Ituran Location and Control (NASDAQ: ITRN) Q2 2026 profit jumps 29%
Rhea-AI Filing Summary
Ituran Location and Control reported a strong second quarter of 2026, with record revenue of $104.8 million, up 21% from $86.8 million a year earlier. Subscription-based services remained the core of the business, contributing 76% of revenue, while products contributed 24%.
Subscription revenue rose 25% to $79.8 million as the subscriber base grew to 2,711,000, a net increase of 41,000 in the quarter and 163,000 year-over-year. Gross profit reached $53.4 million (50.9% margin), above last year’s $42.9 million (49.5%). Operating income increased 30% to $23.8 million, and EBITDA climbed 24% to a record $28.5 million.
Net income attributable to the company for the quarter was $17.3 million, up 29% from $13.5 million, with diluted EPS of $0.88 versus $0.68. Operating cash flow was $32.2 million, and net cash including marketable securities stood at $103.7 million with no debt as of June 30, 2026. The board declared a $10 million dividend ($0.50 per share) and the company repurchased $3.0 million of shares under its buyback program, leaving about $10 million authorized.
Positive
- Revenue growth above 20%: Q2 2026 revenue was $104.8 million, up 21% year-over-year, with subscription revenue up 25%, indicating strong demand and a growing recurring base.
- Profitability expanding faster than sales: Operating income rose 30% and net income increased 29%, outpacing revenue growth and reflecting improved margins and operating leverage.
- Record EBITDA and solid cash generation: EBITDA reached a record $28.5 million, up 24%, while operating cash flow for the quarter was $32.2 million, supporting internal funding and shareholder returns.
- Healthy balance sheet with no debt: Net cash including marketable securities totaled $103.7 million as of June 30, 2026, providing financial flexibility alongside ongoing investments.
- Shareholder returns via dividends and buybacks: The board declared a $10 million dividend ($0.50 per share) and the company repurchased $3.0 million of shares, signaling confidence in cash generation.
Negative
- None.
Filing Explained
The $10 million dividend progressed from declaration to payment in July; the filing also records $39,761 thousand of dividends paid through June 30.
The filing states that Ituran’s
The six-month cash-flow statement records
Because the dividend was paid after the
Key Figures
Key Terms
location-based services technical
operating leverage financial
Stolen Vehicle Recovery technical
deferred revenues financial
non-controlling interests financial
EBITDA financial
AI-generated analysis. How Rhea-AI works. Not financial advice.
FAQ
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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
________________________
FORM
REPORT OF FOREIGN ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16 OF THE
SECURITIES EXCHANGE ACT OF 1934
August 12,
Commission File Number: 001-32618
(Exact name of Registrant as specified in its Charter)
________________________
(Address of Registrant’s principal executive offices)
________________________
| Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F. |
| Form 20-F ☒ Form 40-F ☐ |
| Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101 (b) (1): |
| Yes ☐ No ☒ |
| Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101 (b) (7): |
| Yes ☐ No ☒ |
| Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934. |
| Yes ☐ No ☒ |
| If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): ______ |
On August 12, 2026, Ituran Location and Control Ltd. issued a press release announcing Q2 2026 earnings results with revenues for Q2 2026 of $104.8 million and net profit on a GAAP-basis of $17.3 million.
The following document is attached hereto and incorporated by reference herein:
Exhibit 99.1 Press release, dated August 12, 2026 titled "Ituran Location & Control Reports Q2 2026 Results"
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereto duly authorized.
| ITURAN LOCATION & CONTROL LTD. | ||
| (Registrant) | ||
| By: | /s/ Eyal Sheratzky | |
| Name: Eyal Sheratzky Title: Co-Chief Executive Officer |
||
Date: August 12, 2026
Exhibit 99.1
ITURAN PRESENTS SECOND QUARTER 2026 RESULTS
Record revenue of $104.8 million, up 21%, with subscription revenue up 25% year-over-year;
EBITDA up 24% to a record $28.5 million;
AZOUR, Israel – August 12, 2026. Ituran Location and Control Ltd. (NASDAQ: ITRN) today announced its consolidated financial results for the second quarter, ended June 30, 2026.
Highlights of the Second Quarter of 2026
| · | Added 41,000 net subscribers in the quarter, bringing the total subscriber base to 2,711,000. |
| · | Record quarterly revenue of $104.8 million, a 21% increase year-over-year. |
| · | Net income of $17.3 million, a 29% increase year-over-year. |
| · | EBITDA grew to $28.5 million, a 24% increase year-over-year. |
| · | Record quarterly cash flow from operations of $32.2 million; |
| · | The Board declared a quarterly dividend of $10 million, or $0.50 per share. |
Management Comment
Eyal Sheratzky, Co-CEO of Ituran said, “The second quarter was an excellent quarter for Ituran. Revenue reached a record $104.8 million, a 21% increase year-over-year with our recurring subscription revenue growing by 25% year-over-year. Furthermore, our operating income, EBITDA and net income each grew faster than our revenue, demonstrating the operating leverage in our business model.”
Mr. Sheratzky continued, “Our growth remains broad-based across Israel and Latin America, supported by our OEM partnerships and by newer segments. Alongside the core business, our growth initiatives continue to mature. IturanMob, our car rental solution, has expanded into the United States and was recognized during the quarter with a Global Tech Insider award, our Credit Carbon initiative continues to advance, and our Big Data capabilities are gaining commercial traction. We remain confident in our ability to deliver continued growth and profitability throughout 2026.”
Second Quarter 2026 Results
Revenues for the quarter were a record $104.8 million, a 21% increase compared with $86.8 million in the second quarter of last year.
76% of revenues were from location-based service subscription fees, and 24% were from product revenues.
Revenues from subscription fees for the quarter were $79.8 million, an increase of 25% over the second quarter of last year.
The subscriber base expanded to 2,711,000 by the end of June 2026, marking a quarterly net increase of 41,000 and a year-over-year increase of 163,000.
Subscriber growth in the quarter continued to be driven by organic demand across our core stolen vehicle recovery and telematics businesses in Israel and Latin America, together with the ongoing contribution from our OEM programs.
Product revenues for the quarter were $25.0 million, an 8% increase year-over-year.
Gross profit for the quarter was $53.4 million (50.9% of revenues), a 24% increase compared with $42.9 million (49.5% of revenues) in the second quarter of last year.
Gross margin on subscription revenues improved to 58.8%, compared to 57.9% in Q2 last year. The gross margin on product revenues was 25.7%, compared to 26.0% last year. The variance in the product gross margin between quarters was due to the change in the product mix sold.
Operating income for the quarter was $23.8 million (22.7% of revenues), representing a 30% increase compared to $18.3 million (21.1% of revenues) in Q2 last year.
EBITDA for the quarter was $28.5 million (27.2% of revenues), up 24% from $22.9 million (26.4% of revenues) in the second quarter of last year.
Finance expenses for the quarter were $1.3 million, similar to finance expenses of $1.3 million in the second quarter of last year. The high level of financial expenses in the quarter was primarily due to the strength of the Israeli Shekel against the US Dollar, which lowered the value of US Dollar linked deposits held in Israel.
Net income for the second quarter of 2026 was $17.3 million (16.5% of revenues), or diluted earnings per share of $0.88, an increase of 29% compared to $13.5 million (15.5% of revenues), or $0.68 per diluted share, in the second quarter of last year.
Cash flow from operations for the quarter was $32.2 million.
On the balance sheet, as of June 30, 2026, the Company had net cash, including marketable securities, of $103.7 million, which includes no debt. This is compared with net cash, including marketable securities, of $107.6 million, as of year-end last year.
Dividend
The Board of Directors declared a dividend of $10 million for the quarter, or $0.50 per share. The current dividend takes into account the Company’s continuing strong profitability, ongoing positive cash flow, and strong balance sheet.
Buy Back
During the quarter $3.0 million in shares were purchased under the Company’s share buy-back program. The total remaining authorization is approximately $10 million. Share repurchases will be funded by available cash and will be made in accordance with SEC Rule 10b-18.
Conference Call Information
The Company will also be hosting a video conference call via the Zoom platform later today, Wednesday, August 12, 2026 at 9am Eastern Time and 4pm Israel Time.
On the call, management will review and discuss the results and will be available to answer investor questions.
To participate in the Zoom call, please register at the following link.
https://us06web.zoom.us/webinar/register/WN_mE4jXN-IS0ufW5K5ZyeaUg
For those unable to listen to the live call, a replay of the call will be available from the day after the call in the investor relations section of Ituran’s website.
Certain statements in this press release are "forward-looking statements" within the meaning of the Securities Act of 1933, as amended. These forward-looking statements include, but are not limited to, our plans, objectives, expectations and intentions and other statements contained in this report that are not historical facts as well as statements identified by words such as "expects", "anticipates", "intends", "plans", "believes", "seeks", "estimates" or words of similar meaning. These statements are based on our current beliefs or expectations and are inherently subject to significant uncertainties and changes in circumstances, many of which are beyond our control. Actual results may differ materially from these expectations due to, but not limited to, changes in global political, economic, business, competitive, market and regulatory factors. Forward-looking statements are not guarantees of future performance, and involve risks, uncertainties and assumptions that may cause our actual results to differ materially from the expectations that we describe in our forward-looking statements. We disclaim any obligation to update forward-looking statements, even if our assumptions and projections change, except where applicable law may otherwise require us to do so.
About Ituran
Ituran is a leader in the emerging mobility technology field, providing value-added location-based services, including a full suite of services for the connected car. Ituran offers Stolen Vehicle Recovery, fleet management as well as mobile asset location, management and control services for vehicles, cargo and personal security for the retail, insurance, financing industries and car manufacturers. Ituran is the largest OEM telematics provider in Latin America. Its products and applications are used by customers in over 20 countries. Ituran is also the founder of the Tel Aviv-based DRIVE startup incubator to promote the development of smart mobility technology.
Ituran’s subscriber base has been growing significantly since the Company’s inception to over 2.7 million subscribers using its location-based services with a market-leading position in Israel and Latin America. Established in 1995, Ituran has approximately 2,800 employees worldwide, with offices in Israel, Brazil, Argentina, Mexico, Ecuador, Colombia, India, Canada and the United States.
For more information, please visit Ituran’s website, at: www.ituran.com
Company Contact Udi Mizrahi udi_m@ituran.com Deputy CEO & VP Finance, Ituran (Israel) +972 3 557 1348 | International Investor Relations Ehud Helft ituran@ekgir.com EK Global Investor Relations (US) +1 212 378 8040 |
ITURAN LOCATION AND CONTROL LTD.
Condensed Consolidated Financial Statements
as of June 30, 2026
ITURAN LOCATION AND CONTROL LTD.
Condensed Consolidated Financial Statements
as of June 30, 2026
Table of Contents
| Page | |
| Condensed Consolidated Interim Financial Statements: | |
| Condensed Consolidated Balance Sheets | 2 - 3 |
| Condensed Consolidated Statements of Income | 4 |
| Condensed Consolidated Statements of Cash Flows | 5 |
ITURAN LOCATION AND CONTROL LTD.
CONDENSED CONSOLIDATED BALANCE SHEETS
| US dollars | ||||||||
| June 30, | December 31, | |||||||
| (In thousands) | 2026 | 2025 | ||||||
| (unaudited) | ||||||||
| Current assets | ||||||||
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| Investments in marketable securities | ||||||||
| Accounts receivable (net of provision for credit loss) | ||||||||
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| Deferred income taxes | ||||||||
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| Property and equipment, net | ||||||||
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ITURAN LOCATION AND CONTROL LTD.
CONDENSED CONSOLIDATED BALANCE SHEETS (cont.)
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| June 30, | December 31, | |||||||
| (In thousands) | 2026 | 2025 | ||||||
| (unaudited) | ||||||||
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3
ITURAN LOCATION AND CONTROL LTD.
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
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| (in thousands, except per share data) | 2026 | 2025 | 2026 | 2025 | ||||||||||||
| (unaudited) | (unaudited) | |||||||||||||||
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4
ITURAN LOCATION AND CONTROL LTD.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
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Supplementary information on financing activities not involving cash flows:
In May 2026, the Company declared a dividend in an amount of US$
5