0001365767 2025-01-01 2025-06-30 0001365767 2025-04-01 2025-06-30 0001365767 2024-04-01 2024-06-30 0001365767 2024-01-01 2024-06-30 0001365767 2025-03-31 0001365767 2024-03-31 0001365767 2024-12-31 0001365767 2023-12-31 0001365767 2025-06-30 0001365767 2024-06-30 xbrli:shares iso4217:USD iso4217:USD xbrli:shares

Exhibit 99.1
Allot Announces Second Quarter 2025 Financial Results
Exceptionally strong 73% year-over-year growth in SECaaS ARR; raising full year guidance
Hod Hasharon, Israel – August 14, 2025 - Allot Ltd. (NASDAQ: ALLT, TASE: ALLT), a leading global provider of innovative network intelligence and security solutions for service providers and enterprises worldwide, today announced its unaudited financial results for the second quarter 2025.
Financial Highlights for the Second Quarter of 2025

| • | Revenues of $24.1 million, up 9% year over year with SECaaS representing 27% of overall revenue;

| • | June 2025 SECaaS ARR* of $25.2 million, up 73% year-over-year;

| • | GAAP operating loss of $0.4 million versus $3.4 million operating loss last year;

| • | Non-GAAP operating profit of $1.2 million versus an operating loss of $1.0 million in Q2 2024;

| • | Strong positive operating cash flow of $4.4 million, compared to $1.2 million in Q2 2024;

Management Comment
Eyal Harari, CEO of Allot, commented, “We are very pleased with our strong Q2 financial results, which benefitted from exceptional SECaaS performance. SECaaS ARR was up 73% year-over-year, and SECaaS revenue exceeded 25% of our overall revenue. This strong SECaaS performance drove our overall company revenue growth to 9% year-over-year and supported our improvement in profitability. ”
Continued Mr. Harari, “Our recent agreements illustrate the growing traction of our cyber-security offering. Verizon Business’s new mobile offering, which includes our SECaaS service, is gaining significant traction among end-customers and is already contributing meaningfully to our strong SECaaS revenue growth.
“As we announced in July, we won a landmark deal valued in the tens of millions of dollars with a tier-1 EMEA telecom operator. The multi-year agreement is one of Allot’s largest ever customer wins to-date and is particularly strategic as it demonstrates the value of our unique technological advantages and core expertise for major telco players in two key areas: cyber security and network intelligence.”
Concluded Mr. Harari, “In light of our accelerated SECaaS growth, improved visibility, and high level of backlog, we are introducing full year 2025 revenue guidance of $98-102 million, positioning us for a year of profitable growth. Furthermore, we are increasing our 2025 SECaaS ARR year-over-year growth expectations to a range of 55-60%.”

Second Quarter 2025 Financial Results Summary
Total revenues for the second quarter of 2025 were $24.1 million, a 9% increase year-over-year compared with $22.2 million in the second quarter of 2024.
Gross profit on a GAAP basis for the second quarter of 2025 was $17.3 million (gross margin of 72.1 %), a 14% increase compared with $15.2 million (gross margin of 68.5%) in the second quarter of 2024.
Gross profit on a non-GAAP basis for the second quarter of 2025 was $17.6 million (gross margin of 73.4%), an 13% increase compared with $15.7 million (gross margin of 70.6%) in the second quarter of 2024.
Operating loss on a GAAP basis for the second quarter of 2025 was $0.4 million, compared with an operating loss of $3.4 million in the second quarter of 2024.
Operating income on a non-GAAP basis for the second quarter of 2025 was $1.2 million, compared with an operating loss of $1.0 million in the second quarter of 2024.
Net loss on a GAAP basis for the second quarter of 2025 was $1.7 million, or $0.04 per share, an improvement compared to the net loss of $3.4 million, or $0.09 per share, in the second quarter of 2024.
Net income on a non-GAAP basis for the second quarter of 2025 was $1.5 million, or $0.03 profit per diluted share, compared to the non-GAAP net loss of $0.8 million, or $0.02 loss per basic share, in the second quarter of 2024.
Operating cash flow generated in the quarter was $4.4 million.
Net cash and cash equivalents, bank deposits, restricted deposits and investments as of June 30, 2025, totaled $72 million, an increase of $13 million versus $59 million cash and cash equivalents, bank deposits, restricted deposits and investment as of December 31, 2024. As of June 30, 2025, the company has no debt.
During the quarter, Allot closed a public offering of $46 million, out of which $40 million in gross proceeds were received during the second quarter and an additional $6 million in gross proceeds were received following the close of the quarter. The Company used the net proceeds to repay $31.4 million in convertible debt and the balance for general corporate purposes.
# # #

Conference Call & Webcast:
The Allot management team will host a conference call to discuss its second quarter 2025 earnings results today, August 14, 2025 at 9:00 am ET, 4:00 pm Israel time. To access the conference call, please dial one of the following numbers:
US: 1-888-668-9141, UK: 0-800-917-5108, Israel: +972-3-918-0644
A live webcast and, following the end of the call, an archive of the conference call, will be accessible on the Allot website at: http://investors.allot.com/index.cfm
About Allot
Allot Ltd. (NASDAQ: ALLT, TASE: ALLT) is a provider of leading innovative network intelligence and security solutions for service providers and enterprises worldwide, enhancing value to their customers. Our solutions are deployed globally for network and application analytics, traffic control and shaping, network-based security services, and more. Allot's multi-service platforms are deployed by over 500 mobile, fixed, and cloud service providers and over 1,000 enterprises. Our industry-leading network-based security as a service solution is already used by many millions of subscribers globally. Allot. See. Control. Secure.
For more information, visit www.allot.com
Performance Metrics
* SECaaS ARR – measures the current annual recurring SECaaS revenues, which is calculated based on estimated revenues for the month of June 2025 and multiplied by 12.
GAAP to Non-GAAP Reconciliation:
The difference between GAAP and non-GAAP revenues is related to the acquisitions made by the Company and represents revenues adjusted for the impact of the fair value adjustment to acquired deferred revenue related to purchase accounting. Non-GAAP net income is defined as GAAP net income after including deferred revenues related to the fair value adjustment resulting from purchase accounting and excluding stock-based compensation expenses, amortization of acquisition-related intangible assets, deferred tax asset adjustment and changes in taxes-related items.

These non-GAAP measures should be considered in addition to, and not as a substitute for, comparable GAAP measures. The non-GAAP results and a full reconciliation between GAAP and non-GAAP results is provided in the accompanying Table 2. The Company provides these non-GAAP financial measures because it believes they present a better measure of the Company’s core business and management uses the non-GAAP measures internally to evaluate the Company’s ongoing performance. Accordingly, the Company believes they are useful to investors in enhancing an understanding of the Company’s operating performance.
Safe Harbor Statement
This release contains forward-looking statements, which express the current beliefs and expectations of Company management. Such statements involve a number of known and unknown risks and uncertainties that could cause our future results, performance or achievements to differ significantly from the results, performance or achievements set forth in such forward-looking statements. Important factors that could cause or contribute to such differences include risks relating to: our accounts receivables, including our ability to collect outstanding accounts and assess their collectability on a quarterly basis; our ability to meet expectations with respect to our financial guidance and outlook; our ability to compete successfully with other companies offering competing technologies; the loss of one or more significant customers; consolidation of, and strategic alliances by, our competitors; government regulation; the timing of completion of key project milestones which impact the timing of our revenue recognition; lower demand for key value-added services; our ability to keep pace with advances in technology and to add new features and value-added services; managing lengthy sales cycles; operational risks associated with large projects; our dependence on fourth party channel partners for a material portion of our revenues; and other factors discussed under the heading "Risk Factors" in the Company's annual report on Form 20-F filed with the Securities and Exchange Commission. Forward-looking statements in this release are made pursuant to the safe harbor provisions contained in the Private Securities Litigation Reform Act of 1995. These forward-looking statements are made only as of the date hereof, and the company undertakes no obligation to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise.

Investor Relations Contact: EK Global Investor Relations Ehud Helft +1 212 378 8040 allot@ekgir.com | Public Relations Contact: Seth Greenberg, Allot Ltd. +972 54 922 2294 sgreenberg@allot.com

TABLE - 1
ALLOT LTD.
AND ITS SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(U.S. dollars in thousands, except share and per share data)

|  | Three Months Ended |  |  | Six Months Ended |
|  | June 30, |  |  | June 30, |
|  | 2025 |  |  | 2024 |  |  | 2025 |  |  | 2024 |
|  | (Unaudited) |  |  | (Unaudited) |
Revenues |  | $ | 24,051 |  |  | $ | 22,164 |  |  | $ | 47,201 |  |  | $ | 44,054 |
Cost of revenues |  |  | 6,721 |  |  |  | 6,989 |  |  |  | 13,823 |  |  |  | 13,781 |
Gross profit |  |  | 17,330 |  |  |  | 15,175 |  |  |  | 33,378 |  |  |  | 30,273 |
Operating expenses: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Research and development costs, net |  |  | 7,261 |  |  |  | 7,326 |  |  |  | 13,252 |  |  |  | 14,475 |
Sales and marketing |  |  | 7,261 |  |  |  | 7,911 |  |  |  | 14,599 |  |  |  | 15,701 |
General and administrative |  |  | 3,215 |  |  |  | 3,304 |  |  |  | 6,643 |  |  |  | 6,206 |
Total operating expenses |  |  | 17,737 |  |  |  | 18,541 |  |  |  | 34,494 |  |  |  | 36,382 |
Operating loss |  |  | (407 | ) |  |  | (3,366 | ) |  |  | (1,116 | ) |  |  | (6,109 | )
Loss from extinguishment |  |  | (1,410 | ) |  |  | - |  |  |  | (1,410 | ) |  |  | - |
Other income |  |  | 100 |  |  |  | - |  |  |  | 100 |  |  |  | - |
Financial income, net |  |  | 359 |  |  |  | 489 |  |  |  | 1,033 |  |  |  | 1,029 |
Loss before income tax expenses |  |  | (1,358 | ) |  |  | (2,877 | ) |  |  | (1,393 | ) |  |  | (5,080 | )
Income tax expenses |  |  | 332 |  |  |  | 479 |  |  |  | 628 |  |  |  | 786 |
Net loss |  | $ | (1,690 | ) |  | $ | (3,356 | ) |  | $ | (2,021 | ) |  | $ | (5,866 | )
Basic net loss per share |  | $ | (0.04 | ) |  | $ | (0.09 | ) |  | $ | (0.05 | ) |  | $ | (0.16 | )
Diluted net loss per share |  | $ | (0.04 | ) |  | $ | (0.09 | ) |  | $ | (0.05 | ) |  | $ | (0.16 | )
Weighted average number of shares used in computing basic net loss per share |  |  | 40,140,875 |  |  |  | 38,712,407 |  |  |  | 39,944,413 |  |  |  | 38,562,065 |
Weighted average number of shares used in computing diluted net loss per share |  |  | 40,140,875 |  |  |  | 38,712,407 |  |  |  | 39,944,413 |  |  |  | 38,562,065 |

TABLE - 2
ALLOT LTD.
AND ITS SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP CONSOLIDATED STATEMENTS OF OPERATIONS

(U.S. dollars in thousands, except per share data)

|  | Three Months Ended |  |  | Six Months Ended |
|  | June 30, |  |  | June 30, |
|  | 2025 |  |  | 2024 |  |  | 2025 |  |  | 2024 |
|  | (Unaudited) |  |  | (Unaudited) |
GAAP cost of revenues |  | $ | 6,721 |  |  | $ | 6,989 |  |  | $ | 13,823 |  |  | $ | 13,781 |
Share-based compensation (1) |  |  | (160 | ) |  |  | (324 | ) |  |  | (254 | ) |  |  | (478 | )
Amortization of intangible assets (2) |  |  | (152 | ) |  |  | (152 | ) |  |  | (305 | ) |  |  | (304 | )
Non-GAAP cost of revenues |  | $ | 6,409 |  |  | $ | 6,513 |  |  | $ | 13,264 |  |  | $ | 12,999 |
GAAP gross profit |  | $ | 17,330 |  |  | $ | 15,175 |  |  | $ | 33,378 |  |  | $ | 30,273 |
Gross profit adjustments |  |  | 312 |  |  |  | 476 |  |  |  | 559 |  |  |  | 782 |
Non-GAAP gross profit |  | $ | 17,642 |  |  | $ | 15,651 |  |  | $ | 33,937 |  |  | $ | 31,055 |
GAAP operating expenses |  | $ | 17,737 |  |  | $ | 18,541 |  |  | $ | 34,494 |  |  | $ | 36,382 |
Share-based compensation (1) |  |  | (1,289 | ) |  |  | (1,863 | ) |  |  | (2,176 | ) |  |  | (3,069 | )
Non-GAAP operating expenses |  | $ | 16,448 |  |  | $ | 16,678 |  |  | $ | 32,318 |  |  | $ | 33,313 |
GAAP Loss from extinguishment |  | $ | (1,410 | ) |  | $ | - |  |  | $ | (1,410 | ) |  | $ | - |
Loss from extinguishment |  |  | 1,410 |  |  |  | - |  |  |  | 1,410 |  |  |  | - |
Non-GAAP Loss from extinguishment |  | $ | - |  |  | $ | - |  |  | $ | - |  |  | $ | - |
GAAP financial and other income |  | $ | 359 |  |  | $ | 489 |  |  | $ | 1,033 |  |  | $ | 1,029 |
Exchange rate differences* |  |  | 104 |  |  |  | 110 |  |  |  | 43 |  |  |  | 204 |
Non-GAAP Financial and other income |  | $ | 463 |  |  | $ | 599 |  |  | $ | 1,076 |  |  | $ | 1,233 |
GAAP taxes on income |  | $ | 332 |  |  | $ | 479 |  |  | $ | 628 |  |  | $ | 786 |
Changes in tax related items |  |  | (25 | ) |  |  | (133 | ) |  |  | (70 | ) |  |  | (177 | )
Non-GAAP taxes on income |  | $ | 307 |  |  | $ | 346 |  |  | $ | 558 |  |  | $ | 609 |
GAAP Net profit (Loss) |  | $ | (1,690 | ) |  | $ | (3,356 | ) |  | $ | (2,021 | ) |  | $ | (5,866 | )
Share-based compensation (1) |  |  | 1,449 |  |  |  | 2,187 |  |  |  | 2,430 |  |  |  | 3,547 |
Amortization of intangible assets (2) |  |  | 152 |  |  |  | 152 |  |  |  | 305 |  |  |  | 304 |
Loss from extinguishment |  |  | 1,410 |  |  |  | - |  |  |  | 1,410 |  |  |  | - |
Exchange rate differences* |  |  | 104 |  |  |  | 110 |  |  |  | 43 |  |  |  | 204 |
Changes in tax related items |  |  | 25 |  |  |  | 133 |  |  |  | 70 |  |  |  | 177 |
Non-GAAP Net income (loss) |  | $ | 1,450 |  |  | $ | (774 | ) |  | $ | 2,237 |  |  | $ | (1,634 | )
GAAP Loss per share (diluted) |  | $ | (0.04 | ) |  | $ | (0.09 | ) |  | $ | (0.05 | ) |  | $ | (0.16 | )
Share-based compensation |  |  | 0.03 |  |  |  | 0.06 |  |  |  | 0.06 |  |  |  | 0.10 |
Amortization of intangible assets |  |  | 0.01 |  |  |  | 0.01 |  |  |  | 0.01 |  |  |  | 0.01 |
Loss from extinguishment |  |  | 0.03 |  |  |  | - |  |  |  | 0.03 |  |  |  | - |
Non-GAAP Net income (Loss) per share (diluted) |  | $ | 0.03 |  |  | $ | (0.02 | ) |  | $ | 0.05 |  |  | $ | (0.05 | )
Weighted average number of shares used in computing GAAP diluted net income (loss) per share |  |  | 40,140,875 |  |  |  | 38,712,407 |  |  |  | 39,944,413 |  |  |  | 38,562,065 |
Weighted average number of shares used in computing non-GAAP diluted net income (loss) per share |  |  | 43,794,580 |  |  |  | 38,712,407 |  |  |  | 43,750,663 |  |  |  | 38,562,065 |

* Financial income or expenses related to exchange rate differences in connection with revaluation of assets and liabilities in non-dollar denominated currencies.

TABLE - 2 cont.
ALLOT LTD.
AND ITS SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP CONSOLIDATED STATEMENTS OF OPERATIONS
(U.S. dollars in thousands, except per share data)

|  | Three Months Ended |  |  | Six Months Ended |
|  | June 30, |  |  | June 30, |
|  | 2025 |  |  | 2024 |  |  | 2025 |  |  | 2024 |
|  | (Unaudited) |  |  | (Unaudited) |
(1) Share-based compensation: |  |  |  |  |  |  |  |  |  |  |  |
Cost of revenues |  | $ | 160 |  |  | $ | 324 |  |  | $ | 254 |  |  | $ | 478 |
Research and development costs, net |  |  | 380 |  |  |  | 787 |  |  |  | 622 |  |  |  | 1,285 |
Sales and marketing |  |  | 466 |  |  |  | 792 |  |  |  | 771 |  |  |  | 1,235 |
General and administrative |  |  | 443 |  |  |  | 284 |  |  |  | 783 |  |  |  | 549 |
|  | $ | 1,449 |  |  | $ | 2,187 |  |  | $ | 2,430 |  |  | $ | 3,547 |
(2) Amortization of intangible assets |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Cost of revenues |  | $ | 152 |  |  | $ | 152 |  |  | $ | 305 |  |  | $ | 304 |
Sales and marketing |  | $ | 152 |  |  | $ | 152 |  |  | $ | 305 |  |  | $ | 304 |

TABLE - 3
ALLOT LTD.
AND ITS SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(U.S. dollars in thousands)

|  | June 30, |  |  | December 31, |
|  | 2025 |  |  | 2024 |
|  | (Unaudited) |  |  | (Audited) |
ASSETS |  |  |  |  |  |
CURRENT ASSETS: |  |  |  |  |  |
Cash and cash equivalents |  | $ | 26,943 |  |  | $ | 16,142 |
Restricted deposit |  |  | 501 |  |  |  | 904 |
Short-term bank deposits |  |  | 11,050 |  |  |  | 15,250 |
Available-for-sale marketable securities |  |  | 11,518 |  |  |  | 26,470 |
Trade receivables, net (net of allowance for credit losses of $22,392 and $25,306 on June 30, 2025 and December 31, 2024 , respectively) |  |  | 20,135 |  |  |  | 16,482 |
Other receivables and prepaid expenses |  |  | 8,641 |  |  |  | 6,317 |
Inventories |  |  | 8,505 |  |  |  | 8,611 |
Total current assets |  |  | 87,293 |  |  |  | 90,176 |
NON-CURRENT ASSETS: |  |  |  |  |  |  |  |
Severance pay fund |  | $ | 243 |  |  | $ | 464 |
Restricted deposit |  |  | 329 |  |  |  | 279 |
Available-for-sale marketable securities |  |  | 21,672 |  |  |  | - |
Operating lease right-of-use assets |  |  | 6,091 |  |  |  | 6,741 |
Other assets |  |  | 552 |  |  |  | 2,151 |
Property and equipment, net |  |  | 6,039 |  |  |  | 7,692 |
Intangible assets, net |  |  | - |  |  |  | 305 |
Goodwill |  |  | 31,833 |  |  |  | 31,833 |
Total non-current assets |  |  | 66,759 |  |  |  | 49,465 |
Total assets |  | $ | 154,052 |  |  | $ | 139,641 |
LIABILITIES AND SHAREHOLDERS' EQUITY |  |  |  |  |  |  |  |
CURRENT LIABILITIES: |  |  |  |  |  |  |  |
Trade payables |  | $ | 924 |  |  | $ | 946 |
Employees and payroll accruals |  |  | 8,780 |  |  |  | 8,208 |
Deferred revenues |  |  | 20,647 |  |  |  | 17,054 |
Short-term operating lease liabilities |  |  | 484 |  |  |  | 562 |
Other payables and accrued expenses |  |  | 10,996 |  |  |  | 9,200 |
Total current liabilities |  |  | 41,831 |  |  |  | 35,970 |
LONG-TERM LIABILITIES: |  |  |  |  |  |  |  |
Deferred revenues |  |  | 6,079 |  |  |  | 7,136 |
Long-term operating lease liabilities |  |  | 5,611 |  |  |  | 5,807 |
Accrued severance pay |  |  | 814 |  |  |  | 946 |
Convertible debt |  |  | - |  |  |  | 39,973 |
Total long-term liabilities |  |  | 12,504 |  |  |  | 53,862 |
SHAREHOLDERS' EQUITY |  |  | 99,717 |  |  |  | 49,809 |
Total liabilities and shareholders' equity |  | $ | 154,052 |  |  | $ | 139,641 |

TABLE - 4
ALLOT LTD.
AND ITS SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(U.S. dollars in thousands)

|  | Three Months Ended |  |  | Six Months Ended |
|  | June 30, |  |  | June 30, |
|  | 2025 |  |  | 2024 |  |  | 2025 |  |  | 2024 |
|  | (Unaudited) |  |  | (Unaudited) |
Cash flows from operating activities: |  |  |  |  |  |  |  |  |  |  |  |
Net loss |  | $ | (1,690 | ) |  | $ | (3,356 | ) |  | $ | (2,021 | ) |  | $ | (5,866 | )
Adjustments to reconcile net loss to net cash used in operating activities: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Depreciation, amortization and impairment |  |  | 1,073 |  |  |  | 1,359 |  |  |  | 2,419 |  |  |  | 2,776 |
Share-based compensation |  |  | 1,449 |  |  |  | 2,187 |  |  |  | 2,430 |  |  |  | 3,547 |
Capital loss |  |  | - |  |  |  | - |  |  |  | 255 |  |  |  | - |
Loss from extinguishment |  |  | 1,410 |  |  |  | - |  |  |  | 1,410 |  |  |  | - |
Other income |  |  | (100 | ) |  |  | - |  |  |  | (100 | ) |  |  | - |
Changes in operating assets and liabilities: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Decrease (Increase) in accrued severance pay, net |  |  | 93 |  |  |  | (107 | ) |  |  | 89 |  |  |  | (165 | )
Decrease in other assets, other receivables and prepaid expenses |  |  | 196 |  |  |  | 955 |  |  |  | 1,619 |  |  |  | 1,672 |
Decrease in accrued interest and amortization of premium on available-for sale marketable securities |  |  | (521 | ) |  |  | (405 | ) |  |  | (862 | ) |  |  | (777 | )
Decrease in operating leases liability |  |  | (60 | ) |  |  | (159 | ) |  |  | (203 | ) |  |  | (618 | )
Decrease in operating lease right-of-use asset |  |  | 275 |  |  |  | 622 |  |  |  | 579 |  |  |  | 1,174 |
Increase in trade receivables |  |  | (901 | ) |  |  | (2,789 | ) |  |  | (3,653 | ) |  |  | (2,980 | )
Decrease (Increase) in inventories |  |  | (312 | ) |  |  | 2,101 |  |  |  | 106 |  |  |  | 2,268 |
Increase (Decrease) in trade payables |  |  | (97 | ) |  |  | 278 |  |  |  | (22 | ) |  |  | 16 |
Increase (Decrease) in employees and payroll accruals |  |  | 2,785 |  |  |  | (649 | ) |  |  | 573 |  |  |  | (4,135 | )
Increase in deferred revenues |  |  | 273 |  |  |  | 595 |  |  |  | 2,536 |  |  |  | 1,965 |
Increase (Decrease) in other payables and accrued expenses |  |  | 511 |  |  |  | 542 |  |  |  | 914 |  |  |  | (12 | )
Net cash provided by (used in) operating activities |  |  | 4,384 |  |  |  | 1,174 |  |  |  | 6,069 |  |  |  | (1,135 | )
Cash flows from investing activities: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Decrease (Increase) in restricted deposit |  |  | 50 |  |  |  | (1 | ) |  |  | 353 |  |  |  | 703 |
Investment in short-term bank deposits |  |  | (7,050 | ) |  |  | (3,800 | ) |  |  | (15,750 | ) |  |  | (3,800 | )
Withdrawal of short-term bank deposits |  |  | 12,700 |  |  |  | - |  |  |  | 19,950 |  |  |  | 10,000 |
Purchase of property and equipment |  |  | (408 | ) |  |  | (957 | ) |  |  | (689 | ) |  |  | (1,386 | )
Investment in marketable securities |  |  | (26,458 | ) |  |  | (10,477 | ) |  |  | (55,434 | ) |  |  | (34,752 | )
Proceeds from redemption or sale of marketable securities |  |  | 27,283 |  |  |  | 7,225 |  |  |  | 49,683 |  |  |  | 32,060 |
Proceeds from sale of patent |  |  | 100 |  |  |  | - |  |  |  | 100 |  |  |  | - |
Net cash provided by (used in) investing activities |  |  | 6,217 |  |  |  | (8,010 | ) |  |  | (1,787 | ) |  |  | 2,825 |
Cash flows from financing activities: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Issuance of share capital |  |  | 37,691 |  |  |  | - |  |  |  | 37,691 |  |  |  | - |
Proceeds from exercise of stock options |  |  | - |  |  |  | 1 |  |  |  | 238 |  |  |  | 1 |
Redemption of convertible debt |  |  | (31,410 | ) |  |  | - |  |  |  | (31,410 | ) |  |  | - |
Net cash provided by financing activities |  |  | 6,281 |  |  |  | 1 |  |  |  | 6,519 |  |  |  | 1 |
Increase (Decrease) in cash and cash equivalents |  |  | 16,882 |  |  |  | (6,835 | ) |  |  | 10,801 |  |  |  | 1,691 |
Cash, cash equivalents at the beginning of the period |  |  | 10,061 |  |  |  | 22,718 |  |  |  | 16,142 |  |  |  | 14,192 |
Cash, cash equivalents at the end of the period |  | $ | 26,943 |  |  | $ | 15,883 |  |  | $ | 26,943 |  |  | $ | 15,883 |
Non-cash activities: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
ROU asset and lease liability decrease, due to lease termination |  |  | - |  |  |  | - |  |  |  | (71 | ) |  |  | - |
Redemption of convertible debt |  |  | (10,000 | ) |  |  | - |  |  |  | (10,000 | ) |  |  | - |

Other financial metrics (Unaudited)
U.S. dollars in millions, except top 10 customers as a % of revenues and number of shares
|  |  | Q2-25 |  |  | FY 2024 |  |  | FY 2023 |
Revenues geographic breakdown |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Americas |  |  | 4.2 |  |  |  | 17 | % |  |  | 14.2 |  |  |  | 15 | % |  |  | 16.6 |  |  |  | 18 | %
EMEA |  |  | 15.8 |  |  |  | 66 | % |  |  | 54.0 |  |  |  | 59 | % |  |  | 56.1 |  |  |  | 60 | %
Asia Pacific |  |  | 4.1 |  |  |  | 17 | % |  |  | 24.0 |  |  |  | 26 | % |  |  | 20.5 |  |  |  | 22 | %
|  |  | 24.1 |  |  |  | 100 | % |  |  | 92.2 |  |  |  | 100 | % |  |  | 93.2 |  |  |  | 100 | %
Revenues breakdown by type |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Products |  |  | 7.6 |  |  |  | 31 | % |  |  | 30.1 |  |  |  | 33 | % |  |  | 37.6 |  |  |  | 40 | %
Professional Services |  |  | 1.6 |  |  |  | 7 | % |  |  | 8.3 |  |  |  | 9 | % |  |  | 6.1 |  |  |  | 7 | %
SECaaS (Security as a Service) |  |  | 6.4 |  |  |  | 27 | % |  |  | 16.5 |  |  |  | 18 | % |  |  | 10.6 |  |  |  | 11 | %
Support & Maintenance |  |  | 8.5 |  |  |  | 35 | % |  |  | 37.3 |  |  |  | 40 | % |  |  | 38.9 |  |  |  | 42 | %
|  |  | 24.1 |  |  |  | 100 | % |  |  | 92.2 |  |  |  | 100 | % |  |  | 93.2 |  |  |  | 100 | %
Top 10 customers as a % of revenues |  |  | 55 | % |  |  |  |  |  |  | 43 | % |  |  |  |  |  |  | 47 | % |  |  |  |
Non-GAAP Weighted average number of basic shares (in millions) |  |  | 40.1 |  |  |  |  |  |  |  | 38.9 |  |  |  |  |  |  |  | 37.9 |  |  |  |  |
Non-GAAP weighted average number of fully diluted shares (in millions) |  |  | 43.8 |  |  |  |  |  |  |  | 42.3 |  |  |  |  |  |  |  | 40.3 |  |  |  |  |

SECaaS (Security as a Service) revenues- U.S. dollars in millions (Unaudited)
Q2-2025: |  |  | 6.4 |  |
Q1-2025: |  |  | 5.1 |  |
Q4-2024: |  |  | 4.8 |  |
Q3-2024: |  |  | 4.7 |  |
Q2-2024: |  |  | 3.7 |  |
SECaaS ARR* - U.S. dollars in millions (Unaudited)
Jun. 2025: |  |  | 25.2 |  |
Dec. 2024: |  |  | 18.2 |  |
Dec. 2023: |  |  | 12.7 |  |
Dec. 2022: |  |  | 9.2 |  |