Ituran Q2 rev up 2% YoY, adds 40,000 new subscribers.

• Ituran Q2 revenue at $86.8mln, up 2% YoY • Added 40,000 net new subscribers • Net income rose 2% to $13.5mln • EBITDA fell 1% to $22.9mln • Declared quarterly dividend of $10mln, or $0.50 per share • Co-CEO Eyal Sheratzky: steady growth in subscriber base and financial performance

Ituran Location and Control Ltd. (ITRN), a leading provider of location-based services, announced its second-quarter 2025 financial results on Tuesday, August 19, 2025. The company reported a 2% year-over-year (YoY) increase in revenue to $86.8 million, adding 40,000 net new subscribers to its subscriber base. Net income rose by 2% to $13.5 million, while EBITDA decreased by 1% to $22.9 million. The company also declared a quarterly dividend of $10.0 million, or $0.50 per share.

Co-CEO Eyal Sheratzky commented, "I am pleased to report another solid quarter for Ituran. Despite the temporary cessation of new car sales in Israel due to the war with Iran, we achieved steady growth in our subscriber base and financial performance." He further highlighted the company's ongoing expansion in its large subscriber base across target geographies and the launch of new telematics products and services.

The quarter's revenue growth was impacted by the strength of the US dollar against local currencies, with revenues growing by 4% in local currencies. Subscription fees contributed 73% of the total revenue, up 6% YoY, while product revenues decreased by 6% YoY due to the war's impact on new sales. Gross profit increased by 8% YoY to $42.9 million, with a gross margin of 49.5% on revenues. Operating income grew by 3% YoY to $18.3 million, while net income increased by 2% YoY to $13.5 million.

The company's balance sheet as of June 30, 2025, showed net cash, including marketable securities, of $88.7 million, an increase of $11.3 million from the end of 2024. The company also declared a quarterly dividend of $10.0 million, reflecting its strong profitability and positive cash flow.

Ituran's strong performance in the second quarter sets a promising foundation for the remainder of 2025, with the company expecting to grow its subscriber base by 220,000 to 240,000 net new subscribers. The company will continue to focus on expanding its services and launching new products to drive growth and profitability.

References:

[1] https://seekingalpha.com/news/4486642-ituran-location-q2-2025-earnings-preview
[2] https://www.prnewswire.com/news-releases/ituran-presents-second-quarter-2025-results-302533296.html