousands) Assets Cash and equivalents $ 2,394 $ 1,596 Restricted cash 4,934 7,848 Trade accounts receivable, net 90 62 Disbursement prefunding 1,056 585 Prepaid expenses 323 197 Other current assets 255 317 Property, plant, and equipment, net 166 272 Other intangibles, net 661 737 Total assets $ 9,879 $ 11,614 Liabilities and noncontrolling interests: Trade accounts payable $ 11 $ — Accrued expenses 334 70 Settlement liabilities 5,336 7,573 Due to the Company 263 26 Accumulated other comprehensive income 37 21 Noncontrolling interests 3,898 3,924 Total liabilities and noncontrolling interests $ 9,879 $ 11,614 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 (Expense) Gain,
Other Operating (Expense) Gain, Net | 6 Months Ended |
Jan. 31, 2024 | |
Other Income and Expenses [Abstract] | |
Other Operating (Expense) Gain, Net | Note 10— Other Operating (Expense) Gain, Net The following table summarizes the other operating (expense) gain, net by business segment: Schedule of Other Operating (Expense) Gain, Net 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) Corporate—Straight Path Communications Inc. class action legal fees $ (2,552 ) $ (1,597 ) $ (2,764 ) $ (4,109 ) Corporate—Straight Path Communications Inc. class action insurance claims 2,186 1,263 2,869 2,988 Corporate—other — — 12 — Fintech—write-off of contingent consideration liability — — — 1,565 Fintech— government grants — 349 — 382 net2phone—write-off of contingent consideration liability 73 — 73 — Traditional Communications— cable telephony customer indemnification claim — (1 ) — (12 ) Traditional Communications—other (1 ) 3 — 2 Total other operating (expense) gain, net $ (294 ) $ 17 $ 190 $ 816 Straight Path Communications Inc. Class Action As discussed in Note 16, the Company (as well as other defendants) was named in a class action on behalf of the stockholders of the Company’s former subsidiary, Straight Path Communications Inc. (“Straight Path”). The Company incurred legal fees and recorded offsetting gains from insurance claims related to this action in the three and six months ended January 31, 2024 and 2023. On October 3, 2023, the Court of Chancery of the State of Delaware dismissed all claims against the Company, and found that, contrary to the plaintiffs’ allegations, the class suffered no damages. The plaintiffs will have 30 days from entry of the final order to file an appeal. Write-off of Contingent Consideration Liability In January 2024, the Company determined that the requirement for a contingent consideration payment related to an acquisition in a prior period would not be met. In addition, in September 2022, the Company determined that the requirements for a portion of the contingent consideration payments related to the Leaf acquisition would not be met. The Company recognized gains on the write-off of these contingent consideration payment obligations in the net2phone and Fintech segments. Government Grants In the three and six months ended January 31, 2023, Leaf received payments from government grants for the development and commercialization of blockchain-backed financial technologies. Indemnification Claim Beginning in June 2019, as part of a commercial resolution, the Company indemnified a cable telephony customer related to patent infringement claims brought against the customer. On May 8, 2023, the Company and the customer agreed to release the Company from the indemnification agreement in exchange for $ 3.9 |
Revolving Credit Facility
Revolving Credit Facility | 6 Months Ended |
Jan. 31, 2024 | |
Debt Disclosure [Abstract] | |
Revolving Credit Facility | Note 11— 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 no 30.6 2.4 The revolving credit facility is secured by primarily all of IDT Telecom’s assets. The principal outstanding bears interest per annum at the secured overnight financing rate published by the Federal Reserve Bank of New York plus 10 basis points, plus depending upon IDT Telecom’s leverage ratio as computed for the most recent fiscal quarter, 125 to 175 basis points. Interest is payable monthly, and all outstanding principal and any accrued and unpaid interest is due on May 16, 2026 25.0 |
Equity
Equity | 6 Months Ended |
Jan. 31, 2024 | |
Equity: | |
Equity | Note 12— Equity 2024 Equity Incentive Plan On December 13, 2023, the Company’s stockholders approved the adoption of the Company’s 2024 Equity Incentive Plan (the “2024 Plan”), which is intended to provide incentives to officers, employees, directors, and consultants of the Company, including stock options, stock appreciation rights, deferred stock units (“DSUs”), and restricted stock, from and after September 16, 2024. There are 250,000 2015 Stock Option and Incentive Plan On December 13, 2023, the Company’s stockholders approved an amendment to the Company’s 2015 Stock Option and Incentive Plan (the “2015 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 250,000 In both the six months ended January 31, 2024 and 2023, the Company received cash from the exercise of stock options of $ 0.2 million for which the Company issued 12,500 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 8.0 135,261 3.2 203,436 5.0 4.6 In the six months ended January 31, 2024 and 2023, the Company paid $ 15,000 0.3 654 13,403 Deferred Stock Units Equity Incentive Program On November 30, 2022, the Company adopted an equity incentive program (under its 2015 Plan) in the form of grants of DSUs that, upon vesting, will entitle the grantees to receive shares of the Company’s Class B common stock. The number of shares that will be issuable on each vesting date will vary 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 base price approved by the Compensation Committee of the Company’s Board of Directors of $25.45 per share (which was based on the market price at the time of the initial grants under this program). On February 21, 2024, the second vesting date under the program, in accordance with the program and based on certain elections made by grantees, the Company issued 53,706 shares of its Class B common stock for vested DSUs. Subject to continued full time employment or other services to the Company, the remaining 147,540 DSUs are scheduled to vest on February 25, 2025, the third and final vesting date under the program. Amended and Restated Employment Agreement with Abilio (“Bill”) Pereira On December 21, 2023, the Company entered into an Amended and Restated Employment Agreement with Bill Pereira, the Company’s President and Chief Operating Officer. The agreement provides for, among other things, certain equity grants, including 23,500 50,000 1.4 0.4 2.0 Exchange of NRS Shares for the Company’s Shares In January 2024, three management employees of NRS exchanged shares of NRS’ Class B common stock that they held for shares of the Company’s Class B common stock with an equal value. The NRS shares in the exchange represented an aggregate of 1.25 192,433 0.1 1.25 Restricted net2phone 2.0 Common Stock Repurchased from Employees In January 2024, the restrictions lapsed on the 0.5 50,000 4.5 3.6 53,000 3.61 3.6 Subsequent Event Dividend Payments In March 2024, the Company’s Board of Directors initiated a quarterly cash dividend of $ 0.05 March 27, 2024 March 19, 2024 |
Redeemable Noncontrolling Inter
Redeemable Noncontrolling Interest | 6 Months Ended |
Jan. 31, 2024 | |
Noncontrolling Interest [Abstract] | |
Redeemable Noncontrolling Interest | Note 13— Redeemable Noncontrolling Interest On September 29, 2021, NRS sold shares of its Class B common stock representing 2.5 10 The shares of NRS’ Class B common stock sold to Alta Fox have been classified as mezzanine equity in the accompanying consolidated balance sheets because they may be redeemed at the option of Alta Fox, although the shares are not mandatorily redeemable. The carrying amount of the shares includes the noncontrolling interest in the net income of NRS. The net income attributable to the mezzanine equity’s noncontrolling interest during the periods were as follows: Schedule of Net Income Attributable to Mezzanine Equity’s Noncontrolling Interest 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) Net income of NRS attributable to the mezzanine equity’s noncontrolling interest $ 114 $ 65 $ 221 $ 198 |
Earnings Per Share
Earnings Per Share | 6 Months Ended |
Jan. 31, 2024 | |
Earnings per share attributable to IDT Corporation common stockholders: | |
Earnings Per Share | Note 14— 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 computed 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 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) Basic weighted-average number of shares 25,175 25,510 25,176 25,556 Effect of dilutive securities: Stock options — 9 1 11 Non-vested restricted Class B common stock 142 19 120 10 Diluted weighted-average number of shares 25,317 25,538 25,297 25,577 There were no shares excluded from the calculation of diluted earnings per share in the three and six months ended January 31, 2024 and 2023. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 6 Months Ended |
Jan. 31, 2024 | |
Equity: | |
Accumulated Other Comprehensive Loss | Note 15— 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 Income Income (Loss) Unrealized Loss on Available-for-Sale Securities Foreign Accumulated (in thousands) Balance, July 31, 2023 $ (645 ) $ (16,547 ) $ (17,192 ) Other comprehensive income (loss) attributable to IDT Corporation 204 (288 ) (84 ) Balance, January 31, 2024 $ (441 ) $ (16,835 ) $ (17,276 ) |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jan. 31, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 16— Commitments and Contingencies COVID-19 In May 2023, the World Health Organization declared an end to COVID-19 as a public health emergency. As of the date of this Quarterly Report, the Company continues to monitor the situation. The Company cannot predict with certainty the potential impact of COVID-19 if it re-invigorates on the Company’s results of operations, financial condition, or cash flows. Legal Proceedings 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 alleged 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 sought, 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. The trial was held in August and December 2022, and closing arguments were presented on May 3, 2023. On October 3, 2023, the Court of Chancery of the State of Delaware dismissed all claims against the Company, and found that, contrary to the plaintiffs’ allegations, the class suffered no damages. The plaintiffs will have 30 days from entry of the final order to file an appeal. 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. 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, was audited by the Universal Service Administrative Company (“USAC”). The USAC’s final decision imposed a $ 2.9 23.4 26.8 Purchase Commitments At January 31, 2024, the Company had purchase commitments of $ 17.6 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 January 31, 2024, the Company had aggregate performance bonds of $ 29.0 |
Other Income (Expense), Net
Other Income (Expense), Net | 6 Months Ended |
Jan. 31, 2024 | |
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 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) Foreign currency transaction gains (losses) $ 2,510 $ 2,480 $ (989 ) $ 1,451 Equity in net loss of investee (848 ) (723 ) (1,861 ) (1,375 ) Gains (losses) on investments, net 715 (228 ) (202 ) (2,169 ) Other 157 84 (1 ) (136 ) Total other income (expense), net $ 2,534 $ 1,613 $ (3,053 ) $ (2,229 ) |
Income Taxes
Income Taxes | 6 Months Ended |
Jan. 31, 2024 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 18— Income Taxes As of January 31, 2024, the Company’s best estimate of the effective tax rate expected to be applicable for fiscal 2024 was 24.7 % compared to 27.0 % at July 31, 2023. The change in the estimated effective tax rate was mainly due to differences in the amount of taxable income earned in the various taxing jurisdictions. |
Recently Issued Accounting Stan
Recently Issued Accounting Standards Not Yet Adopted | 6 Months Ended |
Jan. 31, 2024 | |
Accounting Changes and Error Corrections [Abstract] | |
Recently Issued Accounting Standards Not Yet Adopted | Note 19— Recently Issued Accounting Standards Not Yet Adopted In December 2023, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2023-09, Income Taxes (Topic 740) Improvements to Income Tax Disclosures In December 2023, the FASB issued ASU No. 2023-08, Intangibles-Goodwill and Other-Crypto Assets (Subtopic 350-60) Accounting for and Disclosure of Crypto Assets In November 2023, the FASB issued ASU No. 2023-07, Segment Reporting (Topic 280) Improvements to Reportable Segment Disclosures, In June 2022, the FASB issued ASU No. 2022-03, Fair Value Measurement (Topic 820) Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions, |
Basis of Presentation (Policies
Basis of Presentation (Policies) | 6 Months Ended |
Jan. 31, 2024 | |
Accounting Policies [Abstract] | |
Reclassifications | Reclassifications From and after August 1, 2023, the Company includes depreciation and amortization in “Direct cost of revenues” and “Selling, general and administrative” expense and is reporting gross profit (in accordance with U.S. GAAP) in the consolidated statements of income. Prior to August 1, 2023, depreciation and amortization was a separate caption in the consolidated statements of income. Depreciation and amortization expense of $ 5.0 1.1 3.9 9.8 2.1 7.7 In the consolidated statements of cash flows, cash provided by “Trade accounts receivable” in the six months ended January 31, 2023 of $ 13.8 |
Recently Adopted Accounting Standard | Recently Adopted Accounting Standard On August 1, 2023, the Company adopted Accounting Standards Update (“ASU”) No. 2016-13, Financial Instruments—Credit Losses (Topic 326) Measurement of Credit Losses on Financial Instruments, |
Business Segment Information (T
Business Segment Information (Tables) | 6 Months Ended |
Jan. 31, 2024 | |
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) National Retail Solutions Fintech net2phone Traditional Communications Corporate Total Three Months Ended January 31, 2024 Revenues $ 25,223 $ 27,987 $ 20,353 $ 222,535 $ — $ 296,098 Income (loss) from operations 5,349 (736 ) 367 14,618 (3,581 ) 16,017 Depreciation and amortization: Included in “Direct cost of revenues” 483 62 600 185 — 1,330 Included in “Selling, general and administrative expense” 294 662 952 1,844 17 3,769 Three Months Ended January 31, 2023 Revenues $ 19,822 $ 20,321 $ 17,794 $ 255,999 $ — $ 313,936 Income (loss) from operations 5,374 (806 ) (575 ) 17,008 (2,820 ) 18,181 Depreciation and amortization: Included in “Direct cost of revenues” 357 21 536 191 — 1,105 Included in “Selling, general and administrative expense” 237 637 855 2,160 18 3,907 Six Months Ended January 31, 2024 Revenues $ 49,217 $ 54,550 $ 40,280 $ 453,255 $ — $ 597,302 Income (loss) from operations 10,810 (2,120 ) 360 30,024 (5,891 ) 33,183 Depreciation and amortization: Included in “Direct cost of revenues” 933 85 1,199 369 — 2,586 Included in “Selling, general and administrative expense” 579 1,333 1,792 3,807 49 7,560 Six Months Ended January 31, 2023 Revenues $ 39,135 $ 40,208 $ 34,744 $ 521,665 $ — $ 635,752 Income (loss) from operations 10,605 706 (1,631 ) 34,271 (5,544 ) 38,407 Depreciation and amortization: Included in “Direct cost of revenues” 676 45 1,034 384 — 2,139 Included in “Selling, general and administrative expense” 395 1,235 1,709 4,287 36 7,662 Total depreciation and amortization 395 1,235 1,709 4,287 36 7,662 |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 6 Months Ended |
Jan. 31, 2024 | |
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 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) National Retail Solutions $ 25,223 $ 19,822 $ 49,217 $ 39,135 BOSS Money 25,039 17,649 49,278 35,203 Other 2,948 2,672 5,272 5,005 Total Fintech 27,987 20,321 54,550 40,208 net2phone 20,353 17,794 40,280 34,744 IDT Digital Payments 99,620 106,127 199,606 215,177 BOSS Revolution Calling 66,703 82,831 137,925 169,083 IDT Global 48,741 58,631 100,775 120,242 Other 7,471 8,410 14,949 17,163 Total Traditional Communications 222,535 255,999 453,255 521,665 Total $ 296,098 $ 313,936 $ 597,302 $ 635,752 Revenues $ 296,098 $ 313,936 $ 597,302 $ 635,752 |
Schedule of Revenues Disaggregated by Geographic Region | The following table shows the Company’s revenues disaggregated by geographic region, which is determined based on selling location: Schedule of Revenues Disaggregated by Geographic Region (in thousands) National Retail Solutions Fintech net2phone Traditional Communications Total Three Months Ended January 31, 2024 United States $ 25,223 $ 26,901 $ 10,700 $ 163,774 $ 226,598 Outside the United States: United Kingdom — — — 50,390 50,390 Other — 1,086 9,653 8,371 19,110 Total outside the United States — 1,086 9,653 58,761 69,500 Total $ 25,223 $ 27,987 $ 20,353 $ 222,535 $ 296,098 Revenues $ 25,223 $ 27,987 $ 20,353 $ 222,535 $ 296,098 (in thousands) National Retail Solutions Fintech net2phone Traditional Communications Total Three Months Ended January 31, 2023 United States $ 19,822 $ 19,612 $ 9,514 $ 176,424 $ 225,372 Outside the United States: United Kingdom — — — 69,000 69,000 Other — 709 8,280 10,575 19,564 Total outside the United States — 709 8,280 79,575 88,564 Total $ 19,822 $ 20,321 $ 17,794 $ 255,999 $ 313,936 Revenues $ 19,822 $ 20,321 $ 17,794 $ 255,999 $ 313,936 (in thousands) National Retail Solutions Fintech net2phone Traditional Communications Total Six Months Ended January 31, 2024 United States $ 49,217 $ 52,734 $ 21,388 $ 326,842 $ 450,181 Outside the United States: United Kingdom — — — 109,232 109,232 Other — 1,816 18,892 17,181 37,889 Total outside the United States — 1,816 18,892 126,413 147,121 Total $ 49,217 $ 54,550 $ 40,280 $ 453,255 $ 597,302 Revenues $ 49,217 $ 54,550 $ 40,280 $ 453,255 $ 597,302 (in thousands) National Retail Solutions Fintech net2phone Traditional Communications Total Six Months Ended January 31, 2023 United States $ 39,135 $ 38,867 $ 18,316 $ 361,262 $ 457,580 Outside the United States: United Kingdom — — — 137,940 137,940 Other — 1,341 16,428 22,463 40,232 Total outside the United States — 1,341 16,428 160,403 178,172 Total $ 39,135 $ 40,208 $ 34,744 $ 521,665 $ 635,752 Revenues $ 39,135 $ 40,208 $ 34,744 $ 521,665 $ 635,752 |
Schedule of Estimated Revenue by Business Segment | Schedule of Estimated Revenue by Business Segment (in thousands) National Retail Solutions net2phone Total Twelve-month period ending January 31: 2025 $ 5,896 $ 38,854 $ 44,750 2026 4,940 18,769 23,709 Thereafter 4,838 6,213 11,051 Total $ 15,674 $ 63,836 $ 79,510 |
Schedule of Information About Contract Liabilities | The following table presents information about the Company’s contract liability balance: Schedule of Information About Contract Liabilities 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) Revenue recognized in the period from amounts included in the contract liability balance at the beginning of the period $ 15,803 $ 17,072 $ 19,605 $ 21,205 |
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 January 31, 2024 July 31, 2023 (in thousands) Deferred customer contract acquisition costs included in “Other current assets” $ 4,197 $ 4,460 Deferred customer contract acquisition costs included in “Other assets” 3,871 3,734 Total $ 8,068 $ 8,194 |
Schedule of Amortization of Deferred Customer Contract Acquisition Costs | The Company’s amortization of deferred customer contract acquisition costs during the periods were as follows: Schedule of Amortization of Deferred Customer Contract Acquisition Costs 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) Amortization of deferred customer contract acquisition costs $ 1,194 $ 1,228 $ 2,409 $ 2,405 |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Jan. 31, 2024 | |
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 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) Operating lease cost $ 734 $ 799 $ 1,492 $ 1,566 Short-term lease cost 132 259 459 528 Total lease cost $ 866 $ 1,058 $ 1,951 $ 2,094 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 724 $ 824 $ 1,515 $ 1,588 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases 724 824 1,515 1,588 |
Schedule of Supplemental Disclosures Related Weighted Average Operating Leases | Schedule of Supplemental Disclosures Related Weighted Average Operating Leases January 31, 2024 July 31, 2023 Weighted-average remaining lease term-operating leases 2.6 2.3 Weighted-average discount rate-operating leases 4.3 % 3.7 % |
Schedule of Aggregate Operating Lease Liability | The Company’s aggregate operating lease liability was as follows: Schedule of Aggregate Operating Lease Liability January 31, 2024 July 31, 2023 (in thousands) Operating lease liabilities included in “ Other current liabilities $ 2,810 $ 2,861 Operating lease liabilities included in noncurrent liabilities 2,448 2,881 Total $ 5,258 $ 5,742 |
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) Twelve-month period ending January 31: 2025 $ 2,988 2026 1,344 2027 636 2028 320 2029 183 Thereafter 152 Total lease payments 5,623 Less imputed interest (365 ) Total operating lease liabilities $ 5,258 |
Cash, Cash Equivalents, and R_2
Cash, Cash Equivalents, and Restricted Cash and Cash Equivalents (Tables) | 6 Months Ended |
Jan. 31, 2024 | |
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 January 31, 2024 July 31, 2023 (in thousands) Cash and cash equivalents $ 141,081 $ 103,637 Restricted cash and cash equivalents 93,231 95,186 Total cash, cash equivalents, and restricted cash and cash equivalents $ 234,312 $ 198,823 |
Debt Securities (Tables)
Debt Securities (Tables) | 6 Months Ended |
Jan. 31, 2024 | |
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 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (in thousands) January 31, 2024: Certificates of deposit* $ 960 $ — $ — $ 960 U.S. Treasury bills and notes 23,738 12 (76 ) 23,674 Government sponsored enterprise notes 3,261 1 (3 ) 3,259 Corporate bonds 3,901 1 (376 ) 3,526 Total $ 31,860 $ 14 $ (455 ) $ 31,419 July 31, 2023: Certificates of deposit* $ 4,080 $ — $ (4 ) $ 4,076 U.S. Treasury bills and notes 31,186 — (148 ) 31,038 Government sponsored enterprise notes 3,881 — (8 ) 3,873 Corporate bonds 3,912 — (485 ) 3,427 Total $ 43,059 $ — $ (645 ) $ 42,414 * 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 January 31, 2024 were as follows: Schedule of Contractual Maturities of Available-for-sale Debt Securities Fair Value (in thousands) Within one year $ 23,087 After one year through five years 7,496 After five years through ten years 808 After ten years 28 Total $ 31,419 |
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 Unrealized Losses Fair Value (in thousands) January 31, 2024: Certificates of deposit $ — $ — U.S. Treasury bills and notes 76 21,754 Government sponsored enterprise notes 3 2,910 Corporate bonds 376 3,384 Total $ 455 $ 28,048 July 31, 2023: Certificates of deposit $ 4 $ 3,356 U.S. Treasury bills and notes 148 31,038 Government sponsored enterprise notes 8 3,873 Corporate bonds 485 3,368 Total $ 645 $ 41,635 |
Schedule of Continuous Unrealized Loss Position for 12 Months or Longer | The following available-for-sale debt securities included in the table above were in a continuous unrealized loss position for 12 months or longer: Schedule of Continuous Unrealized Loss Position for 12 Months or Longer Unrealized Losses Fair Value (in thousands) January 31, 2024: U.S. Treasury bills and notes $ 63 $ 2,837 Corporate bonds 376 3,384 Total $ 439 $ 6,221 July 31, 2023: U.S. Treasury bills and notes $ 86 $ 816 Corporate bonds 484 3,299 Total $ 570 $ 4,115 |
Equity Investments (Tables)
Equity Investments (Tables) | 6 Months Ended |
Jan. 31, 2024 | |
Cash and Cash Equivalents [Abstract] | |
Schedule of Equity Investments | Equity investments consist of the following: Schedule of Equity Investments January 31, 2024 July 31, 2023 (in thousands) Zedge, Inc. Class B common stock, 42,282 $ 138 $ 89 Rafael Holdings, Inc. Class B common stock, 278,810 505 558 Other marketable equity securities 188 1,497 Fixed income mutual funds 4,245 4,054 Current equity investments $ 5,076 $ 6,198 Visa Inc. Series C Convertible Participating Preferred Stock (“Visa Series C Preferred”) $ 1,450 $ 1,263 Convertible preferred stock—equity method investment 1,932 2,784 Hedge funds 2,951 3,002 Other 1,225 2,825 Noncurrent equity investments $ 7,558 $ 9,874 |
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 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) Balance, beginning of period $ 1,747 $ 1,474 $ 1,632 $ 1,501 Adjustment for observable transactions involving a similar investment from the same issuer 202 120 187 93 Upward adjustment — — 130 — Redemption (230 ) — (230 ) — Impairments — — — — Balance, end of the period $ 1,719 $ 1,594 $ 1,719 $ 1,594 |
Schedule of Unrealized Gains (losses) Gains for All Equity Investments | Unrealized gains (losses) for all equity investments measured at fair value included the following: Schedule of Unrealized Gains (losses) Gains for All Equity Investments 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) Net gains (losses) recognized during the period on equity investments $ 715 $ (228 ) $ (202 ) $ (2,169 ) Less: net gains recognized during the period on equity investments sold during the period — 22 130 18 Unrealized gains (losses) recognized during the period on equity investments still held at the reporting date $ 715 $ (250 ) $ (332 ) $ (2,187 ) The unrealized gains and losses for all equity investments measured at fair value in the table above included the following: 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) Unrealized gains (losses) recognized during the period on equity investments: Rafael Class B common stock $ 9 $ 82 $ (53 ) $ 9 Zedge Class B common stock $ 57 $ 3 $ 49 $ (24 ) Unrealized losses recognized during the period on equity investments still held at the reporting date $ 715 $ (250 ) $ (332 ) $ (2,187 ) |
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 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) Balance, beginning of period $ 2,444 $ 349 $ 2,784 $ 1,001 Purchase of convertible preferred stock 336 — 1,009 — Equity in the net loss of investee (506 ) (542 ) (1,176 ) (1,012 ) Amortization of equity method basis difference (342 ) (181 ) (685 ) (363 ) Balance, end of the period $ 1,932 $ (374 ) $ 1,932 $ (374 ) |
Summary of Statements of Operations | Summarized financial information of the EMI was as follows: Summary of Statements of Operations 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) Revenues $ 5,087 $ 1,818 $ 7,821 $ 3,691 Costs and expenses: Direct cost of revenues 4,085 1,535 6,482 3,228 Selling, general and administrative 2,385 1,772 4,570 3,408 Total costs and expenses 6,470 3,307 11,052 6,636 Loss from operations (1,383 ) (1,489 ) (3,231 ) (2,945 ) Other expense, net — (498 ) — (842 ) Net loss $ (1,383 ) $ (1,987 ) $ (3,231 ) $ (3,787 ) |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jan. 31, 2024 | |
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 Level 1 (1) Level 2 (2) Level 3 (3) Total (in thousands) January 31, 2024 Debt securities $ 23,674 $ 7,745 $ — $ 31,419 Equity investments included in current assets 5,076 — — 5,076 Equity investments included in noncurrent assets — 1,000 1,450 2,450 Total $ 28,750 $ 8,745 $ 1,450 $ 38,945 Acquisition consideration included in: Other current liabilities $ — $ — $ (1,945 ) $ (1,945 ) Other noncurrent liabilities — — (2,572 ) (2,572 ) Total $ — $ — $ (4,517 ) $ (4,517 ) July 31, 2023 Debt securities $ 31,038 $ 11,376 $ — $ 42,414 Equity investments included in current assets 6,198 — — 6,198 Equity investments included in noncurrent assets — 2,500 1,263 3,763 Total $ 37,236 $ 13,876 $ 1,263 $ 52,375 Acquisition consideration included in: Other current liabilities $ — $ — $ (2,032 ) $ (2,032 ) Other noncurrent liabilities — — (2,773 ) (2,773 ) Total $ — $ — $ (4,805 ) $ (4,805 ) (1) – quoted prices in active markets for identical assets or liabilities (2) – observable inputs other than quoted prices in active markets for identical assets and liabilities (3) – no observable pricing inputs in the market |
Schedule of Assets Measured at Fair Value on a Recurring Basis Using Significant Unobservable Inputs (Level 3) | The following table summarizes 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) 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) Balance, beginning of period $ 1,248 $ 1,105 $ 1,263 $ 1,132 Total gains included in “Other income (expense), net” 202 120 187 93 Balance, end of period $ 1,450 $ 1,225 $ 1,450 $ 1,225 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 table summarizes 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) 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) Balance, beginning of period $ 4,588 $ 6,603 $ 4,805 $ 8,546 Payments — — (214 ) (375 ) Total (gains) losses included in: “ Other operating (expense) gain, net (73 ) — (73 ) (1,565 ) “ Foreign currency translation adjustment” 2 6 (1 ) 3 Balance, end of period $ 4,517 $ 6,609 $ 4,517 $ 6,609 Change in unrealized gains or losses for the period included in earnings for liabilities held at the end of the period $ — $ — $ — $ — |
Variable Interest Entity (Table
Variable Interest Entity (Tables) | 6 Months Ended |
Jan. 31, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Net (Loss) Income and Aggregate Funding to the Company by VIE | The VIE’s net (loss) income and aggregate funding provided by (repaid to) the Company were as follows: Schedule of Net (Loss) Income and Aggregate Funding to the Company by VIE 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) Net (loss) income of the VIE $ (107 ) $ 25 $ (26 ) $ 165 Aggregate funding provided by (repaid to) the Company, net $ 123 $ (10 ) $ 237 $ 87 |
VIE’s Summarized Consolidated Balance Sheet | The VIE’s summarized consolidated balance sheet amounts are as follows: VIE’s Summarized Consolidated Balance Sheet January 31, 2024 July 31, 2023 (in thousands) Assets Cash and equivalents $ 2,394 $ 1,596 Restricted cash 4,934 7,848 Trade accounts receivable, net 90 62 Disbursement prefunding 1,056 585 Prepaid expenses 323 197 Other current assets 255 317 Property, plant, and equipment, net 166 272 Other intangibles, net 661 737 Total assets $ 9,879 $ 11,614 Liabilities and noncontrolling interests: Trade accounts payable $ 11 $ — Accrued expenses 334 70 Settlement liabilities 5,336 7,573 Due to the Company 263 26 Accumulated other comprehensive income 37 21 Noncontrolling interests 3,898 3,924 Total liabilities and noncontrolling interests $ 9,879 $ 11,614 |
Other Operating (Expense) Gai_2
Other Operating (Expense) Gain, Net (Tables) | 6 Months Ended |
Jan. 31, 2024 | |
Other Income and Expenses [Abstract] | |
Schedule of Other Operating (Expense) Gain, Net | The following table summarizes the other operating (expense) gain, net by business segment: Schedule of Other Operating (Expense) Gain, Net 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) Corporate—Straight Path Communications Inc. class action legal fees $ (2,552 ) $ (1,597 ) $ (2,764 ) $ (4,109 ) Corporate—Straight Path Communications Inc. class action insurance claims 2,186 1,263 2,869 2,988 Corporate—other — — 12 — Fintech—write-off of contingent consideration liability — — — 1,565 Fintech— government grants — 349 — 382 net2phone—write-off of contingent consideration liability 73 — 73 — Traditional Communications— cable telephony customer indemnification claim — (1 ) — (12 ) Traditional Communications—other (1 ) 3 — 2 Total other operating (expense) gain, net $ (294 ) $ 17 $ 190 $ 816 |
Redeemable Noncontrolling Int_2
Redeemable Noncontrolling Interest (Tables) | 6 Months Ended |
Jan. 31, 2024 | |
Noncontrolling Interest [Abstract] | |
Schedule of Net Income Attributable to Mezzanine Equity’s Noncontrolling Interest | Schedule of Net Income Attributable to Mezzanine Equity’s Noncontrolling Interest 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) Net income of NRS attributable to the mezzanine equity’s noncontrolling interest $ 114 $ 65 $ 221 $ 198 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 6 Months Ended |
Jan. 31, 2024 | |
Earnings per share attributable to IDT Corporation common stockholders: | |
Schedule of Weighted-average Number of Shares Used in the Calculation of Basic and Diluted Earnings Per Share | 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 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) Basic weighted-average number of shares 25,175 25,510 25,176 25,556 Effect of dilutive securities: Stock options — 9 1 11 Non-vested restricted Class B common stock 142 19 120 10 Diluted weighted-average number of shares 25,317 25,538 25,297 25,577 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 6 Months Ended |
Jan. 31, 2024 | |
Equity: | |
Schedule of Accumulated Balances for Each Classification of Other Comprehensive Income Income (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 Income Income (Loss) Unrealized Loss on Available-for-Sale Securities Foreign Accumulated (in thousands) Balance, July 31, 2023 $ (645 ) $ (16,547 ) $ (17,192 ) Other comprehensive income (loss) attributable to IDT Corporation 204 (288 ) (84 ) Balance, January 31, 2024 $ (441 ) $ (16,835 ) $ (17,276 ) |
Other Income (Expense), Net (Ta
Other Income (Expense), Net (Tables) | 6 Months Ended |
Jan. 31, 2024 | |
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 2024 2023 2024 2023 Three Months Ended January 31, Six Months Ended January 31, 2024 2023 2024 2023 (in thousands) Foreign currency transaction gains (losses) $ 2,510 $ 2,480 $ (989 ) $ 1,451 Equity in net loss of investee (848 ) (723 ) (1,861 ) (1,375 ) Gains (losses) on investments, net 715 (228 ) (202 ) (2,169 ) Other 157 84 (1 ) (136 ) Total other income (expense), net $ 2,534 $ 1,613 $ (3,053 ) $ (2,229 ) |
Basis of Presentation (Details
Basis of Presentation (Details Narrative) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Depreciation and amortization | $ 5,000 | $ 10,146 | $ 9,801 | |
Trade accounts receivable | 7,040 | (2,483) | ||
Direct Cost of Revenues [Member] | ||||
Depreciation and amortization | $ 1,330 | 1,105 | 2,586 | 2,139 |
Selling, General and Administrative Expenses [Member] | ||||
Depreciation and amortization | $ 3,769 | 3,907 | $ 7,560 | 7,662 |
Previously Reported [Member] | ||||
Trade accounts receivable | 13,800 | |||
Previously Reported [Member] | Direct Cost of Revenues [Member] | ||||
Depreciation and amortization | 1,100 | 2,100 | ||
Previously Reported [Member] | Selling, General and Administrative Expenses [Member] | ||||
Depreciation and amortization | $ 3,900 | $ 7,700 | ||
net2phone 2.0, Inc. [Member] | ||||
Ownership percentage | 94% | 94% | ||
Fully diluted basis assuming vesting, percentage | 90.80% | |||
National Retail Solutions [Member] | ||||
Ownership percentage | 81.20% | 81.20% | ||
Fully diluted basis assuming vesting, percentage | 78.90% |
Schedule of Operating Results o
Schedule of Operating Results of Business Segments (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Segment Reporting Information [Line Items] | ||||
Revenues | $ 296,098 | $ 313,936 | $ 597,302 | $ 635,752 |
Income (loss) from operations | 16,017 | 18,181 | 33,183 | 38,407 |
Depreciation and amortization: | ||||
Total depreciation and amortization | 5,000 | 10,146 | 9,801 | |
Direct Cost of Revenues [Member] | ||||
Depreciation and amortization: | ||||
Total depreciation and amortization | 1,330 | 1,105 | 2,586 | 2,139 |
Selling, General and Administrative Expenses [Member] | ||||
Depreciation and amortization: | ||||
Total depreciation and amortization | 3,769 | 3,907 | 7,560 | 7,662 |
National Retail Solutions [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 25,223 | 19,822 | 49,217 | 39,135 |
Income (loss) from operations | 5,349 | 5,374 | 10,810 | 10,605 |
National Retail Solutions [Member] | Direct Cost of Revenues [Member] | ||||
Depreciation and amortization: | ||||
Total depreciation and amortization | 483 | 357 | 933 | 676 |
National Retail Solutions [Member] | Selling, General and Administrative Expenses [Member] | ||||
Depreciation and amortization: | ||||
Total depreciation and amortization | 294 | 237 | 579 | 395 |
Fintech [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 27,987 | 20,321 | 54,550 | 40,208 |
Income (loss) from operations | (736) | (806) | (2,120) | 706 |
Fintech [Member] | Direct Cost of Revenues [Member] | ||||
Depreciation and amortization: | ||||
Total depreciation and amortization | 62 | 21 | 85 | 45 |
Fintech [Member] | Selling, General and Administrative Expenses [Member] | ||||
Depreciation and amortization: | ||||
Total depreciation and amortization | 662 | 637 | 1,333 | 1,235 |
net2 phone [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 20,353 | 17,794 | 40,280 | 34,744 |
Income (loss) from operations | 367 | (575) | 360 | (1,631) |
net2 phone [Member] | Direct Cost of Revenues [Member] | ||||
Depreciation and amortization: | ||||
Total depreciation and amortization | 600 | 536 | 1,199 | 1,034 |
net2 phone [Member] | Selling, General and Administrative Expenses [Member] | ||||
Depreciation and amortization: | ||||
Total depreciation and amortization | 952 | 855 | 1,792 | 1,709 |
Traditional Communications [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 222,535 | 255,999 | 453,255 | 521,665 |
Income (loss) from operations | 14,618 | 17,008 | 30,024 | 34,271 |
Traditional Communications [Member] | Direct Cost of Revenues [Member] | ||||
Depreciation and amortization: | ||||
Total depreciation and amortization | 185 | 191 | 369 | 384 |
Traditional Communications [Member] | Selling, General and Administrative Expenses [Member] | ||||
Depreciation and amortization: | ||||
Total depreciation and amortization | 1,844 | 2,160 | 3,807 | 4,287 |
Corporate Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | ||||
Income (loss) from operations | (3,581) | (2,820) | (5,891) | (5,544) |
Corporate Segment [Member] | Direct Cost of Revenues [Member] | ||||
Depreciation and amortization: | ||||
Total depreciation and amortization | ||||
Corporate Segment [Member] | Selling, General and Administrative Expenses [Member] | ||||
Depreciation and amortization: | ||||
Total depreciation and amortization | $ 17 | $ 18 | $ 49 | $ 36 |
Business Segment Information (D
Business Segment Information (Details Narrative) | 6 Months Ended |
Jan. 31, 2024 Segments | |
Segment Reporting [Abstract] | |
Number of reportable segments | 4 |
Schedule of Revenues Disaggrega
Schedule of Revenues Disaggregated by Business Segment and Service Offered to Customers (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Disaggregation of Revenue [Line Items] | ||||
Revenues | $ 296,098 | $ 313,936 | $ 597,302 | $ 635,752 |
National Retail Solutions [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 25,223 | 19,822 | 49,217 | 39,135 |
Fintech [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 27,987 | 20,321 | 54,550 | 40,208 |
Fintech [Member] | B O S S Revolution Money Transfer [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 25,039 | 17,649 | 49,278 | 35,203 |
Fintech [Member] | Other [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 2,948 | 2,672 | 5,272 | 5,005 |
net2 phone [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 20,353 | 17,794 | 40,280 | 34,744 |
Traditional Communications [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 222,535 | 255,999 | 453,255 | 521,665 |
Traditional Communications [Member] | Other [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 7,471 | 8,410 | 14,949 | 17,163 |
Traditional Communications [Member] | I D T Digital Payments [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 99,620 | 106,127 | 199,606 | 215,177 |
Traditional Communications [Member] | B O S S Revolution Calling [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 66,703 | 82,831 | 137,925 | 169,083 |
Traditional Communications [Member] | I D T Global [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | $ 48,741 | $ 58,631 | $ 100,775 | $ 120,242 |
Schedule of Revenues Disaggre_2
Schedule of Revenues Disaggregated by Geographic Region (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Disaggregation of Revenue [Line Items] | ||||
Revenues | $ 296,098 | $ 313,936 | $ 597,302 | $ 635,752 |
National Retail Solutions [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 25,223 | 19,822 | 49,217 | 39,135 |
Fintech [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 27,987 | 20,321 | 54,550 | 40,208 |
net2 phone [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 20,353 | 17,794 | 40,280 | 34,744 |
Traditional Communications [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 222,535 | 255,999 | 453,255 | 521,665 |
UNITED STATES | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 226,598 | 225,372 | 450,181 | 457,580 |
UNITED STATES | National Retail Solutions [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 25,223 | 19,822 | 49,217 | 39,135 |
UNITED STATES | Fintech [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 26,901 | 19,612 | 52,734 | 38,867 |
UNITED STATES | net2 phone [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 10,700 | 9,514 | 21,388 | 18,316 |
UNITED STATES | Traditional Communications [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 163,774 | 176,424 | 326,842 | 361,262 |
UNITED KINGDOM | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 50,390 | 69,000 | 109,232 | 137,940 |
UNITED KINGDOM | National Retail Solutions [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | ||||
UNITED KINGDOM | Fintech [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | ||||
UNITED KINGDOM | net2 phone [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | ||||
UNITED KINGDOM | Traditional Communications [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 50,390 | 69,000 | 109,232 | 137,940 |
Others [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 19,110 | 19,564 | 37,889 | 40,232 |
Others [Member] | National Retail Solutions [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | ||||
Others [Member] | Fintech [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 1,086 | 709 | 1,816 | 1,341 |
Others [Member] | net2 phone [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 9,653 | 8,280 | 18,892 | 16,428 |
Others [Member] | Traditional Communications [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 8,371 | 10,575 | 17,181 | 22,463 |
Non-US [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 69,500 | 88,564 | 147,121 | 178,172 |
Non-US [Member] | National Retail Solutions [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | ||||
Non-US [Member] | Fintech [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 1,086 | 709 | 1,816 | 1,341 |
Non-US [Member] | net2 phone [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 9,653 | 8,280 | 18,892 | 16,428 |
Non-US [Member] | Traditional Communications [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | $ 58,761 | $ 79,575 | $ 126,413 | $ 160,403 |
Schedule of Estimated Revenue b
Schedule of Estimated Revenue by Business Segment (Details) $ in Thousands | Jan. 31, 2024 USD ($) |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-01-31 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Total | $ 79,510 |
Remaining Performance Obligations, Years | 0 years |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-08-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Total | $ 44,750 |
Remaining Performance Obligations, Years | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2026-08-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Total | $ 23,709 |
Remaining Performance Obligations, Years | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2027-08-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Total | $ 11,051 |
Remaining Performance Obligations, Years | 0 years |
National Retail Solutions [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-01-31 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Total | $ 15,674 |
National Retail Solutions [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-08-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Total | 5,896 |
National Retail Solutions [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2026-08-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Total | 4,940 |
National Retail Solutions [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2027-08-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Total | 4,838 |
net2 phone [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-01-31 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Total | 63,836 |
net2 phone [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-08-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Total | 38,854 |
net2 phone [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2026-08-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Total | 18,769 |
net2 phone [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2027-08-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Total | $ 6,213 |
Schedule of Information About C
Schedule of Information About Contract Liabilities (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Revenue from Contract with Customer [Abstract] | ||||
Revenue recognized in the period from amounts included in the contract liability balance at the beginning of the period | $ 15,803 | $ 17,072 | $ 19,605 | $ 21,205 |
Schedule of Deferred Customer C
Schedule of Deferred Customer Contract Acquisition Costs (Details) - USD ($) $ in Thousands | Jan. 31, 2024 | Jul. 31, 2023 |
Revenue from Contract with Customer [Abstract] | ||
Deferred customer contract acquisition costs included in “Other current assets” | $ 4,197 | $ 4,460 |
Deferred customer contract acquisition costs included in “Other assets” | 3,871 | 3,734 |
Total | $ 8,068 | $ 8,194 |
Schedule of Amortization of Def
Schedule of Amortization of Deferred Customer Contract Acquisition Costs (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Revenue from Contract with Customer [Abstract] | ||||
Amortization of deferred customer contract acquisition costs | $ 1,194 | $ 1,228 | $ 2,409 | $ 2,405 |
Schedule of Supplemental Disclo
Schedule of Supplemental Disclosures Related to the Company's Operating Leases (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Leases | ||||
Operating lease cost | $ 734 | $ 799 | $ 1,492 | $ 1,566 |
Short-term lease cost | 132 | 259 | 459 | 528 |
Total lease cost | 866 | 1,058 | 1,951 | 2,094 |
Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases | $ 724 | $ 824 | $ 1,515 | $ 1,588 |
Schedule of Supplemental Disc_2
Schedule of Supplemental Disclosures Related Weighted Average Operating Leases (Details) | Jan. 31, 2024 | Jul. 31, 2023 |
Leases | ||
Operating lease, weighted average remaining lease term | 2 years 7 months 6 days | 2 years 3 months 18 days |
Operating lease, weighted average discount rate, percent | 4.30% | 3.70% |
Schedule of Aggregate Operating
Schedule of Aggregate Operating Lease Liability (Details) - USD ($) $ in Thousands | Jan. 31, 2024 | Jul. 31, 2023 |
Leases | ||
Operating lease liabilities included in “Other current liabilities” | $ 2,810 | $ 2,861 |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Other current liabilities | Other current liabilities |
Operating lease liabilities included in noncurrent liabilities | $ 2,448 | $ 2,881 |
Total | $ 5,258 | $ 5,742 |
Schedule of Future Minimum Matu
Schedule of Future Minimum Maturities of Operating Lease Liabilities (Details) - USD ($) $ in Thousands | Jan. 31, 2024 | Jul. 31, 2023 |
Leases | ||
2025 | $ 2,988 | |
2026 | 1,344 | |
2027 | 636 | |
2028 | 320 | |
2029 | 183 | |
Thereafter | 152 | |
Total lease payments | 5,623 | |
Less imputed interest | (365) | |
Total operating lease liabilities | $ 5,258 | $ 5,742 |
Leases (Details Narrative)
Leases (Details Narrative) - USD ($) $ in Millions | 6 Months Ended | |
Jan. 31, 2024 | Jan. 31, 2023 | |
Right of use assets obtained in exchange for new operating lease liabilities | $ 0.9 | $ 1.7 |
Minimum [Member] | ||
Lessee, operating lease, term of contract | 1 year | |
Maximum [Member] | ||
Lessee, operating lease, term of contract | 6 years |
Schedule of Cash, Cash Equivale
Schedule of Cash, Cash Equivalents, and Restricted Cash and Cash Equivalents (Details) - USD ($) $ in Thousands | Jan. 31, 2024 | Jul. 31, 2023 | Jan. 31, 2023 | Jul. 31, 2022 |
Cash and Cash Equivalents [Abstract] | ||||
Cash and cash equivalents | $ 141,081 | $ 103,637 | ||
Restricted cash and cash equivalents | 93,231 | 95,186 | ||
Total cash, cash equivalents, and restricted cash and cash equivalents | $ 234,312 | $ 198,823 | $ 207,678 | $ 189,562 |
Cash, Cash Equivalents, and R_3
Cash, Cash Equivalents, and Restricted Cash and Cash Equivalents (Details Narrative) - USD ($) $ in Thousands | Jan. 31, 2024 | Jul. 31, 2023 |
Restricted cash and cash equivalents, current | $ 93,231 | $ 95,186 |
Cash and cash equivalents, at carrying value | 141,081 | 103,637 |
IDT Financial Services Limited [Member] | ||
Restricted cash and cash equivalents, current | 88,200 | 87,300 |
IDT Payment Services [Member] | ||
Cash and cash equivalents, at carrying value | $ 39,800 | $ 20,600 |
Schedule of Available-for-sale
Schedule of Available-for-sale Securities (Details) - USD ($) $ in Thousands | Jan. 31, 2024 | Jul. 31, 2023 | |
Debt Securities, Available-for-Sale, Amortized Cost | $ 31,860 | $ 43,059 | |
Debt Securities, Available-for-Sale, Accumulated Gross Unrealized Gain, before Tax | 14 | ||
Debt Securities, Available-for-Sale, Accumulated Gross Unrealized Loss, before Tax | (455) | (645) | |
Debt Securities, Available-for-Sale | 31,419 | 42,414 | |
Certificates of Deposit [Member] | |||
Debt Securities, Available-for-Sale, Amortized Cost | [1] | 960 | 4,080 |
Debt Securities, Available-for-Sale, Accumulated Gross Unrealized Gain, before Tax | [1] | ||
Debt Securities, Available-for-Sale, Accumulated Gross Unrealized Loss, before Tax | [1] | (4) | |
Debt Securities, Available-for-Sale | [1] | 960 | 4,076 |
US Treasury Bill Securities [Member] | |||
Debt Securities, Available-for-Sale, Amortized Cost | 23,738 | 31,186 | |
Debt Securities, Available-for-Sale, Accumulated Gross Unrealized Gain, before Tax | 12 | ||
Debt Securities, Available-for-Sale, Accumulated Gross Unrealized Loss, before Tax | (76) | (148) | |
Debt Securities, Available-for-Sale | 23,674 | 31,038 | |
US Government-sponsored Enterprises Debt Securities [Member] | |||
Debt Securities, Available-for-Sale, Amortized Cost | 3,261 | 3,881 | |
Debt Securities, Available-for-Sale, Accumulated Gross Unrealized Gain, before Tax | 1 | ||
Debt Securities, Available-for-Sale, Accumulated Gross Unrealized Loss, before Tax | (3) | (8) | |
Debt Securities, Available-for-Sale | 3,259 | 3,873 | |
Corporate Bond Securities [Member] | |||
Debt Securities, Available-for-Sale, Amortized Cost | 3,901 | 3,912 | |
Debt Securities, Available-for-Sale, Accumulated Gross Unrealized Gain, before Tax | 1 | ||
Debt Securities, Available-for-Sale, Accumulated Gross Unrealized Loss, before Tax | (376) | (485) | |
Debt Securities, Available-for-Sale | $ 3,526 | $ 3,427 | |
[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 | Jan. 31, 2024 | Jul. 31, 2023 |
Investments, Debt and Equity Securities [Abstract] | ||
Within one year | $ 23,087 | |
After one year through five years | 7,496 | |
After five years through ten years | 808 | |
After ten years | 28 | |
Total | $ 31,419 | $ 42,414 |
Schedule of Available-for-sal_2
Schedule of Available-for-sale Securities, Unrealized Loss Position (Details) - USD ($) $ in Thousands | Jan. 31, 2024 | Jul. 31, 2023 |
Debt Securities, Available-for-Sale, Unrealized Loss Position, Accumulated Loss | $ 455 | $ 645 |
Debt Securities, Available-for-Sale, Unrealized Loss Position | 28,048 | 41,635 |
Certificates of Deposit [Member] | ||
Debt Securities, Available-for-Sale, Unrealized Loss Position, Accumulated Loss | 4 | |
Debt Securities, Available-for-Sale, Unrealized Loss Position | 3,356 | |
US Treasury Bill Securities [Member] | ||
Debt Securities, Available-for-Sale, Unrealized Loss Position, Accumulated Loss | 76 | 148 |
Debt Securities, Available-for-Sale, Unrealized Loss Position | 21,754 | 31,038 |
US Government-sponsored Enterprises Debt Securities [Member] | ||
Debt Securities, Available-for-Sale, Unrealized Loss Position, Accumulated Loss | 3 | 8 |
Debt Securities, Available-for-Sale, Unrealized Loss Position | 2,910 | 3,873 |
Corporate Bond Securities [Member] | ||
Debt Securities, Available-for-Sale, Unrealized Loss Position, Accumulated Loss | 376 | 485 |
Debt Securities, Available-for-Sale, Unrealized Loss Position | $ 3,384 | $ 3,368 |
Schedule of Continuous Unrealiz
Schedule of Continuous Unrealized Loss Position for 12 Months or Longer (Details) - USD ($) $ in Thousands | Jan. 31, 2024 | Jul. 31, 2023 |
Debt Securities, Available-for-Sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | $ 439 | $ 570 |
Debt Securities, Available-for-Sale, Continuous Unrealized Loss Position, 12 Months or Longer | 6,221 | 4,115 |
US Treasury Bill Securities [Member] | ||
Debt Securities, Available-for-Sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 63 | 86 |
Debt Securities, Available-for-Sale, Continuous Unrealized Loss Position, 12 Months or Longer | 2,837 | 816 |
Corporate Bond Securities [Member] | ||
Debt Securities, Available-for-Sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 376 | 484 |
Debt Securities, Available-for-Sale, Continuous Unrealized Loss Position, 12 Months or Longer | $ 3,384 | $ 3,299 |
Debt Securities (Details Narrat
Debt Securities (Details Narrative) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Investments, Debt and Equity Securities [Abstract] | ||||
Proceeds from sale and maturity of debt securities, available-for-sale | $ 14.2 | $ 16.1 | $ 31.2 | $ 27.5 |
Schedule of Equity Investments
Schedule of Equity Investments (Details) - USD ($) $ in Thousands | Jan. 31, 2024 | Jul. 31, 2023 |
Current equity investments | $ 5,076 | $ 6,198 |
Noncurrent equity investments | 7,558 | 9,874 |
Other Marketable Equity Securities [Member] | ||
Current equity investments | 188 | 1,497 |
Mutual Fund [Member] | ||
Current equity investments | 4,245 | 4,054 |
Convertible Preferred Stock [Member] | ||
Noncurrent equity investments | 1,932 | 2,784 |
Hedge Funds [Member] | ||
Noncurrent equity investments | 2,951 | 3,002 |
Other Investments [Member] | ||
Noncurrent equity investments | 1,225 | 2,825 |
Common Class B [Member] | Zedge Inc [Member] | ||
Current equity investments | 138 | 89 |
Common Class B [Member] | Rafael Holdings Inc [Member] | ||
Current equity investments | 505 | 558 |
Series C Convertible Preferred Stock [Member] | Visa Inc [Member] | ||
Noncurrent equity investments | $ 1,450 | $ 1,263 |
Schedule of Equity Investment_2
Schedule of Equity Investments (Details) (Parenthetical) - Common Class B [Member] - shares | 6 Months Ended | 12 Months Ended |
Jan. 31, 2024 | Jul. 31, 2023 | |
Zedge Inc [Member] | ||
Number of related party shares received | 42,282 | 42,282 |
Rafael Holdings Inc [Member] | ||
Number of related party shares received | 278,810 | 278,810 |
Schedule of Carrying Value of E
Schedule of Carrying Value of Equity Investments (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Cash and Cash Equivalents [Abstract] | ||||
Balance, beginning of period | $ 1,747 | $ 1,474 | $ 1,632 | $ 1,501 |
Adjustment for observable transactions involving a similar investment from the same issuer | 202 | 120 | 187 | 93 |
Upward adjustment | 130 | |||
Redemption | (230) | (230) | ||
Impairments | ||||
Balance, end of the period | $ 1,719 | $ 1,594 | $ 1,719 | $ 1,594 |
Schedule of Unrealized Gains (l
Schedule of Unrealized Gains (losses) Gains for All Equity Investments (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Net gains (losses) recognized during the period on equity investments | $ 715 | $ (228) | $ (202) | $ (2,169) |
Less: net gains recognized during the period on equity investments sold during the period | 22 | 130 | 18 | |
Unrealized losses recognized during the period on equity investments still held at the reporting date | 715 | (250) | (332) | (2,187) |
Rafael Class B Common Stock [Member] | ||||
Unrealized losses recognized during the period on equity investments still held at the reporting date | 9 | 82 | (53) | 9 |
Zedge Class B Common Stock [Member] | ||||
Unrealized losses recognized during the period on equity investments still held at the reporting date | $ 57 | $ 3 | $ 49 | $ (24) |
Summary of Changes in Equity Me
Summary of Changes in Equity Method Investments (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Purchase of convertible preferred stock | $ 1,009 | |||
Equity in the net loss of investee | $ (848) | $ (723) | (1,861) | (1,375) |
Equity Method Investee [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Balance, beginning of period | 2,444 | 349 | 2,784 | 1,001 |
Purchase of convertible preferred stock | 336 | 1,009 | ||
Equity in the net loss of investee | (506) | (542) | (1,176) | (1,012) |
Amortization of equity method basis difference | (342) | (181) | (685) | (363) |
Balance, end of the period | $ 1,932 | $ (374) | $ 1,932 | $ (374) |
Summary of Statements of Operat
Summary of Statements of Operations (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | ||
Defined Benefit Plan Disclosure [Line Items] | |||||
Revenues | $ 296,098 | $ 313,936 | $ 597,302 | $ 635,752 | |
Selling, general and administrative | [1] | 80,743 | 72,060 | 157,965 | 141,679 |
Total costs and expenses | 81,382 | 72,256 | 158,644 | 141,175 | |
Loss from operations | 16,017 | 18,181 | 33,183 | 38,407 | |
Other expense, net | 2,534 | 1,613 | (3,053) | (2,229) | |
Net loss | 15,754 | 15,309 | 24,230 | 27,864 | |
Equity Method Investee [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Revenues | 5,087 | 1,818 | 7,821 | 3,691 | |
Direct cost of revenues | 4,085 | 1,535 | 6,482 | 3,228 | |
Selling, general and administrative | 2,385 | 1,772 | 4,570 | 3,408 | |
Total costs and expenses | 6,470 | 3,307 | 11,052 | 6,636 | |
Loss from operations | (1,383) | (1,489) | (3,231) | (2,945) | |
Other expense, net | (498) | (842) | |||
Net loss | $ (1,383) | $ (1,987) | $ (3,231) | $ (3,787) | |
[1]Stock-based compensation included in selling, general and administrative expenses |
Equity Investments (Details Nar
Equity Investments (Details Narrative) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 6 Months Ended | |||||
Mar. 31, 2024 | Feb. 29, 2024 | Dec. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | Jul. 31, 2023 | |
Cash | $ (230) | $ (230) | ||||||
Equity method investment, aggregate cost | $ 8,200 | $ 8,200 | ||||||
Equity method investment, description | These basis differences are being amortized over the 6-year estimated life of the customer list. | |||||||
Purchase of convertible preferred stock | $ 1,009 | |||||||
Equity Method Investee [Member] | ||||||||
Equity Method Investment, Ownership Percentage | 33.40% | 33.40% | 33.30% | |||||
EMI Preferred Stock [Member] | Subsequent Event [Member] | ||||||||
Purchase of convertible preferred stock | $ 200 | $ 300 | ||||||
Regal Ban corp [Member] | ||||||||
Cash | $ 200 |
Schedule of Balance of Assets M
Schedule of Balance of Assets Measured at Fair Value on a Recurring Basis (Details) - USD ($) $ in Thousands | Jan. 31, 2024 | Jul. 31, 2023 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Debt securities | $ 31,419 | $ 42,414 | |
Fair Value, Recurring [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Debt securities | 31,419 | 42,414 | |
Equity investments included in current assets | 5,076 | 6,198 | |
Equity investments included in noncurrent assets | 2,450 | 3,763 | |
Total | 38,945 | 52,375 | |
Acquisition consideration included in other current liabilities | (1,945) | (2,032) | |
Acquisition consideration included in other noncurrent liabilities | (2,572) | (2,773) | |
Acquisition consideration included in other liabilities | (4,517) | (4,805) | |
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] | 23,674 | 31,038 |
Equity investments included in current assets | [1] | 5,076 | 6,198 |
Equity investments included in noncurrent assets | [1] | ||
Total | [1] | 28,750 | 37,236 |
Acquisition consideration included in other current liabilities | [1] | ||
Acquisition consideration included in other noncurrent liabilities | [1] | ||
Acquisition consideration included in other liabilities | [1] | ||
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 | [2] | 7,745 | 11,376 |
Equity investments included in current assets | [2] | ||
Equity investments included in noncurrent assets | [2] | 1,000 | 2,500 |
Total | [2] | 8,745 | 13,876 |
Acquisition consideration included in other current liabilities | [2] | ||
Acquisition consideration included in other noncurrent liabilities | [2] | ||
Acquisition consideration included in other liabilities | [2] | ||
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 | [3] | ||
Equity investments included in current assets | [3] | ||
Equity investments included in noncurrent assets | [3] | 1,450 | 1,263 |
Total | [3] | 1,450 | 1,263 |
Acquisition consideration included in other current liabilities | [3] | (1,945) | (2,032) |
Acquisition consideration included in other noncurrent liabilities | [3] | (2,572) | (2,773) |
Acquisition consideration included in other liabilities | [3] | $ (4,517) | $ (4,805) |
[1]– quoted prices in active markets for identical assets or liabilities[2] – observable inputs other than quoted prices in active markets for identical assets and liabilities – no observable pricing inputs in the market |
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 | 3 Months Ended | 6 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Fair Value Disclosures [Abstract] | ||||
Balance, beginning of period | $ 1,248 | $ 1,105 | $ 1,263 | $ 1,132 |
Total gains included in “Other income (expense), net” | 202 | 120 | 187 | 93 |
Balance, end of period | 1,450 | 1,225 | 1,450 | 1,225 |
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 | 3 Months Ended | 6 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Fair Value Disclosures [Abstract] | ||||
Balance, beginning of period | $ 4,588 | $ 6,603 | $ 4,805 | $ 8,546 |
Payments | (214) | (375) | ||
“Other operating (expense) gain, net” | $ (73) | $ (73) | $ (1,565) | |
Fair Value, Liability, Recurring Basis, Unobservable Input Reconciliation, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Other operating (expense) gain, net | Other operating (expense) gain, net | Other operating (expense) gain, net | Other operating (expense) gain, net |
Other operating (expense) gain, net | $ (294) | $ 17 | $ 190 | $ 816 |
“Foreign currency translation adjustment” | $ 2 | $ 6 | $ (1) | $ 3 |
Fair Value, Liability, Recurring Basis, Unobservable Input Reconciliation, Liability, Gain (Loss), Statement of Other Comprehensive Income or Comprehensive Income [Extensible Enumeration] | Foreign currency translation adjustments | Foreign currency translation adjustments | Foreign currency translation adjustments | Foreign currency translation adjustments |
Balance, end of period | $ 4,517 | $ 6,609 | $ 4,517 | $ 6,609 |
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 | 6 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jul. 31, 2023 | |
Fair Value Disclosures [Abstract] | |||
Investment in hedge funds | $ 3 | $ 3 | |
Payment for contingent consideration | $ 0.2 | $ 0.4 |
Schedule of Net (Loss) Income a
Schedule of Net (Loss) Income and Aggregate Funding to the Company by VIE (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||||
Net (loss) income of the VIE | $ (107) | $ 25 | $ (26) | $ 165 |
Aggregate funding provided by (repaid to) the Company, net | $ 123 | $ (10) | $ 237 | $ 87 |
VIE_s Summarized Consolidated B
VIE’s Summarized Consolidated Balance Sheet (Details) - USD ($) $ in Thousands | Jan. 31, 2024 | Jul. 31, 2023 |
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||
Cash and equivalents | $ 141,081 | $ 103,637 |
Trade accounts receivable, net | 37,392 | 32,092 |
Disbursement prefunding | 27,749 | 30,113 |
Prepaid expenses | 23,523 | 16,638 |
Other current assets | 30,905 | 28,394 |
Property, plant, and equipment, net | 38,713 | 38,655 |
Other intangibles, net | 7,026 | 8,196 |
Total assets | 521,778 | 510,810 |
Trade accounts payable | 21,514 | 22,231 |
Accrued expenses | 107,181 | 110,796 |
Settlement liabilities | 15,789 | 21,495 |
Due to the Company | 3,716 | 3,354 |
Accumulated other comprehensive income | (17,276) | (17,192) |
Noncontrolling interests | 8,103 | 6,267 |
Total liabilities and noncontrolling interests | 521,778 | 510,810 |
Variable Interest Entity, Primary Beneficiary [Member] | ||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||
Cash and equivalents | 2,394 | 1,596 |
Restricted cash | 4,934 | 7,848 |
Trade accounts receivable, net | 90 | 62 |
Disbursement prefunding | 1,056 | 585 |
Prepaid expenses | 323 | 197 |
Other current assets | 255 | 317 |
Property, plant, and equipment, net | 166 | 272 |
Other intangibles, net | 661 | 737 |
Total assets | 9,879 | 11,614 |
Trade accounts payable | 11 | |
Accrued expenses | 334 | 70 |
Settlement liabilities | 5,336 | 7,573 |
Accumulated other comprehensive income | 37 | 21 |
Noncontrolling interests | 3,898 | 3,924 |
Total liabilities and noncontrolling interests | 9,879 | 11,614 |
Variable Interest Entity, Primary Beneficiary [Member] | Related Party [Member] | ||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||
Due to the Company | $ 263 | $ 26 |
Schedule of Other Operating (Ex
Schedule of Other Operating (Expense) Gain, Net (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Restructuring Cost and Reserve [Line Items] | ||||
Corporate—Straight Path Communications Inc. class action legal fees | $ (2,552) | $ (1,597) | $ (2,764) | $ (4,109) |
Corporate—Straight Path Communications Inc. class action insurance claims | 2,186 | 1,263 | 2,869 | 2,988 |
Corporate—other | 12 | |||
Fintech— government grants | 349 | 382 | ||
net2phone—write-off of contingent consideration liability | 73 | 73 | ||
Traditional Communications— cable telephony customer indemnification claim | (1) | (12) | ||
Traditional Communications—other | (1) | 3 | 2 | |
Total other operating (expense) gain, net | (294) | 17 | 190 | 816 |
Fintech [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Fintech—write-off of contingent consideration liability | $ 1,565 |
Other Operating (Expense) Gai_3
Other Operating (Expense) Gain, Net (Details Narrative) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
May 08, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||||
Traditional communications cable telephony customer indemnification claim | $ (1) | $ (12) | |||
Indemnification Agreement [Member] | |||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||||
Traditional communications cable telephony customer indemnification claim | $ 3,900 |
Revolving Credit Facility (Deta
Revolving Credit Facility (Details Narrative) - USD ($) | 6 Months Ended | |||
Jan. 31, 2024 | Jan. 31, 2023 | Jul. 31, 2023 | May 17, 2021 | |
Line of Credit Facility [Line Items] | ||||
Proceeds from lines of credit | $ 30,588,000 | $ 2,383,000 | ||
Repayment of lines of credit | 30,588,000 | 2,383,000 | ||
IDT Telecom [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Outstanding line of credit | 0 | $ 0 | ||
Proceeds from lines of credit | 30,600,000 | 2,400,000 | ||
Repayment of lines of credit | $ 30,600,000 | $ 2,400,000 | ||
Revolving Credit Facility [Member] | TD Bank [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Line of credit facility, maximum borrowing capacity | $ 25,000,000 | |||
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 secured overnight financing rate published by the Federal Reserve Bank of New York plus 10 basis points, plus depending upon IDT Telecom’s leverage ratio as computed for the most recent fiscal quarter, 125 to 175 basis points. Interest is payable monthly, and all outstanding principal and any accrued and unpaid interest is due on May 16, 2026. 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. | |||
Debt instrument maturity date | May 16, 2026 | |||
Revolving credit, unused portion amount | $ 25,000,000 |
Equity (Details Narrative)
Equity (Details Narrative) - USD ($) | 1 Months Ended | 3 Months Ended | 6 Months Ended | |||||||
Mar. 31, 2024 | Feb. 21, 2024 | Dec. 21, 2023 | Dec. 13, 2023 | Jan. 31, 2024 | Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | ||
Class of Stock [Line Items] | ||||||||||
Received cash from exercise of stock options | $ 172,000 | $ 172,000 | ||||||||
Stock repurchase program, remaining number of shares authorized to be repurchased | 4,600,000 | 4,600,000 | 4,600,000 | |||||||
Stock based compensation expense | [1] | $ 2,487,000 | $ 1,286,000 | $ 3,258,000 | 1,858,000 | |||||
Exchange of outstanding shares percentage | 125% | |||||||||
Exchange of NRS shares for Class B common stock | ||||||||||
net2phone 2.0, Inc. [Member] | ||||||||||
Class of Stock [Line Items] | ||||||||||
Restricted common stock with holding employees outstanding shares percentage | 4.50% | |||||||||
Amended And Restated Employment Agreement [Member] | Selling, General and Administrative Expenses [Member] | ||||||||||
Class of Stock [Line Items] | ||||||||||
Stock based compensation expense | 1,400,000 | 1,400,000 | ||||||||
Amended And Restated Employment Agreement [Member] | Deferred Stock Units [Member] | ||||||||||
Class of Stock [Line Items] | ||||||||||
Total unrecognized compensation | $ 400,000 | 400,000 | 400,000 | |||||||
Amended And Restated Employment Agreement [Member] | Contingent Bonus [Member] | ||||||||||
Class of Stock [Line Items] | ||||||||||
Total unrecognized compensation | $ 2,000,000 | $ 2,000,000 | $ 2,000,000 | |||||||
Common Class B [Member] | ||||||||||
Class of Stock [Line Items] | ||||||||||
Exchange of outstanding shares percentage | 125% | |||||||||
Number of shares during period | 192,433 | |||||||||
Exchange of NRS shares for Class B common stock | $ 100,000 | |||||||||
Common Class B [Member] | net2phone 2.0, Inc. [Member] | ||||||||||
Class of Stock [Line Items] | ||||||||||
Vested shares | 500,000 | |||||||||
Shares granted | 50,000 | |||||||||
Offsetting income tax withholding liability | $ 3,600,000 | |||||||||
Increase in non controlling interests | 53,000 | |||||||||
Decrease in additional paid in capital | $ 3,610,000 | |||||||||
Common Class B [Member] | Deferred Stock Units [Member] | ||||||||||
Class of Stock [Line Items] | ||||||||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Description | The number of shares that will be issuable on each vesting date will vary 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 base price approved by the Compensation Committee of the Company’s Board of Directors of $25.45 per share (which was based on the market price at the time of the initial grants under this program). | |||||||||
Common Class B [Member] | Deferred Stock Units [Member] | Subsequent Event [Member] | ||||||||||
Class of Stock [Line Items] | ||||||||||
Vested shares | 53,706 | |||||||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Nonvested, Number | 147,540 | |||||||||
Common Class B [Member] | 2024 Equity Incentive Plan [Member] | ||||||||||
Class of Stock [Line Items] | ||||||||||
Number of shares, grant | 250,000 | |||||||||
Common Class B [Member] | 2015 Stock Option and Incentive Plan [Member] | ||||||||||
Class of Stock [Line Items] | ||||||||||
Additional number of shares authorized | 250,000 | |||||||||
Received cash from exercise of stock options | $ 200,000 | $ 200,000 | ||||||||
Shares issued | 12,500 | 12,500 | ||||||||
Common Class B [Member] | Amended And Restated Employment Agreement [Member] | Deferred Stock Units [Member] | net2phone 2.0, Inc. [Member] | ||||||||||
Class of Stock [Line Items] | ||||||||||
Shares granted | 50,000 | |||||||||
Common Class B [Member] | Amended And Restated Employment Agreement [Member] | Bill Pereira [Member] | Deferred Stock Units [Member] | ||||||||||
Class of Stock [Line Items] | ||||||||||
Shares granted | 23,500 | |||||||||
Class B Common Stock [Member] | ||||||||||
Class of Stock [Line Items] | ||||||||||
Aggregate repurchased shares | 8,000,000 | 8,000,000 | 8,000,000 | |||||||
Class B common stock shares repurchased | 135,261 | 203,436 | ||||||||
Aggregate purchase price of shares repurchased | $ 3,200,000 | $ 5,000,000 | ||||||||
Class B Common Stock [Member] | Employees [Member] | ||||||||||
Class of Stock [Line Items] | ||||||||||
Class B common stock shares repurchased | 654 | 13,403 | ||||||||
Aggregate purchase price of shares repurchased | $ 15,000 | $ 300,000 | ||||||||
Class A And Class B Common Stock[Member] | Subsequent Event [Member] | ||||||||||
Class of Stock [Line Items] | ||||||||||
Cash dividend per share | $ 0.05 | |||||||||
Dividend paid date | Mar. 27, 2024 | |||||||||
Dividend record date | Mar. 19, 2024 | |||||||||
[1]Stock-based compensation included in selling, general and administrative expenses |
Schedule of Net Income Attribut
Schedule of Net Income Attributable to Mezzanine Equity’s Noncontrolling Interest (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Common Class B [Member] | National Retail Solutions [Member] | ||||
Noncontrolling Interest [Line Items] | ||||
Net income of NRS attributable to the mezzanine equity’s noncontrolling interest | $ 114 | $ 65 | $ 221 | $ 198 |
Redeemable Noncontrolling Int_3
Redeemable Noncontrolling Interest (Details Narrative) - Common Class B [Member] - National Retail Solutions [Member] $ in Millions | Sep. 29, 2021 USD ($) |
Noncontrolling Interest [Line Items] | |
Capital stock outstanding percentage | 2.50% |
Sale of stock, consideration received on transaction | $ 10 |
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 shares in Thousands | 3 Months Ended | 6 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Earnings per share attributable to IDT Corporation common stockholders: | ||||
Basic weighted-average number of shares | 25,175 | 25,510 | 25,176 | 25,556 |
Stock options | 9 | 1 | 11 | |
Non-vested restricted Class B common stock | 142 | 19 | 120 | 10 |
Diluted weighted-average number of shares | 25,317 | 25,538 | 25,297 | 25,577 |
Schedule of Accumulated Balance
Schedule of Accumulated Balances for Each Classification of Other Comprehensive Income Income (Loss) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax | $ (17,192) | |||
Other Comprehensive Income (Loss), Net of Tax | $ (649) | $ (2,039) | (84) | $ (2,406) |
Ending balance | (17,276) | (17,276) | ||
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 | (645) | |||
Other Comprehensive Income (Loss), Net of Tax | 204 | |||
Ending balance | (441) | (441) | ||
Accumulated Foreign Currency Adjustment Attributable to Parent [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax | (16,547) | |||
Other Comprehensive Income (Loss), Net of Tax | (288) | |||
Ending balance | $ (16,835) | $ (16,835) |
Commitments and Contingencies (
Commitments and Contingencies (Details Narrative) - USD ($) $ in Millions | Jan. 31, 2024 | Jul. 31, 2023 |
Product Liability Contingency [Line Items] | ||
Accrued liabilities | $ 23.4 | $ 26.8 |
Purchase obligation | 17.6 | |
Performance bonds outstanding | $ 29 | |
Federal Telecommunications Relay Services Fund [Member] | ||
Product Liability Contingency [Line Items] | ||
Final decision imposed | $ 2.9 |
Schedule of Other Income (Expen
Schedule of Other Income (Expense), Net (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Other Income and Expenses [Abstract] | ||||
Foreign currency transaction gains (losses) | $ 2,510 | $ 2,480 | $ (989) | $ 1,451 |
Equity in net loss of investee | (848) | (723) | (1,861) | (1,375) |
Gains (losses) on investments, net | 715 | (228) | (202) | (2,169) |
Other | 157 | 84 | (1) | (136) |
Total other income (expense), net | $ 2,534 | $ 1,613 | $ (3,053) | $ (2,229) |
Income Taxes (Details Narrative
Income Taxes (Details Narrative) | 6 Months Ended | 12 Months Ended |
Jan. 31, 2024 | Jul. 31, 2023 | |
Income Tax Disclosure [Abstract] | ||
Effective income tax rate reconciliation, percent | 24.70% | 27% |