Leases

12 Months Ended

Dec. 31, 2020

Note 10 - Leases

A.The components of operating lease cost for the year ended December 31, 2020 and 2019 were as follows:

	Year ended December 31
	2019		2020
	US$ thousands

Operating lease costs		1,494		1,623
Variable lease payments not included in the lease liability		2		3
Short-term lease cost		287		285
Total operating lease cost		1,783		1,911

B.Supplemental cash flow information related to operating leases was as follows:

	Year ended December 31
	2019		2020
	US$ thousands

Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases		1,541		1,601
Right-of-use assets obtained in exchange for lease obligations (non-cash):
Operating leases		1,524		7,201

C.Supplemental balance sheet information related to operating leases was as follows:

	December 31
	2019		2020
	US$ thousands

Operating leases:
Operating leases right-of-use		3,783		9,913

Current operating lease liabilities		1,090		1,813
Non-current operating lease liabilities		2,693		8,282
Total operating lease liabilities		3,783		10,095

F - 29

Silicom Ltd. and its Subsidiaries

Notes to the Consolidated Financial Statements

Note 10 - Leases (cont’d)

C.Supplemental balance sheet information related to operating leases was as follows (cont’d):

	December 31
	2019			2020
	US$ thousands

Weighted average remaining lease term (years)		4.8			8.2

Weighted average discount rate		3.3	%		2.4	%

D.Future minimum lease payments under non-cancellable leases as of December 31, 2020 were as follows:

	December 31, 2020
	US$ thousands

2021		1,743
2022		1,575
2023		1,426
2024		1,161
After 2025		4,934
Total operating lease payments		10,839
Less: imputed interest		(744	)
Present value of lease liabilities		10,095