v3.26.1
Revenue
 6 Months Ended
Jun. 30, 2026
Revenue [Abstract]  
REVENUE

NOTE 3 – REVENUE

The following table presents our disaggregated revenues by type, timing and geographical region.

 

 

Three Months Ended
June 30,

 

 

Six Months Ended
June 30,

 

(dollars in thousands)

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Type of Revenue

 

 

 

 

 

 

 

 

 

 

 

 

Product revenue

 

$

43,446

 

 

$

3,605

 

 

$

81,813

 

 

$

6,829

 

Service revenue

 

 

23,603

 

 

 

2,496

 

 

 

32,926

 

 

 

3,305

 

Development revenue

 

 

16,723

 

 

 

172

 

 

 

19,155

 

 

 

388

 

Total revenue

 

$

83,772

 

 

$

6,273

 

 

$

133,894

 

 

$

10,522

 

 

 

 

 

 

 

 

 

 

 

 

 

Timing of Revenue

 

 

 

 

 

 

 

 

 

 

 

 

Revenue recognized point in time

 

$

49,594

 

 

$

6,021

 

 

$

90,156

 

 

$

10,005

 

Revenue recognized over time

 

 

34,178

 

 

 

252

 

 

 

43,738

 

 

 

517

 

Total revenue

 

$

83,772

 

 

$

6,273

 

 

$

133,894

 

 

$

10,522

 

 

 

 

 

 

 

 

 

 

 

 

 

Geographical Region

 

 

 

 

 

 

 

 

 

 

 

 

Israel

 

$

37,460

 

 

$

1,259

 

 

$

59,058

 

 

$

3,747

 

Europe

 

 

19,384

 

 

 

3,111

 

 

 

31,455

 

 

 

3,111

 

Asia - Other

 

 

2,587

 

 

 

40

 

 

 

14,587

 

 

 

51

 

Africa

 

 

4,261

 

 

 

-

 

 

 

4,882

 

 

 

-

 

North America

 

 

17,278

 

 

 

139

 

 

 

20,591

 

 

 

356

 

United Arab Emirates

 

 

1,542

 

 

 

1,724

 

 

 

1,847

 

 

 

3,257

 

Other

 

 

1,260

 

 

 

-

 

 

 

1,474

 

 

 

-

 

Total revenue

 

$

83,772

 

 

$

6,273

 

 

$

133,894

 

 

$

10,522

 

 

Contract Assets and Liabilities

The Company recognizes a receivable or contract asset when we perform a service or transfer a good in advance of receiving consideration. A receivable is recorded when our right to consideration is unconditional and only the passage of time is required before payment of that consideration is due. A contract asset is recorded when we have recognized revenue over time in accordance with meeting our performance obligation but are unable to invoice the customer yet based on the contractual invoicing terms. The contract asset is reclassified to a receivable when the right to consideration becomes unconditional. Contract assets are included in other current assets on the condensed consolidated balance sheets. The table below details the activity in our contract assets during the six months ended June 30, 2026 and the year ended December 31, 2025.

 

(dollars in thousands)

 

Six Months Ended
June 30,
2026

 

 

Year Ended
December 31,
2025

 

Balance, beginning of period

 

$

3,171

 

 

$

206

 

Contract assets acquired in business combination

 

 

17,722

 

 

 

-

 

Contract assets recognized

 

 

42,201

 

 

 

8,476

 

Reclassification to accounts receivable, net

 

 

(17,940

)

 

 

(5,511

)

Balance, end of period

 

$

45,154

 

 

$

3,171

 

 

The Company recognizes a contract liability (deferred revenue) when we receive consideration from a customer, or if we have the unconditional right to consideration (i.e., a receivable), prior to satisfying the performance obligation. A contract liability is our obligation to transfer goods or services to a customer for which we have received consideration, or an amount of consideration is due from the customer. The table below details the activity in our contract liabilities during the six months ended June 30, 2026 and the year ended December 31, 2025.

 

(dollars in thousands)

 

Six Months Ended
June 30,
2026

 

 

Year Ended
December 31,
2025

 

Balance, beginning of period

 

$

8,501

 

 

$

329

 

Contract liabilities acquired in business combinations

 

 

25,422

 

 

 

7,374

 

Effect of deconsolidation of subsidiary

 

 

(337

)

 

 

-

 

Additions

 

 

14,489

 

 

 

9,542

 

Recognized as revenue

 

 

(18,389

)

 

 

(8,744

)

Balance, end of period

 

$

29,686

 

 

$

8,501

 

 

Revenue recognized during the six months ended June 30, 2026 and 2025 that was included in the contract liability opening balance was $6.9 million and $19 thousand, respectively. As of June 30, 2026 and December 31, 2025, $2.9 million and $0.5 million of the contract liability balance represents long-term deferred revenue and is included in other liabilities on the consolidated balance sheets, respectively.