2023 Q4 Form 20-F Financial Statement

#000121390024025800 Filed on March 26, 2024

View on sec.gov

Income Statement

Concept 2023 Q4 2023 2022 Q4
Revenue $130.9M $514.6M $119.5M
YoY Change 9.54% 8.39% 0.2%
Cost Of Revenue $74.91M $295.0M $69.16M
YoY Change 8.32% 7.44% -1.99%
Gross Profit $55.95M $219.6M $50.31M
YoY Change 11.22% 9.71% 3.37%
Gross Profit Margin 42.76% 42.67% 42.11%
Selling, General & Admin $19.78M $77.25M $18.57M
YoY Change 6.48% 2.98% -2.46%
% of Gross Profit 35.35% 35.18% 36.92%
Research & Development $16.08M $63.48M $15.25M
YoY Change 5.46% 8.22% 9.79%
% of Gross Profit 28.75% 28.91% 30.32%
Depreciation & Amortization $5.649M $21.44M $5.595M
YoY Change 0.97% -3.6% -29.53%
% of Gross Profit 10.1% 9.76% 11.12%
Operating Expenses $35.86M $140.7M $33.82M
YoY Change 6.02% 5.28% 2.71%
Operating Profit $20.09M $78.87M $16.48M
YoY Change 21.89% 18.61% 4.76%
Interest Expense $560.0K -$1.750M $1.097M
YoY Change -48.95% 85.97% 253.87%
% of Operating Profit 2.79% -2.22% 6.66%
Other Income/Expense, Net -$340.0K
YoY Change -63.87%
Pretax Income $20.65M $77.12M $17.58M
YoY Change 17.47% 17.65% 9.57%
Income Tax $3.624M $14.25M $4.276M
% Of Pretax Income 17.55% 18.48% 24.33%
Net Earnings $16.97M $62.44M $13.37M
YoY Change 26.98% 18.73% -2.17%
Net Earnings / Revenue 12.97% 12.13% 11.19%
Basic Earnings Per Share $1.13
Diluted Earnings Per Share $0.30 $1.12 $0.24
COMMON SHARES
Basic Shares Outstanding 55.73M shares 55.37M shares 55.14M shares
Diluted Shares Outstanding 55.72M shares

Balance Sheet

Concept 2023 Q4 2023 2022 Q4
SHORT-TERM ASSETS
Cash & Short-Term Investments $202.1M $202.1M $180.3M
YoY Change 12.11% 12.11% -14.25%
Cash & Equivalents $126.7M $126.7M $160.3M
Short-Term Investments $75.40M $75.40M $20.00M
Other Short-Term Assets
YoY Change
Inventory
Prepaid Expenses
Receivables $90.27M $90.27M $93.38M
Other Receivables $22.51M $22.51M $11.64M
Total Short-Term Assets $314.9M $314.9M $285.3M
YoY Change 10.37% 10.37% -5.01%
LONG-TERM ASSETS
Property, Plant & Equipment $36.22M $36.22M $45.71M
YoY Change -20.76% -20.76% -21.36%
Goodwill $256.3M $252.2M
YoY Change 1.62% -3.41%
Intangibles
YoY Change
Long-Term Investments
YoY Change
Other Assets $21.15M $21.15M $16.07M
YoY Change 31.59% 31.59% 21.39%
Total Long-Term Assets $374.7M $374.7M $381.4M
YoY Change -1.76% -1.76% -8.01%
TOTAL ASSETS
Total Short-Term Assets $314.9M $314.9M $285.3M
Total Long-Term Assets $374.7M $374.7M $381.4M
Total Assets $689.6M $689.6M $666.8M
YoY Change 3.43% 3.43% -6.75%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $6.291M $6.291M $9.415M
YoY Change -33.18% -33.18% 88.0%
Accrued Expenses $84.50M $84.50M $86.03M
YoY Change -1.78% -1.78% -1.43%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00 $0.00
YoY Change
Long-Term Debt Due $19.80M $19.80M $19.80M
YoY Change 0.0% 0.0% 0.0%
Total Short-Term Liabilities $149.1M $149.1M $146.0M
YoY Change 2.17% 2.17% -3.78%
LONG-TERM LIABILITIES
Long-Term Debt $39.54M $39.54M $59.28M
YoY Change -33.29% -33.29% -24.96%
Other Long-Term Liabilities $40.19M $40.19M $47.21M
YoY Change -14.88% -14.88% -21.48%
Total Long-Term Liabilities $79.73M $79.73M $106.5M
YoY Change -25.13% -25.13% -23.45%
TOTAL LIABILITIES
Total Short-Term Liabilities $149.1M $149.1M $146.0M
Total Long-Term Liabilities $79.73M $79.73M $106.5M
Total Liabilities $239.7M $239.7M $263.9M
YoY Change -9.18% -9.18% -14.44%
SHAREHOLDERS EQUITY
Retained Earnings $119.9M $85.58M
YoY Change 40.08% 19.59%
Common Stock $762.0K $756.0K
YoY Change 0.79% 0.0%
Preferred Stock
YoY Change
Treasury Stock (at cost) $9.423M
YoY Change 0.0%
Treasury Stock Shares
Shareholders Equity $449.9M $449.9M $402.9M
YoY Change
Total Liabilities & Shareholders Equity $689.6M $689.6M $666.8M
YoY Change 3.43% 3.43% -6.75%

Cashflow Statement

Concept 2023 Q4 2023 2022 Q4
OPERATING ACTIVITIES
Net Income $16.97M $62.44M $13.37M
YoY Change 26.98% 18.73% -2.17%
Depreciation, Depletion And Amortization $5.649M $21.44M $5.595M
YoY Change 0.97% -3.6% -29.53%
Cash From Operating Activities $38.64M $79.43M $14.43M
YoY Change 167.81% 81.42% -47.31%
INVESTING ACTIVITIES
Capital Expenditures $1.969M $9.269M $1.861M
YoY Change 5.8% 2.37% -158.01%
Acquisitions $8.060M
YoY Change 132.54%
Other Investing Activities -$8.171M -$63.51M $183.0K
YoY Change -4565.03% 1775.69% -99.09%
Cash From Investing Activities -$10.14M -$72.78M -$1.678M
YoY Change 504.29% 485.05% -109.98%
FINANCING ACTIVITIES
Cash Dividend Paid $28.14M
YoY Change -27.05%
Common Stock Issuance & Retirement, Net $49.00K $4.809M $0.00
YoY Change -100.0%
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities -109.0K -43.34M 0.000
YoY Change -25.76% -100.0%
NET CHANGE
Cash From Operating Activities 38.64M 79.43M 14.43M
Cash From Investing Activities -10.14M -72.78M -1.678M
Cash From Financing Activities -109.0K -43.34M 0.000
Net Change In Cash 28.40M -36.69M 12.75M
YoY Change 122.68% 35.73% -71.79%
FREE CASH FLOW
Cash From Operating Activities $38.64M $79.43M $14.43M
Capital Expenditures $1.969M $9.269M $1.861M
Free Cash Flow $36.68M $70.16M $12.57M
YoY Change 191.8% 102.03% -58.92%

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CY2021 us-gaap Increase Decrease In Receivables
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CY2022 us-gaap Increase Decrease In Other Operating Capital Net
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CY2021 us-gaap Increase Decrease In Other Operating Capital Net
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CY2022 us-gaap Increase Decrease In Other Operating Liabilities
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CY2021 us-gaap Increase Decrease In Other Operating Liabilities
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CY2021 us-gaap Increase Decrease In Operating Lease Liability
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CY2021 us-gaap Increase Decrease In Contract With Customer Liability
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CY2022 us-gaap Increase Decrease In Employee Related Liabilities
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CY2021 us-gaap Increase Decrease In Employee Related Liabilities
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CY2021 us-gaap Proceeds From Sale Of Property Plant And Equipment
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CY2021 us-gaap Payments To Acquire Software
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CY2021 us-gaap Payments For Proceeds From Other Investing Activities
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CY2023 spns Acquisition Of Intellectual Property Rights
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CY2022 spns Acquisition Of Intellectual Property Rights
AcquisitionOfIntellectualPropertyRights
200000 usd
CY2021 spns Acquisition Of Intellectual Property Rights
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CY2022 us-gaap Net Cash Provided By Used In Investing Activities
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CY2021 us-gaap Net Cash Provided By Used In Investing Activities
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CY2021 us-gaap Payments To Minority Shareholders
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CY2022 us-gaap Net Cash Provided By Used In Financing Activities
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CY2021 us-gaap Net Cash Provided By Used In Financing Activities
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CY2022 us-gaap Effect Of Exchange Rate On Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents Including Disposal Group And Discontinued Operations
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CY2022 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents Period Increase Decrease Including Exchange Rate Effect
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CY2021 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents Period Increase Decrease Including Exchange Rate Effect
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CY2022Q4 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents
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CY2021Q4 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents
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CY2020Q4 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents
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CY2023Q4 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents
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CY2022Q4 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents
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CY2021Q4 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents
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CY2021 us-gaap Interest Paid Net
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CY2022 us-gaap Income Taxes Paid
IncomeTaxesPaid
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CY2021 us-gaap Income Taxes Paid
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WorkingCapitalNet
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CY2022 spns Working Capital Net
WorkingCapitalNet
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CY2021 spns Working Capital Net
WorkingCapitalNet
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CY2023 us-gaap Noncash Or Part Noncash Acquisition Other Assets Acquired1
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CY2023 us-gaap Noncash Or Part Noncash Acquisition Other Liabilities Assumed1
NoncashOrPartNoncashAcquisitionOtherLiabilitiesAssumed1
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CY2023 us-gaap Noncash Or Part Noncash Acquisition Value Of Liabilities Assumed1
NoncashOrPartNoncashAcquisitionValueOfLiabilitiesAssumed1
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CY2023 spns Goodwill And Other Intangible Assets
GoodwillAndOtherIntangibleAssets
-7512000 usd
CY2022 spns Goodwill And Other Intangible Assets
GoodwillAndOtherIntangibleAssets
-3783000 usd
CY2021 spns Goodwill And Other Intangible Assets
GoodwillAndOtherIntangibleAssets
593000 usd
CY2023 us-gaap Noncash Or Part Noncash Acquisition Net Nonmonetary Assets Acquired Liabilities Assumed1
NoncashOrPartNoncashAcquisitionNetNonmonetaryAssetsAcquiredLiabilitiesAssumed1
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CY2022 us-gaap Noncash Or Part Noncash Acquisition Net Nonmonetary Assets Acquired Liabilities Assumed1
NoncashOrPartNoncashAcquisitionNetNonmonetaryAssetsAcquiredLiabilitiesAssumed1
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CY2021 us-gaap Noncash Or Part Noncash Acquisition Net Nonmonetary Assets Acquired Liabilities Assumed1
NoncashOrPartNoncashAcquisitionNetNonmonetaryAssetsAcquiredLiabilitiesAssumed1
831000 usd
CY2023 spns Net Lease Liabilities Arisingdisposal From Obtaining Rightofuse Assets
NetLeaseLiabilitiesArisingdisposalFromObtainingRightofuseAssets
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CY2022 spns Net Lease Liabilities Arisingdisposal From Obtaining Rightofuse Assets
NetLeaseLiabilitiesArisingdisposalFromObtainingRightofuseAssets
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CY2021 spns Net Lease Liabilities Arisingdisposal From Obtaining Rightofuse Assets
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CY2023 us-gaap Capital Expenditures Incurred But Not Yet Paid
CapitalExpendituresIncurredButNotYetPaid
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CY2022 us-gaap Capital Expenditures Incurred But Not Yet Paid
CapitalExpendituresIncurredButNotYetPaid
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CY2021 us-gaap Capital Expenditures Incurred But Not Yet Paid
CapitalExpendituresIncurredButNotYetPaid
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CY2023 us-gaap Nature Of Operations
NatureOfOperations
<p style="font: bold 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; margin-left: 0pt; text-align: justify">NOTE 1:- GENERAL</p> <p style="font: bold 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; margin-left: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; margin-left: 0.5in; text-align: justify">Sapiens International Corporation N.V. (“Sapiens”) and its subsidiaries (collectively, the “Company”), a member of the Formula Systems (1985) Ltd. (“Formula”) Group, is a global provider of software solutions for the insurance industry. The ultimate parent of the Company is Asseco Poland S.A. (“Asseco”), a Polish public company, traded on the Warsaw Stock Exchange. The Company’s expertise is reflected in its innovative software, solutions and professional services for property &amp; casualty (P&amp;C); reinsurance; life, pension &amp; annuity (L&amp;P); workers’ compensation (WC); medical professional liability (MPL); financial &amp; compliance (F&amp;C); and decision modeling for both insurance and non-insurance markets. The Company offers end to end solutions for insurers core, data &amp; analytics and digital operations, as well as stand-alone solutions which help them optimize and maximize their current investment.</p>
CY2023 us-gaap Use Of Estimates
UseOfEstimates
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top"> <td style="width: 0.5in"></td><td style="width: 0.5in">a.</td><td style="text-align: justify; padding-right: 85.05pt">Use of estimates:</td></tr></table><p style="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; margin-left: 1in; text-align: justify">The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates, judgments and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Such management estimates and assumptions are related, but not limited to contingent liabilities, income tax uncertainties, deferred taxes assets, share-based compensation, value of intangible assets and goodwill, as well as the determination of revenue recognition from contracts accounted for based on the estimate of percentage of completion. The Company’s management believes that the estimates, judgment and assumptions used are reasonable based upon information available at the time they are made. These estimates, judgments and assumptions can affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the consolidated financial statements, and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates.</p>
CY2023Q4 us-gaap Derivative Notional Amount
DerivativeNotionalAmount
82078000 usd
CY2022Q4 us-gaap Derivative Liability Notional Amount
DerivativeLiabilityNotionalAmount
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CY2021Q4 us-gaap Derivative Liability Notional Amount
DerivativeLiabilityNotionalAmount
140688000 usd
CY2022Q4 us-gaap Derivative Notional Amount
DerivativeNotionalAmount
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CY2021Q4 us-gaap Derivative Notional Amount
DerivativeNotionalAmount
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CY2021 us-gaap Asset Impairment Charges
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CY2023 us-gaap Effective Income Tax Rate Reconciliation Minority Interest Income Expense
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CY2023 us-gaap Concentration Risk Credit Risk
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<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top"> <td style="width: 0.5in"></td><td style="width: 0.5in">p.</td><td style="text-align: justify">Concentrations of credit risks:</td></tr></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 1in; text-align: justify; text-indent: 0pt">Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash and cash equivalents, bank deposits, trade receivables, unbilled receivables and contract assets, and foreign currency derivative contracts.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 1in; text-align: justify; text-indent: 0pt">The Company’s cash and cash equivalents and short-term bank deposit are invested in bank deposits mainly in US dollars.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 1in; text-align: justify; text-indent: 0pt">The Company’s trade receivables are generally derived from sales to large and solid organizations located mainly in North America, Europe and the rest of the world.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 1in; text-align: justify; text-indent: 0pt">The Company performs ongoing credit evaluations of its customers and to date has not experienced any material losses. In certain circumstances, the Company may require prepayment.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 1in; text-align: justify; text-indent: 0pt"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 1in; text-align: justify; text-indent: 0pt">The Company entered into forward contracts, and option contracts intended to protect against the increase in value of forecasted non-dollar currency cash flows. The derivative instruments hedge a portion of the Company’s non-dollar currency exposure.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 1in; text-align: justify; text-indent: 0pt">No off-balance sheet concentrations of credit risk exist.</p>
CY2023 us-gaap Financing Interest Expense
FinancingInterestExpense
2991000 usd
CY2022 us-gaap Financing Interest Expense
FinancingInterestExpense
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CY2021 us-gaap Financing Interest Expense
FinancingInterestExpense
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CY2023 us-gaap Severance Costs1
SeveranceCosts1
4877000 usd
CY2022 us-gaap Severance Costs1
SeveranceCosts1
5199000 usd
CY2021 us-gaap Severance Costs1
SeveranceCosts1
4538000 usd
CY2023 us-gaap Defined Benefit Plan Contributions By Employer
DefinedBenefitPlanContributionsByEmployer
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CY2022 us-gaap Defined Benefit Plan Contributions By Employer
DefinedBenefitPlanContributionsByEmployer
1280000 usd
CY2021 us-gaap Defined Benefit Plan Contributions By Employer
DefinedBenefitPlanContributionsByEmployer
1282000 usd
CY2023 us-gaap Sharebased Compensation Arrangement By Sharebased Payment Award Fair Value Assumptions Expected Term1
SharebasedCompensationArrangementBySharebasedPaymentAwardFairValueAssumptionsExpectedTerm1
P6Y
CY2022 us-gaap Sharebased Compensation Arrangement By Sharebased Payment Award Fair Value Assumptions Expected Term1
SharebasedCompensationArrangementBySharebasedPaymentAwardFairValueAssumptionsExpectedTerm1
P6Y
CY2021 us-gaap Sharebased Compensation Arrangement By Sharebased Payment Award Fair Value Assumptions Expected Term1
SharebasedCompensationArrangementBySharebasedPaymentAwardFairValueAssumptionsExpectedTerm1
P6Y
CY2023 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions Expected Dividend Rate
ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedDividendRate
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CY2022 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions Expected Dividend Rate
ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedDividendRate
0 pure
CY2021 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions Expected Dividend Rate
ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedDividendRate
0 pure
CY2023 us-gaap Derivatives Methods Of Accounting Hedging Derivatives
DerivativesMethodsOfAccountingHedgingDerivatives
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top"> <td style="width: 0.5in"></td><td style="width: 0.5in">u.</td><td style="text-align: justify">Derivatives and hedging:</td></tr></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 1in; text-align: justify; text-indent: 0pt">The Company enters into options contracts and forward contracts to hedge certain transactions denominated in foreign currencies. The purpose of the Company’s foreign currency hedging activities is to protect the Company from the risk that the eventual dollar cash flows from international activities will be adversely affected by changes in the exchange rates. The Company’s option and forward contracts do not qualify as hedging instruments under ASC 815, “Derivatives and hedging”. Changes in the fair value of a hedging strategy are reflected in the consolidated statements of income as financial income or expense.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 1in; text-align: justify; text-indent: 0pt">In 2023, 2022, and 2021 the Company entered into forward contracts in the aggregate notional amounts of $82,078, $168,850, and $140,688, respectively, and in 2023, 2022, and 2021, the Company entered into option contracts in the notional amounts of $121,080, $0 and $27,138, respectively, in order to protect against foreign currency fluctuations.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 1in; text-align: justify; text-indent: 0pt">As of December 31, 2023, 2022 and 2021, the Company had outstanding options and forward contracts, in the notional amount of $ 0, $15,900 and $20,000, respectively.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 1in; text-align: justify; text-indent: 0pt">In 2023 and 2022 the Company recorded financial expense, net of $2,991 and $1,193, respectively and in 2021 the Company recorded financial income, net of $3,338, with respect to the above transactions.</p>
CY2022 us-gaap Variable Lease Cost
VariableLeaseCost
4004000 usd
CY2023 us-gaap Short Term Lease Cost
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648000 usd
CY2023 us-gaap Business Combination Separately Recognized Transactions Additional Disclosures Acquisition Cost Expensed Financial Statement Caption
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The purchase price amounted to $11,667 in total, of which, $10,179 were paid in cash on the acquisition date, $1,063 are deferred payments ($638 will be paid after 12 months and $425 will be paid after 18 months from the acquisition date) and up to $425 will be paid by the end of March 2024 subject to net working capital adjustments. In addition, NCDC’s three key employees have retention-based payments over two years (2024-2025) of up to $523. These payments are subject to continued employment, and therefore were not included in the purchase price and will be expensed over the requested employment period.
CY2023Q4 spns Longterm Unbilled Receivables
LongtermUnbilledReceivables
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CY2022Q4 spns Longterm Unbilled Receivables
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1902000 usd
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CY2022Q4 us-gaap Prepaid Rent
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CY2022Q4 us-gaap Other Assets Miscellaneous Noncurrent
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CY2022Q4 us-gaap Property Plant And Equipment Gross
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CY2023 us-gaap Depreciation
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CY2021 us-gaap Depreciation
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The Company’s leases have original lease periods expiring between 2024 and 2036.
CY2021 us-gaap Impairment Of Leasehold
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CY2021Q4 us-gaap Goodwill
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CY2022 us-gaap Goodwill Acquired During Period
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2123000 usd
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925000 usd
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CY2022Q4 us-gaap Accrued Liabilities And Other Liabilities
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CY2023Q4 us-gaap Debt Instrument Carrying Amount
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59389000 usd
CY2022Q4 us-gaap Debt Instrument Carrying Amount
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CY2023Q4 us-gaap Long Term Debt Current
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CY2022Q4 us-gaap Long Term Debt Current
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114000 usd
CY2023Q4 us-gaap Long Term Debt
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39543000 usd
CY2022Q4 us-gaap Long Term Debt
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59275000 usd
CY2023 spns Percentage Of Total Net Consolidated License And Maintenance Revenue
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0.035 pure
CY2023 spns Percentage Of Net Consolidated Consulting Services Revenue
PercentageOfNetConsolidatedConsultingServicesRevenue
0.0035 pure
CY2023 us-gaap Royalty Expense
RoyaltyExpense
750000 usd
CY2022 us-gaap Royalty Expense
RoyaltyExpense
816000 usd
CY2021 us-gaap Royalty Expense
RoyaltyExpense
531000 usd
CY2023Q4 us-gaap Business Combination Contingent Consideration Liability Current
BusinessCombinationContingentConsiderationLiabilityCurrent
5021000 usd
CY2022Q4 us-gaap Business Combination Contingent Consideration Liability Current
BusinessCombinationContingentConsiderationLiabilityCurrent
5661000 usd
CY2023 spns Property Lease Guarantee Provided
PropertyLeaseGuaranteeProvided
700000 usd
CY2023 spns Amount Of Bank Guarantee Provided For Customers And Suppliers
AmountOfBankGuaranteeProvidedForCustomersAndSuppliers
214000 usd
CY2022 spns Amount Of Bank Guarantee Provided For Customers And Suppliers
AmountOfBankGuaranteeProvidedForCustomersAndSuppliers
262000 usd
CY2023 spns Description Of Tax Benefits Capital Investments
DescriptionOfTaxBenefitsCapitalInvestments
the Economic Efficiency Law (Legislative Amendments for Applying the Economic Policy for the 2017 and 2018 Budget Years) 2016, which includes Amendment 73 to the Law for the Encouragement of Capital Investments (“the 2017 Amendment”) was published and was pending the publication of regulations, in May 2017 regulations were promulgated by the Finance Ministry to implement the “Nexus Principles” based on OECD guidelines published as part of the Base Erosion and Profit Shifting (BEPS) project. Following the publication of the regulations the 2017 Amendment became fully effective. According to the 2017 Amendment, a Preferred Technological Enterprise, as defined in the 2017 Amendment, with total consolidated revenues of the group companies is less than NIS 10 billion, shall be subject to 12% tax rate on income derived from intellectual property (in development area A-a tax rate of 7.5%). In order to qualify as a Preferred technological enterprise certain criterion must be met, such as a minimum ratio of annual R&D expenditure and R&D employees, as well as having at least 25% of annual revenues derived from exports. A PTE that acquires Benefited Intangible Assets from a foreign company for more than NIS 200 million after January 1, 2017, will be eligible for 12% reduce tax rate on capital gain upon sale of the Benefited Intangible Assets.
CY2023 spns Description Of Minimum Amount To Be Spent For Recognizing Intellectual Property
DescriptionOfMinimumAmountToBeSpentForRecognizingIntellectualProperty
The 2017 Amendment further provides that a technology company satisfying certain conditions will qualify as a Special Preferred Technology Enterprise (“SPTE”) (an enterprise for which, among others, total consolidated revenues of its parent company and all subsidiaries is at least NIS 10 billion) and will thereby enjoy a reduced corporate tax rate of 6% on PTI regardless of the Company’s geographic location within Israel. In addition, a SPTE will enjoy a reduced corporate tax rate of6% on capital gain derived from the sale of certain “Benefited Intangible Assets” to a related foreign company if the Benefited Intangible Assets were either developed by the Special Preferred Technology Enterprise or acquired from a foreign company on or after January 1, 2017. 
CY2023 spns Corporate Tax Rate Percentage
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0.06 pure
CY2023 us-gaap Deferred Tax Liability Not Recognized Description Of Temporary Difference Policyholders Surplus
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In 2021, the Company decided to apply and benefit from the Temporary Order and pay the reduced CIT as per the provisions of the Economic Efficiency Law in respect of its total accumulated tax-exempt earnings amounting to NIS 109 million (approximately $35.3 million), and accordingly recognized deferred tax liability of $3,531, which was subsequently realized upon the actual filing of the application in 2022 and the payment of related taxes.
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