LEASES |
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| LEASES | NOTE 10 - LEASES
In December 2020, Odysight.ai entered into a lease agreement for office space in Omer, Israel (“Original Space”), with the 36-month term for such agreement beginning on January 1, 2021. In March 2021, Odysight.ai entered into a lease agreement for additional office space in Omer, Israel (“Additional Space”), with the term for such agreement ending in December 31, 2023.
On June 25, 2023, Odysight.ai entered into an amendment to these agreements pursuant to which the lease for the Additional Space was shortened and ended on June 30, 2023 and the lease for the Original Space was extended for an additional five years until December 31, 2028. It was also agreed that Odysight.ai has an option to terminate the agreement for the Original Space with six months’ notice during the first three years.
In December 2025, the Company provided six months’ notice indicating its intention to terminate the lease agreement as of May 2026.
Monthly lease payments under the agreement for the Original Space are approximately $7 thousand.
In March 2026, the Company signed a two-year lease agreement for alternative office space in Omer.
In May 2023, Odysight.ai entered into an additional lease agreement for office space in Ramat Gan, Israel. The agreement is for 48 months beginning on July 1, 2023 and the Company has an option to extend the lease period for an additional two years. The Company does not currently expect to extend the lease period. Monthly lease payments under the agreement are in the amount of approximately $25 thousand.
Odysight.ai subleases part of the additional office space in Ramat Gan to an unrelated third party for approximately $8 thousand per month.
In addition, the Company leases vehicles under various operating lease agreements.
On December 31, 2025, the Company’s ROU assets and lease liabilities for operating leases totaled $739 thousand and $770 thousand, respectively.
On December 31, 2024, the Company’s ROU assets and lease liabilities for operating leases totaled $1,113 thousand and $1,047 thousand, respectively.
Operating lease expenses were $605 thousand and $514 thousand for the years ended December 31, 2025 and 2024, respectively.
Supplemental cash flow information related to operating leases during the period presented was as follows:
Lease term and discount rate related to operating leases as of the period presented were as follows:
ODYSIGHT.AI INC.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
NOTE 10 – LEASES (continued):
The maturities of lease liabilities under operating leases as of December 31, 2025 are as follows:
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