v3.26.1
Taxes on Income (Tables)
 12 Months Ended
Dec. 31, 2025
Taxes on Income [Abstract]  
Schedule of Consolidated Statements of Financial Position Presentation in consolidated statements of financial position:
   December 31, 
   2025   2024 
Deferred tax assets  $26,915   $33,850 
Deferred tax liabilities   (83,426)   (42,894)
   $(56,511)  $(9,044)
Schedule of Composition Composition:
   December 31, 
   2025   2024 
Net operating losses carried forward  $5,347   $7,494 
Intangible assets, fixed asset and right-of-use assets   (31,745)   (33,526)
Lease liabilities   1,085    1,309 
Differences in measurement basis (cash basis for tax purposes)   
-
    1,228 
Deferred taxes on investments where the group does not control the timing of reversal   (47,505)   
-
 
Other   16,307    14,451 
   $(56,511)  $(9,044)
Schedule of Pre-Tax Income Pre-tax income:
  

Year ended December 31,

 
   2025   2024   2023 
             
Domestic (Israel)  $112,257   $128,132   $
99,902
 
Foreign   34,132    30,733    
33,352
 
                
Total  $146,389   $
158,865
   $

133,254

 
Schedule of income tax (tax benefit) Income tax (tax benefit) consist of the following:
   Year ended December 31, 
   2025   2024   2023 
             
Current taxes  $50,825   $44,900   $37,486 
Deferred taxes   (10,366)   (6,127)   (5,652)
                
Total  $40,459   $38,773   $31,834 
Schedule of Consolidated Statements of Profit or Loss

The following table presents reconciliation between the theoretical tax expense, assuming that all income was taxed at statutory tax rates, and the actual income tax expense, as recorded in the Group’s consolidated statements of profit or loss:

 

   Year ended December 31, 
   2025   2024   2023 
             
Income before income taxes, as per the statement of operations  $146,389   $
158,865
   $
133,254
 
                
Statutory tax rate in Israel   23%   23%   23%
                
Tax computed at the statutory tax rate   33,669    
36,539
    
30,648
 
                
Non-deductible expenses (non-taxable income) net and tax-deductible costs not included in the accounting costs   8,521    3,391    2,081 
Effect of different tax rates   1,304    (1,781)   (874)
Effect of “Approved, Beneficiary or Preferred Enterprise” status   (1,403)   
-
    
-
 
Deferred taxes on current losses (utilization of carry forward losses) and temporary differences for which a valuation allowance was provided, net   933    691    (1,592)
Taxes in respect of prior years   (1,128)   (942)   558 
Uncertain tax positions   914    
-
    
-
 
Tax benefit for a depreciable asset recognized for tax purposes   (1,497)   
-
    
-
 
Other   (854)   
875
    
1,013
 
                
Taxes on income   40,459    
38,773
   $
31,834
 
Schedule of Total Unrecognized Tax Benefits

A reconciliation of the beginning and ending amount of total unrecognized tax benefits in Formula’s subsidiaries is as follows:

 

Balance as of January 1, 2024  $10,843 
Decrease in tax positions   (1,041)
Increase in tax positions   2,412 
Statue limitation   (2,522)
Balance as of December 31, 2024  $9,692 
Decrease in tax positions   (981)
Increase in tax positions   4,160 
Statue limitation   (1,048)
Deconsolidation   (9,870)
Balance as of December 31, 2025   1,953