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SEGMENT REPORTING
 3 Months Ended
Mar. 31, 2025
Segment Reporting [Abstract]  
SEGMENT REPORTING

NOTE 11: SEGMENT REPORTING

 

The Group operates in two different segments in such a way that each company in the Group operates as a separate business segment. These business segments currently do not include Metagramm operations as Metagramm Acquisition consummated on the end of March 2025.

 

Search segment- the search segment develops a variety of technological software solutions, which perform automation, optimization and monetization of internet campaigns, for the purposes of obtaining and routing internet user traffic to its customers.

 

Digital content segment- the digital content segment is engaged in the creation and editing of content, in different languages, for different target audiences, for the purposes of generating revenues from leading advertising platforms, including Google, Facebook, Yahoo and Apple, by utilizing such content to obtain internet user traffic for its customers.

 

The segments’ results include items that directly serve and/or are used by the segment’s business activity and are directly allocated to the segment. As such they do not include depreciation and amortization expenses for intangible assets created at the time of the purchase of those companies and financing expenses incurred on loans taken for the purpose of purchasing those companies. Therefore, these items are not allocated to the various segments.

 

The chief executive officer, who is the Company’s chief operating decision maker (“CODM”), assesses performance for these segments and decides how to allocate resources based the segments’ operating income or loss and income or loss before tax. Segments’ assets and liabilities are not reviewed by the CODM and therefore were not reflected in the segment reporting. The significant expense categories comprising segments profit and loss regularly reviewed by the CODM for the periods ended March 31, 2025 and 2024 are set forth in the tables below.

 

The substantial amount of non-current assets is derived from Israel and the substantial amount of revenues is derived from United States.

 

Segments revenues and operating results:

 

                         
    For the three months ended March 31, 2025  
    Search
segment		    

Digital

content

segment

    

Adjustments

and eliminations

(See below)

     Total  
                         
Revenues from external customers     529       2,204       -       2,733  
Traffic-acquisition and related costs     134       2,189       -       2,323  
Research and development expenses     16       131       -       147  
Sales and marketing expenses     20       196       -       216  
General and administrative expenses     75       56      

122

      

253

  
Depreciation and amortization     -       -       719       719  
Other expenses, net                     44       44  
Segment operating income (loss)     284       (368 )     (885 )     (969 )
Financial expenses, net     (5 )     (36 )     (2,862 )(*)    

(2,903

 )
Segment income (loss), before income taxes     279       (404 )    

(3,747

 )    

(3,872

 )

  

 

VIEWBIX INC.

NOTES TO INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

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

 

NOTE 11: SEGMENT REPORTING (Cont.)

 

A. Segments revenues and operating results: (Cont.)

 

                         
    For the three months ended March 31, 2024  
    Search
segment		    

Digital

content

segment

    

Adjustments

and eliminations

(See below)

     Total  
                         
Revenues from external customers     2,472       7,530       -       10,002  
Traffic-acquisition and related costs     1,258       6,957       -       8,215  
Research and development expenses     417       309       4       730  
Sales and marketing expenses     153       505       -       658  
General and administrative expenses     182       144       330       656  
Depreciation and amortization     -       -       734       734  
Other expenses, net     -       -       20       20  
Segment operating income (loss)     462       (385 )     (1,088 )     (1,011 )
Financial income (expenses), net     1       (14 )     (150 )(**)     (163 )
Segment income (loss), before income taxes     463       (399 )     (1,238 )     (1,174 )

  

  (*) Mainly consist of financial expenses arising from changes in the fair value of financial assets measured at fair value through profit or loss (see note 8).

  (**) Mainly consist of interest expenses on bank loans in connection with the Financing Agreement (see note 7.A, 7.B).

 

The “adjustments and eliminations” column for segment operating income includes unallocated selling, general, and administrative expenses and certain items which management excludes from segment results when evaluating segment performance, as follows:

 

  

For the three
months ended

March 31,
2025

  

For the three
months ended

March 31,
2024

 
         
Depreciation and amortization expenses not attributable to segments (***)  $(719)  $(734)
Research and development expenses, sales and marketing expenses, general and administrative expenses and other expenses , net not attributable to the segments (****)  $(166)  $(354)
    (885)   (1,088)

  

  (*) Mainly consist of financial expenses arising from changes in the fair value of financial assets measured at fair value through profit or loss (see note 8).
     
  (**) Mainly consist of interest expenses on bank loans in connection with the Financing Agreement (see note 7.A, 7.B).

 

  (***) Mainly consist of technology and customer relations amortization costs from business combinations.
     
  (****) Mainly consist of general and administrative expenses such as salary and related expenses and professional consulting expenses.