NOTE 13: STOCK CAPITAL

a.	Common stock rights:

Common stock confers upon its holders the right to receive notice of, and to participate in, all general meetings of the Company, where each share of common stock shall have one vote for all purposes, to share equally, on a per share basis, in bonuses, profits, or distributions out of fund legally available therefor, and to participate in the distribution of the surplus assets of the Company in the event of liquidation of the Company.

b.	Equity Incentive Plans:

The Company’s Amended and Restated 2015 Global Incentive Plan (the “2015 Plan”) became effective upon the consummation of the Company's initial public offering (the “IPO”). The 2015 Plan provided for the grant of options, restricted stock units (“RSU”), performance stock units (“PSU”), and other stock-based awards to directors, employees, officers, and non-employees of the Company. As of March 31, 2026, a total of 26,648,950 shares of common stock were reserved for issuance pursuant to stock awards under the 2015 Plan (the “Share Reserve”), an aggregate of 11,248,478 shares are still available for future grants.

Under its 2015 Plan, the Company granted PSU awards to certain employees and officers which vest upon the achievement of certain market conditions subject to their continued employment with the Company.

The market condition for the PSUs is based on either (a) the Company’s share price targets during a 30-day successive average trading price of the Company’s common stock over a three year performance period and subject to a minimum of a two year employment period following the grant date, or (b) the Company’s share price targets during a 20-day successive average trading price of the Company’s common stock over a four year performance period and subject to a minimum of a two year employment period following the grant date, or (c) total shareholder return (“TSR”) compared to the TSR of (i) for grants granted in 2024 companies listed in the S&P 500 index, and (ii) for grants granted in 2026, companies listed in the Solar Index, in each case, over a two to three year performance period. The Company uses a Monte-Carlo simulation to determine the grant date fair value for these awards, which takes into consideration the market price of a share of the Company’s common stock on the date of grant less the present value of dividends expected during the requisite service period, as well as the possible outcomes pertaining to the TSR market condition. The Company recognizes such compensation expenses on an accelerated vesting method.

A summary of the activity in stock options and related information is as follows:

	Number of options			Weighted average exercise price		Weighted average remaining contractual term in years		Aggregate intrinsic Value
Outstanding as of December 31, 2025		191,187		$	49.37		1.40	$	950
Exercised		(141,584	)		27.20		-		1,769
Forfeited or expired		(7,929	)		150.09		-		-
Outstanding as of March 31, 2026		41,674		$	105.54		2.14	$	441
Vested and expected to vest as of March 31, 2026		41,674		$	105.54		2.15	$	441
Exercisable as of March 31, 2026		41,674		$	105.54		2.15	$	441

The intrinsic value is the amount by which the closing price of the Company’s common stock on March 31, 2026, or the price on the day of exercise exceeds the exercise price of the stock options, multiplied by the number of in-the-money options.

A summary of the activity in the RSUs and PSUs and related information is as follows:

	RSU					PSU
	Number of Shares Outstanding			Weighted average grant date fair value		Number of Shares Outstanding			Weighted average grant date fair value
Unvested as of December 31, 2025		3,824,774		$	34.02		841,487		$	14.00
Granted		396,183			34.95		618,169			37.76
Vested		(316,192	)		48.57		-			-
Forfeited		(136,123	)		48.12		(21,201	)		212.91
Unvested as of March 31, 2026		3,768,642		$	32.38		1,438,455		$	21.28

c.	Employee Stock Purchase Plan (“ESPP”):

The Company adopted an ESPP effective upon the consummation of the IPO. As of March 31, 2026, a total of 5,125,666 shares were reserved for issuance under this plan.

The ESPP is implemented through an offering every six months. According to the ESPP, eligible employees may use the lesser of either up to 15% of their salaries or $15,000 per participant, to purchase common stock for every six month plan. The price of an ordinary share purchased under the ESPP is equal to 85% of the lower of the fair market value of the ordinary share on the subscription date of each offering period or on the purchase date.

As of March 31, 2026, 2,793,819 shares of common stock have been purchased under the ESPP.

As of March 31, 2026, 2,331,847 shares of common stock were available for future issuance under the ESPP.

In accordance with ASC 718, “Compensation – Stock Compensation,” the ESPP is compensatory and, as such, results in recognition of compensation cost.

d.	Stock-based compensation expenses:

The Company recognized stock-based compensation expenses related to all stock-based awards in the condensed consolidated statement of loss for the three months ended March 31, 2026 and 2025, as follows:

	Three Months Ended March 31,
	2026		2025
Stock-based compensation expenses:
Cost of revenues	$	3,607	$	4,372
Research and development, net		8,061		15,911
Selling and marketing		4,151		4,742
General and administrative		4,033		6,401
Total stock-based compensation expenses	$	19,852	$	31,426

Stock-based compensation capitalized:
Inventory	$	320	$	646
Other long-term assets		-		439
Total stock-based compensation capitalized	$	320	$	1,085

For the three months ended March 31, 2026 and 2025, no amounts were recorded in regard to tax benefits associated with share-based compensation.

As of March 31, 2026, there were total unrecognized compensation expenses in the amount of $139,951 related to non-vested equity-based compensation arrangements granted. These expenses are expected to be recognized during the period from April 1, 2026 through February 28, 2030.