Ituran Location and Control Ltd. (ITRN): History, Ownership, Mission, How It Works & Makes Money

How does a company that started with Stolen Vehicle Recovery (SVR) now command a subscriber base of over 2,588,000 across more than 20 countries, making a significant mark in the smart-mobility sector? Ituran Location and Control Ltd. (ITRN) just reported a record third quarter of 2025, with revenues climbing to $92.3 million, an 11% year-over-year jump, largely fueled by subscription fees that represent 73% of their top line. This consistent growth, plus the recent launch of their IturanMOB solution in the US, shows they are defintely more than just a tracking service, so what is the core business model driving this 30-year-old telematics leader?

Ituran Location and Control Ltd. (ITRN) History

You want to understand the foundation of Ituran Location and Control Ltd. (ITRN), the global telematics leader. The direct takeaway is that Ituran's success stems from a strategic pivot from a military-developed technology base in Israel to a subscription-based, Stolen Vehicle Recovery (SVR) model, which was aggressively and successfully exported to high-theft markets like Brazil starting in 1999. This early global expansion and focus on recurring revenue is what drives the company's current strength, evidenced by a Q3 2025 revenue of $92.3 million.

Given Company's Founding Timeline

The company's origin story is less a startup garage tale and more a corporate spin-off. Ituran was established to commercialize a military-grade tracking technology initially developed by the Tadiran conglomerate. This provided a ready-made, high-precision technology base from day one.

Year established

The company was formally established in 1995, following its incorporation in Israel in February 1994.

Original location

The headquarters are located in Azour, Israel, which remains the primary base of operations.

Founding team members

The foundational leadership team included Izzy Sheratzky, who served as President and an early CEO, and Yehuda Kahane, a co-founder and long-time board member. The Sheratzky family has been central to the company's evolution, with Eyal Sheratzky and Nir Sheratzky serving as Co-Chief Executive Officers since 2003.

Initial capital/funding

While the initial funding for the 1995 acquisition from Tadiran is not public, the first major capital-raising events that fueled international growth were the 1998 Initial Public Offering (IPO) on the Tel Aviv Stock Exchange (TASE) and a $12 million cash investment received in February 2000 from Leonardo L.P. This early cash infusion was critical for scaling the service model.

Given Company's Evolution Milestones

The company's trajectory shows a clear pattern of leveraging its core SVR technology to enter new, high-growth markets and then diversifying into broader telematics (connected-car services) and insurance (Usage-Based Insurance, or UBI).

Given Company's Transformative Moments

The real transformation for Ituran came from two key strategic decisions: moving from a product-sale model to a recurring subscription model and aggressively targeting high-risk, high-reward international markets.

• The Subscription Model Lock-in: The company's core business is built on Stolen Vehicle Recovery (SVR) services, which are paid for via monthly subscription fees. This shift created a high-visibility, high-margin business model, with subscription fees contributing $67.6 million (or 73%) of the Q3 2025 revenue. That's a strong foundation you can defintely build on.
• The Latin American Bet: The early and deep commitment to Latin America, starting with Brazil in 1999, proved transformative. The high rate of vehicle theft in the region made SVR services a necessity, not a luxury, allowing Ituran to scale its subscriber base to over 2.5 million globally by the end of Q3 2025. This market dominance is crucial.
• The Connected-Car Diversification: Recognizing that location data is valuable beyond just recovery, Ituran expanded its services to include fleet management, connected-car services, and UBI solutions. This diversification is key to future growth, with the company projecting to add between 220,000 and 240,000 net new subscribers in 2025 alone.

Here's the quick math: the company's strong operational cash flow, which was $21.3 million in Q3 2025, allows it to fund new initiatives like the US launch of IturanMOB and maintain a strong balance sheet with net cash of $93.1 million as of September 30, 2025. This financial health gives them flexibility. To understand how these strategic moves translate into current valuation, you should check out Breaking Down Ituran Location and Control Ltd. (ITRN) Financial Health: Key Insights for Investors.

Ituran Location and Control Ltd. (ITRN) Ownership Structure

Ituran Location and Control Ltd. (ITRN) is a publicly traded company, listed on the NASDAQ stock exchange since its 2005 IPO, which means its ownership is distributed among a mix of institutional funds, company insiders, and the general public. This structure ensures a degree of transparency and liquidity, but also means that a significant portion of the decision-making power rests with large institutional investors and the founding family's interests.

Given Company's Current Status

Ituran Location and Control Ltd. is a global leader in telematics and location-based services, operating as a public company under the ticker ITRN on the NASDAQ. This public status requires rigorous financial disclosures, giving you clear visibility into its performance, like the Q3 2025 revenue of $92.3 million and net income of $14.6 million reported in November 2025. The company's 20-year history on the NASDAQ, celebrated in November 2025, underscores its stability and commitment to shareholder value, including a quarterly dividend of $0.50 per share declared for Q3 2025.

A public listing means the company's strategic direction, while guided by the board and management, is ultimately accountable to a diverse shareholder base, which can influence everything from capital allocation to executive compensation. If you want to dive deeper into the major players, you should check out Exploring Ituran Location and Control Ltd. (ITRN) Investor Profile: Who's Buying and Why?

Given Company's Ownership Breakdown

The company's ownership structure is characterized by a strong presence of institutional capital alongside a considerable insider stake, which is common for a family-founded technology firm. As of the most recent filings around the 2025 fiscal year, institutional investors hold the majority of shares, but the insider position is substantial enough to maintain significant influence over corporate strategy. Here's the quick math on the breakdown:

The high insider ownership, nearly 20%, is a defintely a factor to watch; it signals management's long-term commitment, but also means their interests are heavily weighted in decision-making.

Given Company's Leadership

The company is steered by a seasoned leadership team, many of whom have deep roots in the company, ensuring continuity and a clear understanding of the telematics market. The average tenure for the management team is notably high at 22.8 years, and the board averages 25.3 years, which speaks to stability. The Sheratzky family plays a central role in both the executive management and the board of directors.

• Ze'ev Koren: Chairman of the Board of Directors.
• Eyal Sheratzky: Co-Chief Executive Officer (Co-CEO) and Member of the board, a key public face of the company.
• Nir Sheratzky: Co-Chief Executive Officer (Co-CEO) and Member of the board.
• Izzy Sheratzky: President and Member of the board.
• Udi Mizrahi: Deputy CEO and V.P Finance, a crucial operational and financial leader.
• Eli Kamer: Executive VP and Chief Financial Officer (CFO), who presented Q3 2025 financial results alongside the Co-CEO.

This concentrated leadership, while experienced, means that the firm's strategic vision is tightly controlled. Still, the Co-CEO structure, with Eyal Sheratzky and Nir Sheratzky, suggests a shared executive mandate, which can help balance the demands of growth and operational efficiency.

Ituran Location and Control Ltd. (ITRN) Mission and Values

Ituran Location and Control Ltd.'s core purpose transcends simply selling products; its mission is to use advanced telematics (the blending of telecommunications and informatics) to protect mobile assets and the people who rely on them, driving the future of connected-car safety and efficiency. This commitment to protection and innovation is the cultural bedrock that supports its global operations, which now serve over 2.5 million subscribers.

Ituran Location and Control Ltd.'s Core Purpose

You're looking for the cultural DNA that powers a company's financial success, and for Ituran Location and Control Ltd., it's a clear focus on security and technological leadership. This focus is what allowed the company to report a Q3 2025 revenue of $92.3 million, a solid 10.5% year-over-year increase, showing that their values translate directly into shareholder value. Honestly, the mission is less a stiff document and more a guiding principle.

Official mission statement

While Ituran Location and Control Ltd. doesn't publish a single, formal, boilerplate mission statement, the company's stated purpose since its 1995 founding has been to pioneer and deliver advanced telematics and vehicle-recovery solutions. This is what they do, and they do it well.

• Pioneer advanced telematics and vehicle-recovery solutions.
• Remain at the forefront of technology in the mobility field.
• Bring innovative solutions that add functionality with fewer resources.
• Provide complete coverage for clients in every possible scenario.

Their mission is to be one step ahead in vehicle operation and safety. You can find a more detailed breakdown of this philosophy, including their core values of customer focus and innovation, here: Mission Statement, Vision, & Core Values of Ituran Location and Control Ltd. (ITRN).

Vision statement

The vision for Ituran Location and Control Ltd. is rooted in its original, ambitious goal: to protect vehicles and the people who rely on them using innovation. Looking ahead, this vision has evolved to embrace the next generation of mobility data, which is where the real opportunity lies.

• Use innovation to protect vehicles and the people who rely on them.
• Be at the forefront of the mobility transformation.
• Invest heavily in big data and AI-driven solutions.
• Expand service portfolios and forge new OEM (Original Equipment Manufacturer) partnerships.

The company is defintely focused on harnessing its strong cash flow to fuel sustained profitability, which is a key part of their vision for delivering exceptional shareholder value, especially after seeing Q2 2025 subscription fees reach $63.8 million.

Ituran Location and Control Ltd. slogan/tagline

Ituran Location and Control Ltd. does not use a short, official slogan or tagline in its corporate communications. Instead, the brand's identity is defined by its market reputation and the services it provides.

• The brand is synonymous with vehicle recovery.
• Represents fleet management and connectivity.

This descriptive approach highlights the tangible value they bring to their customers, which is a more concrete measure than a catchy phrase. The value is clear when you see the Q3 2025 GAAP earnings per share hit $0.74.

Ituran Location and Control Ltd. (ITRN) How It Works

Ituran Location and Control Ltd. operates by combining proprietary hardware, which is installed in vehicles and assets, with a high-margin subscription-based service model to provide real-time telematics and security solutions globally. This dual-segment approach-selling hardware products and generating recurring revenue from location-based services-is how the company delivered a Q3 2025 revenue of $92.3 million.

Ituran Location and Control Ltd.'s Product/Service Portfolio

The company's core business is split into two segments: Telematics Services, which accounted for approximately 73% of Q3 2025 revenue, and Telematics Products, which made up the remaining 27%. The total subscriber base reached 2,588,000 by the end of September 2025.

Ituran Location and Control Ltd.'s Operational Framework

The operational framework is built on a high-touch, localized service model that converts hardware sales into long-term, high-margin subscription revenue. This model is defintely working, with a gross margin on subscription revenues hitting 60.1% in Q3 2025.

• Subscription-First Revenue Focus: The primary value driver is the recurring subscription fee for location-based services, which made up the majority of the Q3 2025 revenue. This provides predictable cash flow, which is why the company maintains a strong quarterly dividend of $0.50 per share.
• Geographic Concentration: Operations are highly concentrated in markets where vehicle theft and security are top concerns, with Q3 2025 revenues showing Israel at 55% and Brazil at 23%. This focus allows for tailored, high-efficacy Stolen Vehicle Recovery services.
• Tech Incubation and Expansion: The company actively fosters innovation through the Tel-Aviv-based DRIVE startup incubator to develop smart mobility technology. This feeds the pipeline for new products like IturanMOB, which is now expanding its reach into the US market.
• Subscriber Growth Target: Management is focused on aggressive subscriber growth, projecting to add between 220,000 and 240,000 net new subscribers in 2025.

You can learn more about the company's core principles here: Mission Statement, Vision, & Core Values of Ituran Location and Control Ltd. (ITRN).

Ituran Location and Control Ltd.'s Strategic Advantages

Ituran's market success stems from a combination of proprietary technology, market dominance in high-growth regions, and a financially conservative structure that limits risk.

• Superior Stolen Vehicle Recovery (SVR) Expertise: The company's SVR recovery rate is approximately 4x the global average, a critical differentiator that allows them to partner with major insurance and financing companies. This high success rate is a direct result of their military-adapted technology and decades of operational experience.
• Latin American OEM Leadership: Ituran is the largest original equipment manufacturer (OEM) telematics provider in Latin America, integrating its solutions directly into new vehicles. This provides a massive, consistent channel for new subscriber additions.
• Financial Stability and Cash Generation: A strong balance sheet, including net cash and marketable securities of $93.1 million as of September 30, 2025, provides a buffer for market expansion and acquisition opportunities. The low debt-to-equity ratio of 0.03 also signals exceptional financial stability.
• Untapped Market Penetration: Strategic expansion into the high-growth motorcycle security market, including a partnership with BMW Motorrad in Brazil, and targeting the secondhand car market in Israel, significantly increases the total addressable market beyond traditional new car sales.

Ituran Location and Control Ltd. (ITRN) How It Makes Money

Ituran Location and Control Ltd. primarily makes money through a recurring subscription model, providing location-based telematics services like Stolen Vehicle Recovery (SVR) and fleet management to a large subscriber base. This is supplemented by one-time sales of telematics hardware and related products to both its service customers and third-party integrators.

The core business is a high-margin, sticky service that generates predictable revenue, which is why we focus on the subscriber count. You can dive deeper into the company's long-term strategy here: Mission Statement, Vision, & Core Values of Ituran Location and Control Ltd. (ITRN).

Ituran Location and Control Ltd.'s Revenue Breakdown

As of the third quarter of 2025, the company's revenue structure shows a clear and healthy dominance of high-margin subscription fees, which is the gold standard for a technology-enabled service business. Here's the quick math on the $92.3 million in total revenue for Q3 2025.

The Subscription Fees segment brought in $67.6 million in Q3 2025, which represents a strong 13% year-over-year increase. Product Revenues, which include the telematics devices themselves, accounted for $24.7 million, growing by 4% year-over-year. You want to see the service revenue growing faster, and Ituran is defintely delivering on that front.

Business Economics

The economic fundamentals of Ituran Location and Control Ltd. are driven by its subscription base and the high operating leverage inherent in telematics services.

• Subscription-Driven Profitability: The Telematics Services segment carries a gross margin of 60.1% as of Q3 2025, which is significantly higher than the Product Revenues gross margin of 23.6%. This means every new subscriber is highly accretive to the bottom line.
• Pricing Model: The company uses a tiered subscription model for its tracking services, with monthly rates ranging from $12.99 for Basic Tracking up to $39.99 for Premium Tracking per vehicle, based on January 2025 data. This allows for upselling and caters to a diverse customer base, from individual Stolen Vehicle Recovery (SVR) clients to large fleet operators.
• Subscriber Base Growth: The total subscriber base reached 2,588,000 at the end of Q3 2025, with 40,000 net new subscribers added in that quarter alone. This consistent growth is the key indicator of future recurring revenue.
• New Market Opportunities: The launch of IturanMOB in the United States, a smart-mobility solution targeting the shared-mobility and rental-fleet market, is a strategic move to tap into a large, new addressable market outside of its core Latin American and Israeli operations. This expansion is a clear opportunity for sustained growth.

Ituran Location and Control Ltd.'s Financial Performance

The company's financial results for the third quarter of 2025 demonstrate solid operational efficiency and strong cash generation, which is exactly what you want to see from a mature, subscription-based business.

• Total Revenue: Q3 2025 revenue hit a record $92.3 million, an 11% increase year-over-year, and the nine-month revenue for 2025 totaled $265.53 million.
• Net Income: Net income for Q3 2025 was $14.6 million, marking a 7% increase from the prior year.
• EBITDA: Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) was $24.6 million in Q3 2025, representing a healthy 26.7% of revenues.
• Cash Flow: Operating cash flow for Q3 2025 was robust at $21.3 million, which is critical for funding dividends and strategic investments.
• Dividends and Balance Sheet: The Board declared a quarterly dividend of $10.0 million, or $0.50 per share, supported by a strong balance sheet with net cash, including marketable securities, of $93.1 million as of September 30, 2025.

Ituran Location and Control Ltd. (ITRN) Market Position & Future Outlook

Ituran Location and Control Ltd. maintains a strong, defensible position in the global telematics and Stolen Vehicle Recovery (SVR) market, anchored by a large, recurring subscription base and a market-leading presence in Latin America and Israel. The company is strategically focused on expanding its high-margin subscription revenues by targeting new geographic regions and emerging mobility segments.

In the third quarter of 2025, the company reported robust growth, with revenue reaching $92.3 million, an 11% increase year-over-year, and a subscriber base that grew to approximately 2,588,000. This momentum is driven by its core business model, where subscription fees accounted for $67.6 million, or 73% of total revenues.

Competitive Landscape

The SVR and telematics market is highly fragmented globally, but Ituran is a dominant force in its core regions. Its competition is a mix of global auto-tech giants and regional specialists.

Opportunities & Challenges

As a seasoned financial analyst, I see Ituran's future trajectory hinging on its ability to execute its expansion strategy while mitigating regional concentration risks. Here's the quick math: adding 220,000 to 240,000 net new subscribers in 2025, as projected, directly fuels high-margin subscription revenue growth.

Industry Position

Ituran Location and Control Ltd. is a profitable, cash-generative player in the mobility technology field, with a market capitalization of approximately $734.67 million as of November 2025.

The company's position is unique because it blends high-tech telematics with a critical, on-the-ground service-Stolen Vehicle Recovery-which has a proven success rate. That combination is defintely hard to replicate.

• Subscription-Driven Stability: The 2.59 million subscriber base provides a highly predictable stream of recurring revenue, which is the backbone of its financial stability.
• Cash Flow Strength: Operating cash flow for Q3 2025 was a strong $21.3 million, allowing the company to maintain a quarterly dividend of $0.50 per share.
• Regional Dominance: Ituran is the largest OEM telematics provider in Latin America, a high-growth region where vehicle theft rates drive demand for SVR solutions.