Leases

12 Months Ended

Dec. 31, 2024

Leases [Abstract]

NOTE 9 –

LEASES

a.

Disclosures for leases in which the Company acts as lessee:

1)

The Group companies have entered into leases of buildings and motor vehicles which are used for their ongoing operations.

2)

The Company’s leases of buildings have a lease term of 2-10 years whereas leases of motor vehicles have lease terms of 3-4 years.

3)

Information on leases:

		Year ended December 31,
		2024				2023				2022
		USD in thousands

Interest expense on lease liabilities			193				181				258
Total cash outflow for leases			1,017				1,711				2,240

b.

Lease extension and termination options:

The Company has leases that include both extension and termination options. These options provide flexibility in managing the leased assets and align with the Company’s business needs.

In leases that contain noncancelable lease periods of 3-10 years, the Company did not include in the lease term the exercise of extension options existing in the lease agreements.

In leases of motor vehicles, the Company does not include in the lease term the exercise of extension options since the Company does not ordinarily exercise options that extend the lease period beyond five years (without the extension option).

c.

Disclosures in respect of right-of-use assets, net:

2024

		Office lease				Motor Vehicles				Total
		USD in thousands
Cost:

Balance as of January 1,2024			4,124				2,418				6,542
Additions during the year:
New leases			-				633				633
Terminated lease			-				(25	)			(25	)
Classification			-				(168	)			(168	)
Adjustments arising from indexation			47				-				47
Adjustments arising from translating financial statements from functional currency to presentation currency			(22	)			(7	)			(29	)

Balance as of December 31,2024			4,149				2,851				7,000

Accumulated depreciation:

Balance as of January 1,2024			2,532				1,500				4,032
Additions during the year:
Depreciation in the year			343				452				795
Adjustments arising from translating financial statements from functional currency to presentation currency			22				(1	)			21

Balance as of December 31,2024			2,897				1,951				4,848

Depreciated cost as of December 31,2024			1,252				900				2,152

2023

		Office lease				Motor Vehicles				Total
		USD in thousands
Cost:

Balance as of January 1, 2023			7,231				1,794				9,025
Additions during the year:
New leases			-				643				643
Terminated lease			(2,961	)			(80	)			(3,041	)
Classification			-				71				71
Adjustments arising from indexation			137				-				137
Other			(19	)			-				(19	)
Adjustments arising from translating financial statements from functional currency to presentation currency			(264	)			(10	)			(274	)

Balance as of December 31, 2023			4,124				2,418				6,542

Accumulated depreciation:

Balance as of January 1, 2023			1,528				990				2,518
Additions during the year:
Depreciation in the year			1,033				530				1,563
Adjustments arising from translating financial statements from functional currency to presentation currency			(29	)			(20	)			(49	)

Balance as of December 31, 2023			2,532				1,500				4,032

Depreciated cost as of December 31, 2023			1,591				918				2,510

d.

As for an analysis of maturity dates of lease liabilities, see Note 16b.

e.

The Company has leases of motor vehicles for a period of up to 12 months and low value leases of office furniture. The Company applies the practical expedient in IFRS 16 in respect of these leases and recognizes lease payments as an expense using the straight-line method over the lease term.

f.

Lease commitments:

In May 2017, the Company entered into a lease of offices in an area of 1,600 sq.m. in the city of Or Yehuda, Israel. The lease is for a period of ten years with an option for extension by another five years. The monthly lease fees are approximately NIS 110 thousand ($30 thousand), linked to the CPI of May 2017 with the addition of VAT. The lease period began on April 1, 2018.