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SEGMENT REPORTING
 6 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
SEGMENT REPORTING

NOTE 12: 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’s operations as they do not meet the segment definition criteria.

 

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 June 30, 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.

 

 

VIEWBIX INC.

NOTES TO INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

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

 

NOTE 12: SEGMENT REPORTING (Cont.)

 

Segments revenues and operating results:

 

                 
   For the six months ended June 30, 2025 
  

Search

segment

  

Digital

content

segment

  

Adjustments

and eliminations

(See below)

   Total 
                 
Revenues from external customers   883    4,115    16    5,014 
Traffic-acquisition and related costs   184    4,019    -    4,203 
Research and development expenses   36    236    -    272 
Sales and marketing expenses   50    356    -    406 
General and administrative expenses   145    74    610    829 
Depreciation and amortization   -    -    1,500    1,500 
Goodwill impairment   -    -    3,150    3,150 
Other expenses, net   -    -    544    544 
Segment operating income (loss)   468    (570)   (5,788)   (5,890)
Financial income (expenses), net   (40)   3    (10,488)(*)   (10,525)
Segment income (loss), before income taxes   428    (567)   (16,276)   (16,415)

 

                 
   For the six months ended June 30, 2024 
  

Search

segment

  

Digital

content

segment

  

Adjustments

and eliminations

(See below)

   Total 
                 
Revenues from external customers   3,587    13,748    -    17,335 
Traffic-acquisition and related costs   1,615    12,454    -    14,069 
Research and development expenses   677    581    4    1,262 
Sales and marketing expenses   243    867    -    1,110 
General and administrative expenses   339    282    682    1,303 
Depreciation and amortization   -    -    1,555    1,555 
Goodwill Impairment   -    -    4,739    4,739 
Other expenses (income), net   (5)   (237)   29    (213)
Segment operating income (loss)   718    (199)   (7,009)   (6,490)
Financial expenses, net   (10)   (74)   (2,823)(**)   (2,907)
Segment income (loss), before income taxes   708    (273)   (9,832)   (9,397)

 

 

VIEWBIX INC.

NOTES TO INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

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

 

NOTE 12: SEGMENT REPORTING (Cont.)

 

Segments revenues and operating results (Cont.):

 

                 
   For the three months ended June 30, 2025 
  

Search

segment

  

Digital

content

segment

  

Adjustments

and eliminations

(See below)

   Total 
                 
Revenues from external customers   354    1,911    16    2,281 
Traffic-acquisition and related costs   50    1,830    -    1,880 
Research and development expenses   20    105    -    125 
Sales and marketing expenses   30    160    -    190 
General and administrative expenses   70    18    488    576 
Depreciation and amortization   -    -    781    781 
Goodwill Impairment   -    -    3,150    3,150 
Other expenses, net   -    -    500    500 
Segment operating income (loss)   184    (202)   (4,903)   (4,921)
Financial income (expenses), net   (35)   39    (7,626)(*)   (7,622)
Segment income (loss), before income taxes   149    (163)   (12,529)   (12,543)

 

                 
   For the three months ended June 30, 2024 
  

Search

segment

  

Digital

content

segment

  

Adjustments

and eliminations

(See below)

   Total 
                 
Revenues from external customers   1,115    6,218    -    7,333 
Traffic-acquisition and related costs   357    5,497    -    5,854 
Research and development expenses   260    272    -    532 
Sales and marketing expenses   90    362    -    452 
General and administrative expenses   157    138    352    647 
Depreciation and amortization   -    -    821    821 
Goodwill Impairment   -    -    4,739    4,739 
Other expenses (income), net   (5)   (237)   9    (233)
Segment operating income (loss)   256    186    (5,921)   (5,479)
Financial expenses, net   (11)   (60)   (2,673)(**)   (2,744)
Segment income (loss), before income taxes   245    126    (8,594)   (8,223)

  (*) 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 financial expenses from substantial debt terms modification loss and interest expenses on bank loans in connection with the Financing Agreement (see note 7.A, 7.B and 7.D).

 

 

VIEWBIX INC.

NOTES TO INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

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

 

NOTE 12: SEGMENT REPORTING (Cont.)

 

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

 

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 six

months ended

June 30, 2025

  

For the three

months ended

June 30, 2025

 
         
Depreciation and amortization expenses not attributable to segments (***)   (1,500)   (781)
Revenues, research and development expenses, sales and marketing expenses, general and administrative expenses and other expenses, net not attributable to the segments (****)   (1,138)   (972)
Goodwill Impairment   (3,150)   (3,150)
    (5,788)   (4,903)

 

  

For the six

months ended

June 30, 2024

  

For the three

months ended

June 30, 2024

 
         
Depreciation and amortization expenses not attributable to segments (***)   (1,555)   (821)
Research and development expenses, sales and marketing expenses, general and administrative expenses and other expenses, net not attributable to the segments (****)   (715)   (361)
Goodwill Impairment   (4,739)   (4,739)
    (7,009)   (5,921)

 

  (*) 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 financial expenses from substantial debt terms modification loss and interest expenses on bank loans in connection with the Financing Agreement (see note 7.A, 7.B and 7.D).

 

  (***) 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.

 

 

VIEWBIX INC.

NOTES TO INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

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