• |
Number of subscribers reached 2,252,000 at year-end adding a record 186,000 in 2023 in line with guidance;
|
• |
Record financial metrics across the board with revenue at $320.0 million, an increase of 9% year-over-year;
|
• |
Net income of $48.1 million, an increase of 30% year-over-year;
|
• |
EBITDA of $87.0 million, an increase of 10% year-over-year;
|
• |
Generated $77.2 million in full year operating cash flow;
|
• |
Year-end net cash position and marketable securities of $53.0 million;
|
• |
Returns to shareholders: declared a total of $19 million in dividends that relates to the results throughout 2023 and bought back shares in the amount of $6.6 million
during the year;
|
• |
Net subscriber growth of 42,000 with a net increase in aftermarket subscribers of 38,000 and a net increase in OEM subscribers of 4,000;
|
• |
Revenue reached $77.8 million, a 4% increase year-over-year;
|
• |
Net income increased to $12.0 million, up by 26% year-over-year;
|
• |
EBITDA grew to $21.9 million, a 7% increase year-over-year;
|
• |
Operating cash flow of $21.8 million;
|
• |
The Board increased the dividend policy by 60% to $8 million, given the ongoing growing profitability and strong operating cash flow.
|
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
|
||||||||
December 31,
|
||||||||
(In thousands)
|
2023
|
2022
|
||||||
Current assets
|
||||||||
Cash and cash equivalents
|
53,434
|
27,850
|
||||||
Investments in marketable securities
|
119
|
316
|
||||||
Accounts receivable (net of allowance for doubtful accounts)
|
45,390
|
45,821
|
||||||
Other current assets
|
52,724
|
48,156
|
||||||
Inventories
|
26,872
|
28,509
|
||||||
178,539
|
150,652
|
|||||||
Long-term investments and other assets
|
||||||||
Investments in affiliated companies
|
714
|
1,188
|
||||||
Investments in other companies
|
2,213
|
1,779
|
||||||
Other non-current assets
|
3,989
|
3,129
|
||||||
Deferred income taxes
|
14,452
|
11,400
|
||||||
Funds in respect of employee rights upon retirement
|
18,525
|
15,146
|
||||||
39,893
|
32,642
|
|||||||
Property and equipment, net
|
41,955
|
45,598
|
||||||
Operating lease right-of-use assets, net |
8,071
|
9,905
|
||||||
Intangible assets, net
|
10,830
|
12,620
|
||||||
Goodwill
|
39,400
|
39,510
|
||||||
Total assets
|
318,688
|
290,927
|
US dollars
|
||||||||
December 31,
|
||||||||
(In thousands)
|
2023
|
2022
|
||||||
Current liabilities
|
||||||||
Credit from banking institutions
|
355
|
11,845
|
||||||
Accounts payable
|
20,842
|
21,937
|
||||||
Deferred revenues
|
27,117
|
21,783
|
||||||
Other current liabilities
|
44,150
|
37,407
|
||||||
92,464
|
92,972
|
|||||||
Long-term liabilities
|
||||||||
Long term loan
|
237
|
345
|
||||||
Liability for employee rights upon retirement
|
24,562
|
21,224
|
||||||
Deferred income taxes
|
1,116
|
1,534
|
||||||
Deferred revenues
|
13,259
|
13,036
|
||||||
Operating lease liabilities, non-current
|
4,774
|
6,886
|
||||||
Others non-current liabilities
|
2,027
|
2,071
|
||||||
45,975
|
45,096
|
|||||||
Stockholders’ equity
|
174,454
|
145,797
|
||||||
Non-controlling interests
|
5,795
|
7,062
|
||||||
Total equity
|
180,249
|
152,859
|
||||||
Total liabilities and equity
|
318,688
|
290,927
|
ITURAN LOCATION AND CONTROL LTD.
|
US dollars
|
US dollars
|
|||||||||||||||
(in thousands
|
Year ended
December 31, |
Three months period
ended December 31, |
||||||||||||||
except per share data)
|
2023
|
2022
|
2023
|
2022
|
||||||||||||
Revenues:
|
||||||||||||||||
Telematics services
|
234,541
|
209,558
|
59,426
|
53,887
|
||||||||||||
Telematics products
|
85,437
|
83,514
|
18,382
|
21,061
|
||||||||||||
319,978
|
293,072
|
77,808
|
74,948
|
|||||||||||||
Cost of revenues:
|
||||||||||||||||
Telematics services
|
98,707
|
90,129
|
25,080
|
22,674
|
||||||||||||
Telematics products
|
68,110
|
65,381
|
14,328
|
16,421
|
||||||||||||
166,817
|
155,510
|
39,408
|
39,095
|
|||||||||||||
Gross profit
|
153,161
|
137,562
|
38,400
|
35,853
|
||||||||||||
Research and development expenses
|
16,986
|
16,848
|
4,240
|
4,616
|
||||||||||||
Selling and marketing expenses
|
13,643
|
13,327
|
3,535
|
3,302
|
||||||||||||
General and administrative expenses
|
56,635
|
48,705
|
14,305
|
12,574
|
||||||||||||
Other expenses (income), net
|
(58
|
)
|
(92
|
)
|
(185
|
)
|
57
|
|||||||||
Operating income
|
65,955
|
58,774
|
16,505
|
15,304
|
||||||||||||
Other income, net
|
2
|
-
|
5
|
-
|
||||||||||||
Financing expenses, net
|
(1,552
|
)
|
(5,944
|
)
|
(1,653
|
)
|
(1,292
|
)
|
||||||||
Income before income tax
|
64,405
|
52,830
|
14,857
|
14,012
|
||||||||||||
Income tax expenses
|
(13,355
|
)
|
(12,745
|
)
|
(2,534
|
)
|
(3,747
|
)
|
||||||||
Share in profit (losses) of affiliated companies, net
|
(706
|
)
|
(585
|
)
|
116
|
(173
|
)
|
|||||||||
Net income for the period
|
50,344
|
39,500
|
12,439
|
10,092
|
||||||||||||
Less: Net income attributable to non-controlling interest
|
(2,207
|
)
|
(2,397
|
)
|
(420
|
)
|
(520
|
)
|
||||||||
Net income attributable to the Company
|
48,137
|
37,103
|
12,019
|
9,572
|
||||||||||||
Basic and diluted earnings per share attributable to Company’s stockholders
|
2.40
|
1.82
|
0.60
|
0.47
|
||||||||||||
Basic and diluted weighted average number of shares outstanding (in thousands)
|
20,061
|
20,418
|
19,959
|
20,242
|
US dollars
|
US dollars
|
|||||||||||||||
Year ended
December 31, |
Three months period
ended December 31, |
|||||||||||||||
(in thousands)
|
2023
|
2022
|
2023
|
2022
|
||||||||||||
Cash flows from operating activities
|
||||||||||||||||
Net income for the period
|
50,344
|
39,500
|
12,439
|
10,092
|
||||||||||||
Adjustments to reconcile net income to net cash from operating
activities:
|
||||||||||||||||
Depreciation and amortization
|
21,068
|
20,134
|
5,407
|
5,263
|
||||||||||||
Loss in respect of marketable securities and other investments
|
89
|
3,860
|
32
|
20
|
||||||||||||
Increase (decrease) in liability for employee rights upon retirement
|
2,507
|
1,243
|
226
|
(58
|
)
|
|||||||||||
Share in losses (profit) of affiliated company, net
|
706
|
585
|
(116
|
)
|
173
|
|||||||||||
Deferred income taxes
|
(3,125
|
)
|
(737
|
)
|
(1,430
|
)
|
(622
|
)
|
||||||||
Capital losses (gain) on sale of property and equipment, net
|
89
|
(224
|
)
|
54
|
80
|
|||||||||||
Decrease (increase) in accounts receivable
|
(26
|
)
|
(5,104
|
)
|
1,769
|
(812
|
)
|
|||||||||
Decrease (increase) in other current and non-current assets
|
(3,169
|
)
|
(11,055
|
)
|
940
|
(832
|
)
|
|||||||||
Decrease (increase) in inventories
|
1,102
|
(5,835
|
)
|
201
|
2,975
|
|||||||||||
Increase (decrease) in accounts payable
|
(1,863
|
)
|
1,419
|
1,090
|
(1,157
|
)
|
||||||||||
Increase in deferred revenues
|
5,703
|
2,169
|
935
|
1,162
|
||||||||||||
Increase (decrease) in other current and non-current liabilities
|
3,793
|
(837
|
)
|
232
|
(370
|
)
|
||||||||||
Net cash provided by operating activities
|
77,218
|
45,118
|
21,779
|
15,914
|
||||||||||||
Cash flows from investment activities
|
||||||||||||||||
Increase in funds in respect of employee rights upon
|
||||||||||||||||
retirement, net of withdrawals
|
(2,384
|
)
|
(868
|
)
|
(451
|
)
|
(320
|
)
|
||||||||
Capital expenditures
|
(14,243
|
)
|
(26,505
|
)
|
(4,050
|
)
|
(7,747
|
)
|
||||||||
Investments in affiliated and other companies, net
|
(800
|
)
|
(1,076
|
)
|
(244
|
)
|
(386
|
)
|
||||||||
Proceed from (repayment of) long term deposit
|
(100
|
)
|
147
|
40
|
60
|
|||||||||||
Sale of (Investment in) marketable securities
|
99
|
(103
|
)
|
-
|
-
|
|||||||||||
Proceeds from sale of property and equipment
|
199
|
1,051
|
55
|
203
|
||||||||||||
Net cash used in investment activities
|
(17,229
|
)
|
(27,354
|
)
|
(4,650
|
)
|
(8,190
|
)
|
||||||||
Cash flows from financing activities
|
||||||||||||||||
Repayment of long-term credit
|
(11,732
|
)
|
(16,450
|
)
|
(244
|
)
|
(4,009
|
)
|
||||||||
Short term credit from banking institutions, net
|
299
|
-
|
(1,187
|
)
|
-
|
|||||||||||
Dividend paid
|
(11,561
|
)
|
(11,465
|
)
|
(2,943
|
)
|
(2,844
|
)
|
||||||||
Dividend paid to non-controlling interests
|
(3,327
|
)
|
-
|
-
|
-
|
|||||||||||
Acquisition of company shares
|
(6,613
|
)
|
(8,445
|
)
|
-
|
(2,999
|
)
|
|||||||||
Net cash used in financing activities
|
(32,934
|
)
|
(36,360
|
)
|
(4,374
|
)
|
(9,852
|
)
|
||||||||
Effect of exchange rate changes on cash and cash equivalents
|
(1,471
|
)
|
(3,860
|
)
|
800
|
(90
|
)
|
|||||||||
Net change in cash and cash equivalents
|
25,584
|
(22,456
|
)
|
13,555
|
(2,218
|
)
|
||||||||||
Balance of cash and cash equivalents at beginning of period
|
27,850
|
50,306
|
39,879
|
30,068
|
||||||||||||
Balance of cash and cash equivalents at end of period
|
53,434
|
27,850
|
53,434
|
27,850
|