v3.26.1
RESEARCH AND DEVELOPMENT EXPENSES, NET
 12 Months Ended
Dec. 31, 2025
Notes and other explanatory information [abstract]  
RESEARCH AND DEVELOPMENT EXPENSES, NET

NOTE 16 – RESEARCH AND DEVELOPMENT EXPENSES, NET

 

  A) Information of accounting policy

 

Research expenses are recognized as an expense when incurred. Costs incurred for development projects (relating to the design and testing of new or improved products) are recognized as intangible assets when the following conditions are met:

 

  ● There is technical feasibility to complete the intangible asset so that it will be available for use.
     
  ● Management intends to complete and use or sell the intangible asset
     
  ● The intangible asset can be used or sold
     
  ● The manner in which the intangible asset will generate probable future economic benefits can be demonstrated
     
  ● Adequate resources: technical, financial, and other - are available to complete development and use or sell the intangible asset.
     
  ● The expenditure attributable to the intangible asset during its development can be reliably measured.

 

Other development expenses that do not meet these conditions are recognized as an expense when incurred. Development costs previously recognized as an expense are not recognized as an asset in subsequent periods. The Company periodically evaluates the fulfillment of the above criteria and has determined that it is unable to recognize intangible assets as of December 31, 2025, 2024 and 2023. This is primarily due to the fact that, for several of the Company’s products under development - some in early stages and others in clinical trials - the Company’s management has not consistently demonstrated the technical feasibility of completing development, given the high technological complexity involved.

 

 

PULSENMORE LTD.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

 

NOTE 16 – RESEARCH AND DEVELOPMENT EXPENSES, NET (cont.)

 

Additional products that are already in ongoing sales processes are not in development stages related to product improvements, and all the related research and development expenses pertain to maintenance and sustaining existing products. As a result, development expenses up to the date of the financial position report did not meet the aforementioned conditions and were therefore expensed in the statement of comprehensive loss when incurred.

 

  B) Additional information

 

            2025 
               Convenience
translation into
U.S. dollars		 
   Year ended December 31, 
   2023   2024   2025   2025 
   NIS in thousands   in thousands 
                 
Salaries and related expenses   12,510    13,045    11,610    3,639 
Share-based compensation   879    117    108    34 
Depreciation   1,075    1,221    1,157    363 
Raw materials and consumables   711    510    487    153 
Consultants and subcontractors   15,324    5,296    4,616    1,447 
Patents   703    617    1,014    318 
Other   612    353    288    90 
Research and development expenses gross   31,814    21,159    19,280    6,044 
Net of grants from the IIA and KORIL   (415)   (1,029)   (1,930)   (605)
Research and development expenses, net    31,399    20,130    17,350    5,439