v3.25.2
Segments
 12 Months Ended
Dec. 31, 2024
Segments [Abstract]  
SEGMENTS
NOTE 27 –SEGMENTS

 

a.Business segments – chief reporting:

 

The operating segments are identified on the basis of information that is reviewed by the chief operating decision maker (“CODM”) to make decisions about resources to be allocated and assess its performance. Accordingly, for management purposes, the Group is organized into two operating segments based on the products and services of the business units and has operating segments as follows.

 

  1. Product and Technology Segment – the Company develops and markets integrated cybersecurity hardware/software solutions that allow organizations to protect their RAM or confidential computing data to create a reliable work environment. The Company offers data and cybersecurity and system security and reliability solutions and related services such as consulting, planning, training, integrating and ongoing servicing of cybersecurity, risk management, system quality, reliability and security projects and fully managed corporate cybersecurity services.
  2. Professional Services Segment – the Company offers data and cybersecurity and system security and reliability solutions and related services such as consulting, planning, training, integrating and ongoing servicing of cybersecurity, risk management, system quality, reliability and security projects and fully managed corporate cybersecurity services. These segments share a unified product development, operations, and administrative resources.

 

Revenues and part of the expenses are allocated directly to business segments whereas joint expenses are not allocated to segments. The assets and liabilities that are not allocated consist of joint operational assets and liabilities that are shared by the various operating segments. The Company deems it is impractical to separate them. Segment asset and liability performances and segment income (loss) are estimated based on the operating income (loss) presented in the financial statements.

 

Below is data relating to business segments:

 

   Year ended December 31, 2024 
   Professional
services		   Products
and
technology		   Unallocated*   Total 
   USD in thousands 
                 
Revenues from external customers   28,523    1,039    
   -
    29,562 
                     
Total revenues   28,523    1,039    
-
    29,562 
                     
Segment results (operating loss)**   (17,086)   (9,137)   
-
    (26,223)
                     
Finance expenses, net                  (10,366)
                     
Loss before taxes on income                  (36,589)
   Year ended December 31, 2023 
   Professional
services		   Products
and
technology		   Unallocated*   Total 
   USD in thousands 
                 
Revenues from external customers   41,589    1,068    
-
    42,657 
                     
Total revenues   41,589    1,068    
-
    42,657 
                     
Segment results (operating loss)**   (30,690)   (33,153)   (13,882)   (77,725)
                     
Finance expenses, net                  6,710 
                     
Loss before taxes on income                  (84,435)

 

*

Expenses related to RNER merger transaction and ELOC See Note 5 and Note 28 respectively.
**In the year ended December 31, 2023, the Company recorded impairment of goodwill and intangible assets related to professional service and product and technology segments in the amount of $12,735 thousand and $2,523 thousand, respectively.

 

b.Geographical segments:

 

Below is revenue by country, based on customer location, geographical segments were not analyzed due to immateriality (most of the Company revenues and the carrying amounts of non-current assets are in the Company’s country of domicile (Israel)):

 

Year ended December 31, 2024

 

   Israel   America   Europe   Asia Pacific   Total 
   USD in thousands 
                     
Revenues   

27,808

    699    1,055    
    -
    29,562 

 

Main customers:

 

   Year ended
December 31,
2024		 
   USD
in thousands		 
Turnover with main customers (1):    
Customer A   2,373 
Customer B   2,104 
      
    4,477 

(1) Customers in the Professional Services segment.

 

   % of
total sales		 
     
Customer A   8.02%
Customer B   7.11%
    15.13%

 

Year ended December 31, 2023

 

   Israel   America   Europe   Asia Pacific   Total 
   USD in thousands 
                     
Revenues   40,364    334    1,669    290    42,657 

 

Main customers:

 

   Year ended
December 31,
2023		 
   USD
in thousands		 
Turnover with main customers (1):    
Customer A   7,602 
Customer B   4,726 
      
    12,328 

 

(1) Customers in the Professional Services segment.

 

   % of
total sales		 
     
Customer A   17.82%
Customer B   11.08%
    28.9%