v3.26.1
Derivative Instruments
 6 Months Ended
Jun. 30, 2026
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative Instruments
Note 6:

Derivative Instruments

 
The Company enters into foreign currency forward and option contracts with financial institutions to protect against the exposure to changes in exchange rates of several foreign currencies that are associated with forecasted cash flows and existing assets and liabilities. The Company accounts for its derivative instruments as either assets or liabilities and carries them at fair value. The accounting for changes in the fair value of a derivative depends on the intended use of the derivative and the resulting designation.
 
The fair value of derivative contracts in the consolidated balance sheets at June 30, 2026 and December 31, 2025 were as follows:
 
   
Other accounts receivable and prepaid expenses
    
Other accounts payable and accrued expenses
  
   
June 30, 2026
  
   
$ thousands
  
Derivatives designated as hedging instruments:
            
Currency forward contracts
    
788
      
(61
)
                 
Total derivatives
    
788
      
(61
)
 
   
Other accounts receivable and prepaid expenses
    
Other accounts payable and accrued expenses
  
   
December 31, 2025
  
   
$ thousands
  
Derivatives designated as hedging instruments:
            
Currency forward contracts
    
1,242
      
(2
)
                 
Total derivatives
    
1,242
      
(2
)
 
 
The notional amounts of outstanding derivative contracts in U.S. dollars at June 30, 2026 and December 31, 2025 were as follows:
 
   
June 30,
2026
    
December 31,
2025
  
   
$ thousands
    
$ thousands
  
             
Derivatives designated as hedging instruments
            
Currency forward contracts
    
23,975
      
16,641
  
                 
Total derivatives
    
23,975
      
16,641
  
 
 
The maximum length of time over which the Company is hedging its exposure to the variability in future cash flows for forecasted transactions is up to 12 months.
 
For derivative instruments that are designated and qualify as a cash flow hedge (i.e., hedging the exposure to variability in expected future cash flows that is attributable to a particular risk), the gain or loss on the derivative instrument is reported as a component of other comprehensive income and reclassified into earnings in the same period or periods during which the hedged transaction affects earnings. Gains or losses from contracts that were not designated as hedging instruments are recognized in "financial and other expenses, net".
 
The effect of total loss from derivative contracts designated as cash flow hedges in the consolidated statements of operations for the six months ended June 30, 2026, and 2025 was as follows:

 

   
Six months ended
June 30
  
   
2026
    
2025
  
   
$ thousands
    
$ thousands
  
             
Cost of revenues
    
323
      
115
  
Research and development, net
    
1,064
      
347
  
Sales and marketing
    
329
      
109
  
General and administrative
    
486
      
162
  
                 
Total
    
2,202
      
733