• |
Strong net subscriber growth of 48,000: a net increase in aftermarket of 45,000 and a net increase in OEM of 3,000;
|
• |
Revenue of $81.1 million, a 12% improvement year-over-year;
|
• |
Net income grew to $12.5 million, an increase of 24% year-over-year;
|
• |
EBITDA reached $22.5 million, a 15% increase year-over-year;
|
• |
Operating cash flow was reported at $20.5 million;
|
• |
The Company declared a dividend of $5 million and the share buyback in the quarter was $1.9 million, reflecting the company's robust
financial position.
|
Company Contact
|
International Investor Relations
|
|
Udi Mizrahi
udi_m@ituran.com
Deputy CEO & VP Finance, Ituran
(Israel) +972 3 557 1348
|
Ehud Helft
ituran@ekgir.com
EK Global Investor Relations
(US) +1 212 378 8040
|
Page
|
|
Condensed Consolidated Interim
Financial Statements:
|
|
2-3
|
|
4
|
|
5
|
US dollars
|
||||||||
September 30,
|
December 31,
|
|||||||
(in thousands)
|
2023
|
2022
|
||||||
(unaudited)
|
||||||||
Current assets
|
||||||||
Cash and cash equivalents
|
39,879
|
27,850
|
||||||
Investments in marketable securities
|
144
|
316
|
||||||
Accounts receivable (net of allowance for doubtful accounts)
|
45,481
|
45,821
|
||||||
Other current assets
|
51,888
|
48,156
|
||||||
Inventories
|
26,125
|
28,509
|
||||||
163,517
|
150,652
|
|||||||
Non- Current investments and other assets
|
||||||||
Investments in affiliated companies
|
602
|
1,188
|
||||||
Investments in other companies
|
1,780
|
1,779
|
||||||
Other non-current assets
|
3,967
|
3,129
|
||||||
Deferred income taxes
|
12,828
|
11,400
|
||||||
Funds in respect of employee rights upon retirement
|
15,790
|
15,146
|
||||||
34,967
|
32,642
|
|||||||
Property and equipment, net
|
41,589
|
45,598
|
||||||
Operating lease right-of-use assets, net
|
6,991
|
9,905
|
||||||
Intangible assets, net
|
10,852
|
12,620
|
||||||
Goodwill
|
39,213
|
39,510
|
||||||
Total assets
|
297,129
|
290,927
|
US dollars
|
||||||||
September 30,
|
December 31,
|
|||||||
(in thousands)
|
2023
|
2022
|
||||||
(unaudited)
|
||||||||
Current liabilities
|
||||||||
Credit from banking institutions
|
1,729
|
11,845
|
||||||
Accounts payable
|
18,802
|
21,937
|
||||||
Deferred revenues
|
25,139
|
21,783
|
||||||
Other current liabilities
|
39,015
|
37,407
|
||||||
84,685
|
92,972
|
|||||||
Non- Current liabilities
|
||||||||
Long term loan
|
263
|
345
|
||||||
Liability for employee rights upon retirement
|
21,819
|
21,224
|
||||||
Deferred income taxes
|
1,255
|
1,534
|
||||||
Deferred revenues
|
13,899
|
13,036
|
||||||
Others non-current liabilities
|
1,896
|
2,071
|
||||||
Operating lease liabilities, non-current
|
4,538
|
6,886
|
||||||
43,670
|
45,096
|
|||||||
Stockholders’ equity
|
163,701
|
145,797
|
||||||
Non-controlling interests
|
5,073
|
7,062
|
||||||
Total equity
|
168,774
|
152,859
|
||||||
Total liabilities and equity
|
297,129
|
290,927
|
US dollars
|
US dollars
|
|||||||||||||||
Nine months period
ended September 30, |
Three months period
ended September 30, |
|||||||||||||||
(in thousands except per share data)
|
2023
|
2022
|
2023
|
2022
|
||||||||||||
(unaudited)
|
(unaudited)
|
|||||||||||||||
Revenues:
|
||||||||||||||||
Telematics services
|
175,115
|
155,671
|
60,152
|
53,131
|
||||||||||||
Telematics products
|
67,055
|
62,453
|
20,901
|
19,533
|
||||||||||||
242,170
|
218,124
|
81,053
|
72,664
|
|||||||||||||
Cost of revenues:
|
||||||||||||||||
Telematics services
|
73,627
|
67,455
|
24,985
|
22,716
|
||||||||||||
Telematics products
|
53,782
|
48,960
|
16,658
|
15,333
|
||||||||||||
127,409
|
116,415
|
41,643
|
38,049
|
|||||||||||||
Gross profit
|
114,761
|
101,709
|
39,410
|
34,615
|
||||||||||||
Research and development expenses
|
12,746
|
12,232
|
4,392
|
4,101
|
||||||||||||
Selling and marketing expenses
|
10,108
|
10,025
|
3,502
|
3,445
|
||||||||||||
General and administrative expenses
|
42,330
|
36,131
|
14,614
|
12,433
|
||||||||||||
Other expense (income), net
|
127
|
(149
|
)
|
9
|
(31
|
)
|
||||||||||
Operating income
|
49,450
|
43,470
|
16,893
|
14,667
|
||||||||||||
Other expense, net
|
(3
|
)
|
-
|
-
|
-
|
|||||||||||
Financing income (expense), net
|
101
|
(4,652
|
)
|
(53
|
)
|
(714
|
)
|
|||||||||
Income before income tax
|
49,548
|
38,818
|
16,840
|
13,953
|
||||||||||||
Income tax expenses
|
(10,821
|
)
|
(8,998
|
)
|
(3,601
|
)
|
(3,080
|
)
|
||||||||
Share in losses of affiliated companies, net
|
(822
|
)
|
(412
|
)
|
(195
|
)
|
(291
|
)
|
||||||||
Net income for the period
|
37,905
|
29,408
|
13,044
|
10,582
|
||||||||||||
Less: Net income attributable to non-controlling interest
|
(1,787
|
)
|
(1,877
|
)
|
(530
|
)
|
(518
|
)
|
||||||||
Net income attributable to the Company
|
36,118
|
27,531
|
12,514
|
10,064
|
||||||||||||
Basic and diluted earnings per share attributable to Company’s stockholders
|
1.80
|
1.35
|
0.63
|
0.49
|
||||||||||||
Basic and diluted weighted average number of shares outstanding (in thousands)
|
20,096
|
20,435
|
19,912
|
20,347
|
US dollars
|
US dollars
|
|||||||||||||||
Nine months period ended September 30, |
Three
months period ended September 30, |
|||||||||||||||
(in thousands)
|
2023 | 2022 | 2023 | 2022 | ||||||||||||
(unaudited)
|
(unaudited)
|
|||||||||||||||
Cash flows from operating activities
|
||||||||||||||||
Net income for the period
|
37,905
|
29,408
|
13,044
|
10,582
|
||||||||||||
Adjustments to reconcile net income to net cash from operating activities:
|
||||||||||||||||
Depreciation and amortization
|
15,661
|
14,871
|
5,610
|
4,978
|
||||||||||||
Losses in respect of trading marketable securities
|
57
|
3,840
|
110
|
68
|
||||||||||||
Increase in liability for employee rights upon retirement
|
2,281
|
1,301
|
691
|
229
|
||||||||||||
Share in losses of affiliated companies, net
|
822
|
412
|
195
|
291
|
||||||||||||
Deferred income taxes
|
(1,695
|
)
|
(115
|
)
|
(301
|
)
|
(257
|
)
|
||||||||
Capital loss (gain) on sale of property and equipment, net
|
35
|
(304
|
)
|
(11
|
)
|
(9
|
)
|
|||||||||
Decrease (increase) in accounts receivable
|
(1,795
|
)
|
(4,292
|
)
|
1,157
|
759
|
||||||||||
Decrease (increase) in other current assets
|
(4,109
|
)
|
(10,223
|
)
|
2,866
|
(3,972
|
)
|
|||||||||
Decrease (increase) in inventories
|
901
|
(8,810
|
)
|
1,510
|
(4,814
|
)
|
||||||||||
Increase (decrease) in accounts payable
|
(2,953
|
)
|
2,576
|
(3,892
|
)
|
2,319
|
||||||||||
Increase (decrease) in deferred revenues
|
4,768
|
1,007
|
(459
|
)
|
465
|
|||||||||||
Increase (decrease) in other current and non-current liabilities
|
3,561
|
(467
|
)
|
17
|
761
|
|||||||||||
Net cash provided by operating activities
|
55,439
|
29,204
|
20,537
|
11,400
|
||||||||||||
Cash flows from investment activities
|
||||||||||||||||
Increase in funds in respect of employee rights upon retirement, net of withdrawals
|
(1,933
|
)
|
(548
|
)
|
(773
|
)
|
(175
|
)
|
||||||||
Capital expenditures
|
(10,193
|
)
|
(18,758
|
)
|
(3,911
|
)
|
(4,040
|
)
|
||||||||
Investments in affiliated and other companies
|
(556
|
)
|
(690
|
)
|
51
|
(90
|
)
|
|||||||||
Investment in (sale of) marketable securities
|
99
|
(103
|
)
|
-
|
-
|
|||||||||||
Proceeds from (Investments in) deposits
|
(140
|
)
|
87
|
(95
|
)
|
(43
|
)
|
|||||||||
Proceeds from sale of property and equipment
|
144
|
848
|
86
|
65
|
||||||||||||
Net cash used in investment activities
|
(12,579
|
)
|
(19,164
|
)
|
(4,642
|
)
|
(4,283
|
)
|
||||||||
Cash flows from financing activities
|
||||||||||||||||
Short term credit from banking institutions, net
|
1,486
|
(148
|
)
|
1,301
|
(49
|
)
|
||||||||||
Repayment of long-term loan
|
(11,488
|
)
|
(12,293
|
)
|
(3,581
|
)
|
(4,070
|
)
|
||||||||
Dividend paid
|
(8,618
|
)
|
(8,621
|
)
|
(3,001
|
)
|
(2,855
|
)
|
||||||||
Dividend paid to non-controlling interest
|
(3,327
|
)
|
-
|
(1,640
|
)
|
-
|
||||||||||
Acquisition of company shares purchased by a wholly owned subsidiary
|
(6,613
|
)
|
(5,446
|
)
|
(1,896
|
)
|
(2,000
|
)
|
||||||||
Net cash used in financing activities
|
(28,560
|
)
|
(26,508
|
)
|
(8,817
|
)
|
(8,974
|
)
|
||||||||
Effect of exchange rate changes on cash and cash equivalents
|
(2,271
|
)
|
(3,770
|
)
|
(1,404
|
)
|
(746
|
)
|
||||||||
Net decrease in cash and cash equivalents
|
12,029
|
(20,238
|
)
|
5,674
|
(2,603
|
)
|
||||||||||
Balance of cash and cash equivalents at beginning of the period
|
27,850
|
50,306
|
34,205
|
32,671
|
||||||||||||
Balance of cash and cash equivalents at end of the period
|
39,879
|
30,068
|
39,879
|
30,068
|