ITURAN PRESENTS THIRD QUARTER 2025 RESULTS

Record revenue of $92.3 million and added 40,000 net new subscribers in the quarter

Ituran Location and Control Ltd. (NASDAQ: ITRN) today announced its consolidated financial results for the third quarter, ended September 30, 2025.

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Highlights of the Third Quarter of 2025

— Added 40,000 net subscribers in the quarter.

— Revenue of $92.3 million, an 11% increase year-over-year.

— Net income increased to $14.6 million, a 7% increase year-over-year.

— EBITDA totaled $24.6 million, a 6% increase year-over-year.

— The Board declared a quarterly dividend of $10.0 million, or $0.50 per share.

Management Comment

Eyal Sheratzky, Co-CEO of Ituran said, “The third quarter marked a strong quarter for Ituran, in particular, we showed strong subscription revenue growth. Ituran's overall subscriber growth is being driven by our long-term efforts and success in bringing customers new value-adding telematics and connected-car products and services, as well as adding additional OEM partners to our growing roster.”

Continued Mr. Sheratzky, “I am excited that during the quarter, following its success in Brazil, we have launched operations for IturanMOB in the United States. IturanMOB is our unique smart-mobility solution enabling remote vehicle access, real-time telematics and efficient fleet management for shared-mobility and rental-fleet application. We believe this creates an additional long term growth engine for Ituran with a large untapped addressable market alongside our core telematics and subscriber-based businesses.”

Concluded Mr. Sheratzky, “In celebration of 20 years as a public company and 30 years as a Company, we look forward to opening the Nasdaq marketon November 25 and we thank both the Nasdaq as well as our shareholders for their long-term support of our business.”

Third Quarter 2025 Results

Revenues for the quarter were $92.3 million, an increase of 11% compared with $83.5 million in the third quarter of 2024. 73% of revenues were from location-based service subscription fees and 27% were from product revenues.

Revenues from subscription fees for the quarter were $67.6 million, an increase of 13% year-over-year. The subscriber base grew to 2,588,000 by the end of September 2025, marking a quarterly increase of 40,000 and a year-over-year increase of 219,000.

Product revenues for the quarter were $24.7 million, an increase of 4% year-over-year.

Gross profit for the quarter was $46.4 million (50.3% of revenues), a 16% increase compared with $40.2 million (48.1% of revenues) in the third quarter of 2024.

Gross margin on subscription revenues was 60.1%, compared to 58.8% last year. Gross margin on product revenues was 23.6%, compared to 21.5% last year. The variance in the product gross margin between quarters reflects changes in the mix of products sold in the quarter.

Operating income for the quarter was $19.6 million (21.3% of revenues), a 7% increase compared with $18.4 million (22.0% of revenues) in the third quarter of 2024.

EBITDA for the quarter was $24.6 million (26.7% of revenues), a 6% increase compared with $23.3 million (27.9% of revenues) in the third quarter of 2024.

Net income for the quarter was $14.6 million (15.9% of revenues), or $0.74 per diluted share, an increase of 7% compared to $13.7 million (16.4% of revenues), or $0.69 per diluted share, in the third quarter of 2024.

Cash flow from operations for the quarter was $21.3 million.

On the balance sheet, as of September 30, 2025, the Company had net cash, including marketable securities, of $93.1 million, compared with $77.3 million at year-end 2024.

Dividend

The Board of Directors declared a dividend of $10.0 million for the quarter. 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, Ituran purchased $1.5 million in shares under its Buy Back program. There remains approximately $5.2 million available under the buy-back program.

Conference Call Information

The Company will be hosting a video conference call via the Zoom platform later today, Tuesday, November 18, 2025 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_FseStmWFR6SpOakhbm71ow https://us06web.zoom.us/webinar/register/WN_v7fBVdwwT-KnDOQ7OfgoBA

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 changes in global political, economic, business, competitive, market and regulatory factors, as well as other factors.

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 & 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 2.5 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, Columbia, India, Canada and the United States.

For more information, please visit Ituran's website, at: www.ituran.com

Company Contact International Investor RelationsUdi Mizrahi Ehud Helftudi_m@ituran.com ituran@ekgir.comDeputy CEO & VP Finance, Ituran EK Global Investor Relations(Israel) +972 3 557 1348 (US) +1 212 378 8040ITURAN LOCATION AND CONTROL LTD.CONDENSED CONSOLIDATED BALANCE SHEETS US dollars September 30, December 31,(In thousands) 2025 2024 (unaudited)Current assetsCash and cash equivalents 93,072 77,357Investments in marketable securities 2 10Accounts receivable (net of provision for credit loss) 62,059 47,688Other current assets 49,396 46,067Inventories 25,672 23,434 230,201 194,556Long-term investments and other assetsInvestments in affiliated companies 494 519Investments in other companies 1,833 1,491Other non-current assets 5,290 5,853Deferred income taxes 14,828 12,273Funds in respect of employee rights upon retirement 26,495 21,823 48,940 41,959Property and equipment, net 39,970 33,080Operating lease right-of-use assets, net 8,323 8,947Intangible assets, net 8,932 9,011Goodwill 39,690 39,325Total assets 376,056 326,878ITURAN LOCATION AND CONTROL LTD.CONDENSED CONSOLIDATED BALANCE SHEETS (cont.) US dollars September 30, December 31,(In thousands) 2025 2024 (unaudited)Current liabilitiesCredit from banking institutions – 114Accounts payable 20,380 18,847Deferred revenues 26,620 22,857Other current liabilities 55,398 45,904 102,398 87,722Long-term liabilitiesDeferred income taxes 520 418Liability for employee rights upon retirement 32,754 27,593Deferred revenues 14,637 12,231Operating lease liabilities, non-current 4,852 5,562Other non-current liabilities 2,385 2,095 55,148 47,899Stockholders' equity 211,997 185,227Non-controlling interests 6,513 6,030Total equity 218,510 191,257Total liabilities and equity 376,056 326,878ITURAN LOCATION AND CONTROL LTD.CONDENSED CONSOLIDATED STATEMENTS OF INCOME US dollars Nine months period Three months period ended September 30, ended September 30,(in thousands, except earnings per share) 2025 2024 2025 2024Revenues: (unaudited) (unaudited)Telematics services 193,486 180,943 67,550 59,591Telematics products 72,040 72,431 24,728 23,888 265,526 253,374 92,278 83,479Cost of revenues: 79,684 75,320 26,950 24,574Telematics servicesTelematics products 54,477 58,550 18,903 18,748 134,161 133,870 45,853 43,322Gross profit 131,365 119,504 46,425 40,157Research and development expenses 15,654 13,607 5,734 4,490Selling and marketing expenses 13,491 11,291 4,857 4,019General and administrative expenses 45,586 41,571 16,217 13,264Other expenses (income), net 18 (99) (9) 24Operating income 56,616 53,134 19,626 18,360Financing income (expenses), net (1,122) 165 (340) 34Income before income tax 55,494 53,299 19,286 18,394Income tax expenses (11,221) (11,234) (3,892) (4,029)Share in losses of affiliated companies, net (31) (301) (13) (179)Net income for the period 44,242 41,764 15,381 14,186Less: net income attributable to non-controlling interest (1,552) (1,948) (736) (533)Net income attributable to the company 42,690 39,816 14,645 13,653Basic and diluted earnings per share attributable to company's stockholders 2.15 2.00 0.74 0.69Basic and diluted weighted average number of shares outstanding 19,892 19,894 19,889 19,894ITURAN LOCATION AND CONTROL LTD.CONSOLIDATED STATEMENTS OF CASH FLOWS US dollars Nine months period Three months period ended September 30, ended September 30,(in thousands) 2025 2024 2025 2024 (unaudited) (unaudited)Cash flows from operating activitiesNet income for the period 44,242 41,764 15,381 14,186Adjustments to reconcile net income to net cash from operating activities:Depreciation and amortization 14,240 15,586 5,010 4,935Loss in respect of trading marketable securities and other investments 8 85 – 50Increase in liability for employee rights upon retirement 2,134 2,245 512 565Share in losses of affiliated companies, net 31 301 13 179Deferred income taxes (891) (1,340) (504) (104)Capital loss on sale of property and equipment, net 99 14 10 109Decrease (increase) in accounts receivable (8,458) (4,792) (767) 1,752Decrease (increase) in other current and non-current assets 6,203 (5,328) 1,403 (957)Decrease (increase) in inventories (911) 2,591 (853) 1,062Decrease in accounts payable (812) (2,382) (688) (4,198)Increase (decrease) in deferred revenues 2,315 186 961 (186)Increase (decrease) in other current and non-current liabilities 1,028 2,645 865 (158)Net cash provided by operating activities 59,228 51,575 21,343 17,235Cash flows from investment activitiesIncrease in funds in respect of employee rights upon retirement, net of withdrawals (2,322) (2,337) (1,470) (822)Capital expenditures (17,169) (9,144) (5,295) (2,835)Return from (investments in) affiliated and other companies, net (49) (2) 61 (59)Repayment of (Investment in) long-term deposit 35 (81) 58 (104)Proceeds from sale of property and equipment 564 389 110 96Net cash used in investment activities (18,941) (11,175) (6,536) (3,724)Cash flows from financing activitiesShort term credit from banking institutions (114) (384) – (53)Acquisition of company shares (1,475) – (1,475) -Dividend paid (27,652) (20,291) (9,947) (7,758)Dividend paid to non-controlling interests (1,677) (3,261) – (1,631)Net cash used in financing activities (30,918) (23,936) (11,442) (9,442)Effect of exchange rate changes on cash and cash equivalents 6,346 (2,433) 952 186Net change in cash and cash equivalents 15,715 14,031 4,337 4,255Balance of cash and cash equivalents at beginning of period 77,357 53,434 88,735 63,210Balance of cash and cash equivalents at end of period 93,072 67,465 93,072 67,465

Supplementary information on financing activities not involving cash flows:

In August 2025, the Company declared a dividend in an amount of US$10 million. The dividend was paid in October 2025.

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SOURCE Ituran Location and Control Ltd.

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