William Vaughan's questions to IDT (IDT) leadership • Q4 2025
Question
William Vaughan from Corient inquired about the reasons behind the increased churn rate in NRS terminals, specifically asking if it was due to competition or other factors, and whether new competitors were startups or established players. He also questioned the sustainability of BOSS Money's strong digital growth rate given market maturity and external factors like immigration policy. Finally, Mr. Vaughan asked about IDT's M&A strategy, specifically if the company would prioritize smaller or larger acquisitions after a recent sizable opportunity did not materialize.
Answer
IDT CEO Shmuel Jonas attributed NRS churn to immigration enforcement impacting store closures, increased competition from both startups and legacy players like Clover, card scheme non-compliance claims, and recent technical issues with equipment, which are now largely resolved. For BOSS Money, Mr. Jonas acknowledged potential growth moderation due to market maturity and immigration policy shifts but highlighted mitigating factors like new digital initiatives and the upcoming federal tax on cash remittances. CFO Marcelo Fischer noted a budgeted high-teens growth rate for BOSS Money revenue. Regarding M&A, Mr. Jonas indicated a preference for smaller acquisitions due to fewer large opportunities meeting their criteria, but stressed a current focus on organic growth and internal investments.