IDT — what changed in the latest 10-K

Text added vs the prior filing · source: 10-K · 2026-09-29

• BOSS Money: Provides international and domestic money transfers and other fintech-based services to customers in the United States. BOSS Money makes it easy and convenient to share funds and other resources with friends and family in approximately 50 destination countries in Latin America, the Carib…

• net2phone: Provides businesses with workflow and communications solutions, many of which are powered by AI, that analyze, inform, and manage business processes for enhanced productivity. net2phone’s offerings include: netphone AI Agent, an autonomous agentic solution; Coach, an AI-powered performanc…

• The Fintech segment, which contributed revenue of $176.0 million in fiscal 2026 and $154.6 million in fiscal 2025 (13.6% and 12.6 % of our total revenues, respectively), comprises our BOSS Money remittance business and other, significantly smaller, financial businesses including our Gibraltar-based …

• The net2phone segment, which contributed revenue of $96.6 million in fiscal 2026 and $87.9 million in fiscal 2025 (7.4% and 7.1% of our total revenues, respectively), comprises our net2phone business.

• We spin-off our Zedge subsidiary to our stockholders. Zedge’s stock is listed on the NYSE American with the ticker symbol “ZDGE”.

Text removed vs the prior filing · source: 10-K · 2025-09-29

• ■ BOSS Money: Provides fintech-based services featuring cross-border money transfers to customers in the United States. BOSS Money makes it easy and convenient to share resources with friends and family in 50 destination countries in Latin America and the Caribbean, Africa, Europe, and Asia. BOSS Mo…

• ■ net2phone: Provides businesses with AI-powered communications solutions that analyse, inform, and manage communications for enhanced productivity. net2phone’s offerings include unified communications as a service (UCaaS), contact center as a service (CCaaS), and autonomous agentic solutions, net2p…

• The Fintech segment, which contributed revenue of $154.6 million in fiscal 2025 and $120.7 million in fiscal 2024 (12.6% and 10.0% of our total revenues, respectively), comprises our BOSS Money remittance business and other, significantly smaller, financial services businesses.

• The net2phone segment, which contributed revenue of $87.9 million in fiscal 2025 and $82.3 million in fiscal 2024 (7.1% and 6.8% of our total revenues, respectively), offers AI-driven communications solutions to businesses primarily in North and South America.

• 2015 – net2phone launches its UCaaS offering in the United States.

Text added vs the prior filing · source: 10-K · 2026-09-29

• an increasingly significant component of our growth strategy involves the adoption, integration, and effective utilization of AI technologies across our products, services, and internal operations;

• changes to immigrant populations could negatively impact certain of our businesses;

• cyberattacks, including AI-enabled social engineering and impersonation fraud, impacting our networks, systems, customers or business partners;

• network disruptions, security breaches, or other significant disruptions or failures of our IT infrastructure and related systems or of those we operate for certain of our customers;

• our reliance on third-party cloud, software and security service providers, and cyberattacks, outages, vulnerabilities or misconfigurations affecting them;

Text removed vs the prior filing · source: 10-K · 2025-09-29

• ■ changes to immigrant populations could negatively impact certain of our businesses;

• ■ network disruptions, security breaches, or other significant disruptions or failures of our IT infrastructure and related systems or of those we operate for certain of our customers;

• ■ the failure, or perceived failure, of one or more of our products;

• ■ our international operations subject us to geopolitical and other risks including ongoing developments in Belarus, Ukraine and Israel;

• ■ our dependence on industry standard protocols and third-party software, including but not limited to open-source software;

Text added vs the prior filing · source: 10-K · 2026-09-29

• We do not believe we are currently at risk of goodwill impairment based on qualitative assessments of our reporting units for the three months ended July 31, 2026. We considered several factors in these qualitative assessments including (i) the business enterprise value of the reporting unit from th…

• Our allowance for credit losses was $6.9 million and $9.1 million at July 31, 2026 and 2025, respectively. The decrease was partially due to the write-off of aged net2phone trade accounts receivable and the related allowance. The allowance as a percentage of gross trade accounts receivable decreased…

• We maintain an allowance for credit losses on our trade accounts receivable based on a forward-looking current expected credit loss ("CECL") model. In estimating expected credit losses, we consider the probability of recoverability of accounts receivable based on historical write-off experience, net…

• The valuation allowance on our deferred income tax assets was $11.6 million and $14.9 million at July 31, 2026 and 2025, respectively. In fiscal 2026, we decreased the valuation allowance by $3.3 million, due to profitability in the United Kingdom as well as restructuring of foreign operations. In f…

• In September 2025, the FASB issued ASU 2025-06, Intangibles – Goodwill and Other – Internal-Use Software (Subtopic 350-40): Targeted Improvements to the Accounting for Internal-Use Software, which simplifies the capitalization guidance by removing all references to software development project stage…

Text removed vs the prior filing · source: 10-K · 2025-09-29

• For our annual goodwill impairment test as of May 1, 2024, we performed quantitative assessments of our Retail Communications and net2phone reporting units and qualitative assessments for our Fintech and IDT Digital Payments reporting units. Our assessments did not indicate any goodwill impairment a…

• We do not believe we are currently at risk of goodwill impairment based on qualitative assessments of our reporting units for the three months ended July 31, 2025. We considered several factors in these qualitative assessments including (i) the business enterprise value of the reporting unit from th…

• Our allowance for credit losses was $9.1 million and $6.4 million at July 31, 2025 and 2024, respectively, partially due to an increase in credit losses related to ads and data. The allowance as a percentage of gross trade accounts receivable increased to 17.5% at July 31, 2025 from 13.1% at July 31…

• For our allowance for trade accounts receivable, we record an expense based on a forward-looking current expected credit loss model to maintain our allowance for credit losses. We consider the probability of recoverability of accounts receivable based on past experience, considering current collecti…

• The valuation allowance on our deferred income tax assets was $14.9 million and $13.6 million at July 31, 2025 and 2024, respectively. In fiscal 2025, we decreased the valuation allowance by $3.4 million, due to profitability in the United Kingdom, offset by $4.7 million of additions in other jurisd…