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Ituran Location and Control: 2025 Financial Results Overview

Ituran Location and Control Ltd. recently shared their consolidated financial results for the fourth quarter and the full year of 2025, reflecting a significant upward trajectory in both subscriber growth and financial performance. This announcement marks a notable milestone for the company, showcasing its resilience and ability to thrive in today's competitive telematics sector.

Full Year Highlights

In the year ending December 31, 2025, Ituran achieved unprecedented financial metrics:

• - Subscribers: The total number of subscribers increased to 2,630,000, reflecting a net addition of 221,000 subscribers for the year. This surge represents the company's ongoing commitment to enhancing customer value through innovative telematics and connected car solutions.
• - Revenue Growth: The company reported revenues of $359.0 million, marking a 7% increase from the previous year's $336.3 million. This growth is predominantly driven by a 9% rise in subscription fees, amounting to $264.6 million for the year.
• - Net Income: Ituran's net income reached $58.0 million, an 8% growth from 2024, and diluted earnings per share stood at $2.92.
• - EBITDA: The company reported an EBITDA of $96.2 million, representing a 5% increase year-over-year. This speaks to the company's operational efficiency and strong cash flow generation, as demonstrated by a record operating cash flow of $88.6 million.
• - Dividends for Shareholders: In a display of confidence in their financial health, Ituran declared a total of $60 million in dividends for the year, resulting in a remarkable yield of approximately 7% based on the year-end share price.

Fourth Quarter Insights

The fourth quarter results reflected a similar pattern of growth:

• - Subscriber Additions: The company added a net 42,000 new subscribers during the quarter.
• - Quarterly Revenue: Revenue for Q4 soared to $93.5 million, experiencing a 13% increase compared to the same period in 2024.
• - Net Income: Net income rose to $15.3 million, marking a 10% increase year-over-year.
• - EBITDA: For the fourth quarter, EBITDA climbed to $25.3 million, a 12% improvement compared to Q4 2024.

Special Dividend Announcement

In light of these impressive results, Ituran's Board declared a special dividend of $20 million, in addition to the quarterly dividend of $10 million, bringing the total to $30 million for the quarter. This decision underscores Ituran's commitment to returning value to its shareholders, particularly in a year of remarkable growth.

Looking Ahead

Management remains optimistic about the future, with Co-CEO Eyal Sheratzky highlighting expectations of maintaining the subscriber add rate between 160,000 and 180,000 for 2026. The company continues to explore strategic partnerships, including a recent agreement with Stellantis for the 'Connect Fiat' project in South America, further solidifying its position in the market.

Sheratzky commented on Ituran's expansion into the U.S. market with IturanMob, aimed at enhancing vehicle rental processes for small to mid-sized companies. Furthermore, Ituran's ventures such as the Big Data initiative and Credit Carbon project showcase its innovative approach in adapting to market demands and technological advancements.

Conclusion

Ituran Location and Control has decisively positioned itself within the mobility technology landscape, showing robust growth through innovative services and strategic partnerships. With positive momentum heading into 2026, the company is poised to continue expanding its reach and enhancing shareholder value, solidifying its status as a leader in telematics and connected car solutions.