| OPERATING SEGMENTS AND ENTITY WIDE DISCLOSURES |
| NOTE 14:- |
OPERATING SEGMENTS AND ENTITY WIDE DISCLOSURES
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a. |
The Company operates as a single operating segment - manufacturing, marketing and sale of custom made printed circuit boards.
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The CODM of Eltek Ltd. is the Chief Executive Officer (CEO). The CEO evaluates the company's performance and allocates resources based on financial information presented on a consolidated basis. The Company’s CODM uses consolidated net income to review actual results to allocate resources within the business to continue growth. The CEO does not use asset-based measures in assessing segment performance or allocating resources.
Significant expenses that the CEO monitors include cost of raw materials and inventory change, manufacturing cost, salaries and depreciation cost. These expenses are evaluated on a consolidated basis to understand their impact on the company's profitability. Other items considered in the assessment of segment performance include general and administrative, tax expenses and finance income. These items are reviewed collectively to gain a comprehensive understanding of the company's financial position.
The following table presents information on reportable segment profit for the periods presented:
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Year ended
December 31,
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2025
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2024
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2023
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Revenues
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51,790
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|
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46,527
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|
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46,695
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Less:
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Raw materials
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13,404
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12,209
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11,661
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Manufacturing
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9,610
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7,904
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7,467
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Salaries
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22,215
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18,828
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16,787
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Depreciation
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2,104
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1,546
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1,317
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Other segment items*
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3,636
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1,816
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3,110
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Net profit
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826
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4,224
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6,353
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* |
Other segment items comprised of other cost items included with cost of sales, research and development, selling, general and administrative, tax expenses and finance income.
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b. |
Customers who accounted for over 10% of the total consolidated revenues:
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Year ended
December 31,
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2025
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2024
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2023
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Customer A - Sales of manufactured products
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18.3
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%
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8.3
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%
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13.7
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%
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Customer B - Sales of manufactured products
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6.0
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%
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15.5
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%
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14.0
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%
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c. |
Revenues by geographic areas:
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Israel
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35,305
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30,709
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26,735
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North America
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4,666
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4,019
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5,198
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Netherlands
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4,425
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4,976
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5,673
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India
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3,501
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4,691
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6,480
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Others
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3,893
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2,132
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2,609
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|
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|
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51,790
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|
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46,527
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46,695
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d. |
Primary industries for which the Company produced PCBs:
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Defense and aerospace equipment
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73
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%
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65
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%
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|
51
|
%
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Medical equipment
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|
7
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%
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|
6
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%
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|
7
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%
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Industrial equipment
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|
9
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%
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|
13
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%
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|
14
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%
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Distributors, contract electronic manufacturers and others
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|
|
11
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%
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|
16
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%
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|
28
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%
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| |
|
|
|
|
|
|
|
|
|
|
|
|
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|
|
100
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%
|
|
|
100
|
%
|
|
|
100
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%
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|