java |
|
October 31, 2009 |
July 31, 2009 |
|
(Unaudited) |
|
|
(in thousands) |
Assets |
|
|
Current assets: |
|
|
Cash and cash equivalents............................................................................................................................................. |
$ 166,189 |
$ 117,902 |
Restricted cash and cash equivalents................................................................................................................................ |
15,214 |
64,992 |
Marketable securities.................................................................................................................................................... |
5,594 |
5,702 |
Trade accounts receivable, net of allowance for doubtful accounts of $12,851 at October 31, 2009 and $15,740 at July 31, 2009....... |
116,312 |
138,697 |
Prepaid expenses.......................................................................................................................................................... |
18,829 |
17,597 |
Investments—short-term............................................................................................................................................... |
2,420 |
631 |
Other current assets...................................................................................................................................................... |
18,786 |
17,394 |
Assets of discontinued operations.................................................................................................................................... |
— |
18,790 |
|
|
|
Total current assets............................................................................................................................................ |
343,344 |
381,705 |
Property, plant and equipment, net............................................................................................................................................ |
116,324 |
129,066 |
Goodwill.............................................................................................................................................................................. |
17,423 |
17,275 |
Licenses and other intangibles, net............................................................................................................................................. |
4,900 |
5,350 |
Investments—long-term........................................................................................................................................................... |
9,833 |
13,099 |
Other assets........................................................................................................................................................................... |
12,270 |
13,125 |
|
|
|
Total assets...................................................................................................................................................... |
$ 504,094 |
$ 559,620 |
|
|
|
Liabilities and equity |
|
|
Current liabilities: |
|
|
Trade accounts payable................................................................................................................................................. |
$ 62,330 |
$ 68,120 |
Accrued expenses......................................................................................................................................................... |
139,608 |
159,032 |
Deferred revenue........................................................................................................................................................... |
71,195 |
67,505 |
Income taxes payable.................................................................................................................................................... |
2,031 |
2,031 |
Capital lease obligations—current portion........................................................................................................................ |
6,583 |
7,058 |
Notes payable—current portion....................................................................................................................................... |
585 |
820 |
Other current liabilities................................................................................................................................................. |
5,121 |
4,852 |
Liabilities of discontinued operations............................................................................................................................... |
— |
5,496 |
|
|
|
Total current liabilities....................................................................................................................................... |
287,453 |
314,914 |
Capital lease obligations—long-term portion............................................................................................................................... |
3,996 |
5,211 |
Notes payable—long-term portion............................................................................................................................................. |
36,439 |
43,281 |
Other liabilities...................................................................................................................................................................... |
16,363 |
16,772 |
|
|
|
Total liabilities................................................................................................................................................. |
344,251 |
380,178 |
Commitments and contingencies |
|
|
Equity: |
|
|
IDT Corporation stockholders’ equity: |
|
|
Preferred stock, $.01 par value; authorized shares—10,000; no shares issued........................................................................... |
— |
— |
Common stock, $.01 par value; authorized shares—100,000; 9,241 and 9,241 shares issued and 3,811 and 4,202 shares outstanding at October 31, 2009 and July 31, 2009, respectively..................................................................................................... |
92 |
92 |
Class A common stock, $.01 par value; authorized shares—35,000; 3,272 shares issued and outstanding at October 31, 2009 and July 31, 2009........................................................................................................................................................ |
33 |
33 |
Class B common stock, $.01 par value; authorized shares—200,000; 23,193 and 22,913 shares issued and 15,607 and 15,503 shares outstanding at October 31, 2009 and July 31, 2009, respectively............................................................................ |
232 |
229 |
Additional paid-in capital.............................................................................................................................................. |
708,014 |
720,804 |
Treasury stock, at cost, consisting of 5,430 and 5,039 shares of common stock and 7,586 and 7,410 shares of Class B common stock at October 31, 2009 and July 31, 2009, respectively............................................................................................. |
(295,370 ) |
(293,901 ) |
Accumulated other comprehensive income........................................................................................................................ |
1,969 |
953 |
Accumulated deficit...................................................................................................................................................... |
(255,397 ) |
(251,916 ) |
|
|
|
Total IDT Corporation stockholders’ equity.......................................................................................................... |
159,573 |
176,294 |
Noncontrolling interests..................................................................................................................................................... ...................................................................................................................................................................................... |
270 |
3,148 |
|
|
|
Total equity..................................................................................................................................................... |
159,843 |
179,442 |
|
|
|
Total liabilities and equity.................................................................................................................................. |
$ 504,094 |
$ 559,620 |
|
|
|
|
|
|
|
|
Three Months Ended October 31, |
|
2009 |
2008 |
|
(In thousands, except per share data) |
Revenues.................................................................................................................................................... |
$ 327,329 |
$ 403,792 |
Costs and expenses: |
|
|
Direct cost of revenues (exclusive of depreciation and amortization)....................................... |
258,176 |
312,933 |
Selling, general and administrative (i)............................................................................................. |
57,099 |
85,554 |
Depreciation and amortization......................................................................................................... |
9,383 |
12,862 |
Bad debt.............................................................................................................................................. |
448 |
1,636 |
Research and development.............................................................................................................. |
2,109 |
1,644 |
Restructuring and impairment charges .......................................................................................... |
(41) |
1,214 |
|
|
|
Total costs and expenses......................................................................................................................... |
327,174 |
415,843 |
|
|
|
Income (loss) from operations................................................................................................................. |
155 |
(12,051) |
Interest (expense) income, net................................................................................................................. |
(1,332) |
358 |
Other expense, net..................................................................................................................................... |
(1,188) |
(20,998) |
|
|
|
Loss from continuing operations before income taxes........................................................................ |
(2,365) |
(32,691) |
Provision for income taxes....................................................................................................................... |
(1,152) |
(2,800) |
|
|
|
Loss from continuing operations............................................................................................................ |
(3,517) |
(35,491) |
Discontinued operations, net of tax: |
|
|
Income (loss) from discontinued operations........................................................................................ |
7 |
(1,900) |
Loss on sale of discontinued operations.............................................................................................. |
(147) |
(231) |
|
|
|
Total discontinued operations................................................................................................................ |
(140) |
(2,131) |
|
|
|
Net loss....................................................................................................................................................... |
(3,657) |
(37,622) |
Net loss attributable to noncontrolling interests................................................................................. |
176 |
364 |
|
|
|
Net loss attributable to IDT Corporation............................................................................................... |
$ (3,481) |
$ (37,258) |
|
|
|
|
|
|
Amounts attributable to IDT Corporation common stockholders: |
|
|
Loss from continuing operations............................................................................................................ |
$ (3,441) |
$ (35,106) |
Loss from discontinued operations........................................................................................................ |
(40) |
(2,152) |
|
|
|
Net loss....................................................................................................................................................... |
$ (3,481) |
$ (37,258) |
|
|
|
|
|
|
Earnings per share attributable to IDT Corporation common stockholders: |
|
|
Basic and diluted: |
|
|
Loss from continuing operations...................................................................................... |
$ (0.17) |
$ (1.44) |
Loss from discontinued operations.................................................................................. |
— |
(0.09) |
|
|
|
Net loss.................................................................................................................................. |
$ (0.17) |
$ (1.53) |
|
|
|
Weighted-average number of shares used in calculation of basic and diluted earnings per share.......................................................................................................... |
20,190 |
24,320 |
|
|
|
|
|
|
(i)...... Stock-based compensation included in selling, general and administrative expenses........ |
$ 1,205 |
$ 1,323 |
|
|
|
|
Three Months Ended October 31, |
|
2009 |
2008 |
|
(in thousands) |
Net cash provided by (used in) operating activities................................................................................ |
$ 2,227 |
$ (52,397) |
Investing activities |
|
|
Capital expenditures........................................................................................................................... |
(2,824) |
(2,508) |
Repayment of notes receivable, net................................................................................................. |
50 |
15 |
Investment........................................................................................................................................... |
(303) |
— |
Proceeds from sale and redemption of investments...................................................................... |
507 |
5,000 |
Restricted cash and cash equivalents............................................................................................. |
49,778 |
(17,977) |
Proceeds from sales of buildings..................................................................................................... |
5,150 |
— |
Proceeds from sales and maturities of marketable securities....................................................... |
— |
52,312 |
Purchases of marketable securities.................................................................................................. |
— |
(19,890) |
|
|
|
Net cash provided by investing activities................................................................................................. |
52,358 |
16,952 |
Financing activities |
|
|
Cash of subsidiaries deconsolidated as a result of the CTM Spin-Off...................................... |
(9,775) |
— |
Distributions to holders of noncontrolling interests in subsidiaries.......................................... |
(649) |
(299) |
Proceeds from sale of stock of subsidiary...................................................................................... |
— |
987 |
Repayments of capital lease obligations......................................................................................... |
(1,689) |
(2,180) |
Repayments of borrowings............................................................................................................... |
(183) |
(251) |
Repurchases of common stock and Class B common stock........................................................ |
(1,468) |
(2,894) |
|
|
|
Net cash used in financing activities......................................................................................................... |
(13,764) |
(4,637) |
Discontinued operations |
|
|
Net cash provided by (used in) operating activities..................................................................... |
930 |
(632) |
Net cash (used in) provided by investing activities..................................................................... |
(44) |
3,224 |
Net cash used in financing activities............................................................................................... |
(471) |
(675) |
|
|
|
Net cash provided by discontinued operations....................................................................................... |
415 |
1,917 |
Effect of exchange rate changes on cash and cash equivalents............................................................ |
571 |
(4,320) |
|
|
|
Net increase (decrease) in cash and cash equivalents............................................................................ |
41,807 |
(42,485) |
Cash and cash equivalents (including discontinued operations) at beginning of period................. |
124,382 |
164,886 |
|
|
|
Cash and cash equivalents (including discontinued operations) at end of period............................ |
166,189 |
122,401 |
Less cash and cash equivalents of discontinued operations at end of period................................... |
— |
(6,084) |
|
|
|
Cash and cash equivalents (excluding discontinued operations) at end of period............................ |
$ 166,189 |
$ 116,317 |
|
|
|
Supplemental schedule of non-cash financing and investing activities |
|
|
Mortgage note payable settled in connection with the sale of building .................................. |
$ (6,137) |
$ — |
|
|
|
Net assets excluding cash and cash equivalents of subsidiaries deconsolidated as a result of the CTM Spin-Off..................................................................................................................... |
$ (6,014) |
$ — |
|
|
|
IDT Corporation Reconciliation of Adjusted EBITDA to Net Loss (Income) |
|
Figures may not foot or cross-foot due to rounding to millions. |
$ in millions |
Total IDT Corporation |
|
Telecom Platform Services |
Consumer Phone Services |
IDT Energy |
Alternative Energy |
All Other |
Corporate |
Three Months Ended October 31, 2009 (Q1 2010) |
|
|
|
|
|
|
|
|
Revenues |
$ 327.3 |
|
$ 275.2 |
$ 10.4 |
$ 40.3 |
$ - |
$ 1.5 |
$ - |
Direct cost of revenues |
258.2 |
|
227.9 |
4.3 |
25.7 |
- |
0.3 |
- |
Selling, general and administrative |
57.1 |
|
42.6 |
1.9 |
4.1 |
0.3 |
2.7 |
5.5 |
Bad debt |
0.4 |
|
0.2 |
0.2 |
- |
- |
- |
- |
Research and development |
2.1 |
|
0.9 |
- |
- |
1.2 |
- |
- |
Adjusted EBITDA |
9.5 |
|
3.6 |
3.9 |
10.5 |
(1.5) |
(1.5) |
(5.5) |
Subtract (Add): |
|
|
|
|
|
|
|
|
Depreciation and amortization |
9.4 |
|
8.4 |
- |
- |
- |
0.6 |
0.3 |
Impairments |
(0.1) |
|
- |
- |
- |
- |
(0.1) |
- |
Restructuring charges |
0.1 |
|
- |
- |
- |
- |
- |
0.1 |
Income (loss) from operations |
0.2 |
|
$ (4.8) |
$ 3.9 |
$ 10.5 |
$ (1.5) |
$ (2.0) |
$ (6.0) |
Interest expense, net |
(1.3) |
|
|
|
|
|
|
|
Other expense, net |
(1.2) |
|
|
|
|
|
|
|
Loss from continuing operations before income taxes |
(2.4) |
|
|
|
|
|
|
|
Provision for income taxes |
(1.2) |
|
|
|
|
|
|
|
Loss from continuing operations |
(3.5) |
|
|
|
|
|
|
|
Loss from discontinued operations |
(0.1) |
|
|
|
|
|
|
|
Net loss |
(3.7) |
|
|
|
|
|
|
|
Net loss attributable to noncontrolling interests |
0.2 |
|
|
|
|
|
|
|
Net loss attributable to IDT Corporation |
$ (3.5) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total IDT Corporation |
|
Telecom Platform Services |
Consumer Phone Services |
IDT Energy |
Alternative Energy |
All Other |
Corporate |
Three Months Ended July 31, 2009 (Q4 2009) |
|
|
|
|
|
|
|
|
Revenues |
$ 343.0 |
|
$ 293.1 |
$ 11.6 |
$ 37.0 |
$ - |
$ 1.4 |
$ - |
Direct cost of revenues |
265.0 |
|
232.4 |
5.5 |
27.6 |
- |
(0.5) |
- |
Selling, general and administrative |
62.7 |
|
48.5 |
2.4 |
4.3 |
0.1 |
1.8 |
5.6 |
Bad debt |
0.9 |
|
0.6 |
0.3 |
- |
- |
- |
- |
Research and development |
1.1 |
|
0.4 |
- |
- |
0.7 |
- |
- |
Adjusted EBITDA |
13.4 |
|
11.2 |
3.4 |
5.0 |
(0.8) |
0.1 |
(5.6) |
Subtract: |
|
|
|
|
|
|
|
|
Depreciation and amortization |
11.8 |
|
10.6 |
- |
- |
- |
0.8 |
0.3 |
Impairments |
0.2 |
|
- |
- |
- |
- |
0.2 |
- |
Restructuring charges |
1.6 |
|
0.6 |
- |
- |
- |
- |
1.0 |
(Loss) income from operations |
(0.2) |
|
$ - |
$ 3.3 |
$ 5.0 |
$ (0.8) |
$ (0.9) |
$ (6.9) |
Interest expense, net |
(1.6) |
|
|
|
|
|
|
|
Other expense, net |
(1.9) |
|
|
|
|
|
|
|
Loss from continuing operations before income taxes |
(3.7) |
|
|
|
|
|
|
|
Benefit from income taxes |
15.3 |
|
|
|
|
|
|
|
Income from continuing operations |
11.6 |
|
|
|
|
|
|
|
Loss from discontinued operations |
(2.5) |
|
|
|
|
|
|
|
Net income |
9.1 |
|
|
|
|
|
|
|
Net income attributable to noncontrolling interests |
(1.9) |
|
|
|
|
|
|
|
Net income attributable to IDT Corporation |
$ 7.2 |
|
|
|
|
|
|
|
IDT Corporation Reconciliation of Adjusted EBITDA to Net Loss |
|
Figures may not foot or cross-foot due to rounding to millions. |
$ in millions |
Total IDT Corporation |
|
Telecom Platform Services |
Consumer Phone Services |
IDT Energy |
Alternative Energy |
All Other |
Corporate |
Three Months Ended October 31, 2008 (Q1 2009) |
|
|
|
|
|
|
|
|
Revenues |
$ 403.8 |
|
$ 320.1 |
$ 15.4 |
$ 67.2 |
$ - |
$ 1.1 |
$ - |
Direct cost of revenues |
312.9 |
|
258.1 |
7.3 |
47.0 |
- |
0.6 |
- |
Selling, general and administrative |
85.6 |
|
57.8 |
3.4 |
8.7 |
0.1 |
4.6 |
11.1 |
Bad debt |
1.6 |
|
2.4 |
(1.2) |
0.4 |
- |
- |
- |
Research and development |
1.6 |
|
0.8 |
- |
- |
0.8 |
- |
- |
Adjusted EBITDA |
2.0 |
|
1.0 |
5.9 |
11.1 |
(0.9) |
(4.1) |
(11.1) |
Subtract (Add): |
|
|
|
|
|
|
|
|
Depreciation and amortization |
12.9 |
|
11.1 |
0.3 |
- |
- |
1.1 |
0.3 |
Impairments |
- |
|
- |
- |
- |
- |
- |
- |
Restructuring charges |
1.2 |
|
(0.8) |
- |
- |
- |
0.7 |
1.3 |
(Loss) income from operations |
(12.1) |
|
$ (9.3) |
$ 5.6 |
$ 11.1 |
$ (0.9) |
$ (5.9) |
$ (12.7) |
Interest income, net |
0.4 |
|
|
|
|
|
|
|
Other expense, net |
(21.0) |
|
|
|
|
|
|
|
Loss from continuing operations before income taxes |
(32.7) |
|
|
|
|
|
|
|
Provision for income taxes |
(2.8) |
|
|
|
|
|
|
|
Loss from continuing operations |
(35.5) |
|
|
|
|
|
|
|
Loss from discontinued operations |
(2.1) |
|
|
|
|
|
|
|
Net loss |
(37.6) |
|
|
|
|
|
|
|
Net loss attributable to noncontrolling interests |
0.3 |
|
|
|
|
|
|
|
Net loss attributable to IDT Corporation |
$ (37.3) |
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|
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Dec 10, 2009 |
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