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SEGMENT REPORTING
 9 Months Ended
Sep. 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. The search segment activity is conducted by Gix Media.

 

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 digital content segment activity is conducted by Cortex. Subsequent to the balance sheet date, in November, 2025, Gix Media sold all of its holdings in Cortex (see note 13.C).

 

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 September 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 nine months ended September 30, 2025 
  

Search

segment

  

Digital

content

segment

  

Adjustments

and eliminations

(See below)

   Total 
                 
Revenues from external customers   1,225    6,486    20    7,731 
Inter segment revenues   -    (55)   55    - 
Total revenues   1,225    6,431    75    7,731 
Traffic-acquisition and related costs   188    6,093    55    6,336 
Research and development expenses   57    330    -    387 
Sales and marketing expenses   76    503    -    579 
General and administrative expenses   191    258    999    1,448 
Depreciation and amortization   -    -    2,291    2,291 
Impairment of intangible assets and goodwill   -    -    5,525    5,525 
Other expenses, net   -    -    688    688 
Segment operating income (loss)   713    (753)   (9,483)   (9,523)
Financial expenses, net   (160)   (20)   (11,013) (*)   (11,193)
Segment income (loss), before income taxes   553    (773)   (20,496)   (20,716)

 

                 
   For the nine months ended September 30, 2024 
  

Search

segment

  

Digital

content

segment

  

Adjustments

and eliminations

(See below)

   Total 
                 
Revenues from external customers   4,376    19,240    -    23,616 
Inter segment revenues   -    183    (183)   - 
Total revenues   4,376    19,423    (183)   23,616 
Traffic-acquisition and related costs   1,830    17,567    (183)   19,214 
Research and development expenses   762    827    11    1,600 
Sales and marketing expenses   281    1,155    4    1,440 
General and administrative expenses   455    297    985    1,737 
Depreciation and amortization   -    -    2,282    2,282 
Goodwill Impairment   -    -    4,739    4,739 
Other expenses (income), net   (5)   (237)   242    - 
Segment operating income (loss)   1,053    (186)   (8,263)   (7,396)
Financial expenses, net   (21)   (131)   (2,603) (**)   (2,755)
Segment income (loss), before income taxes   1,032    (317)   (10,866)   (10,151)

 

 

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 September 30, 2025 
  

Search

segment

  

Digital

content

segment

  

Adjustments

and eliminations

(See below)

   Total 
                 
Revenues from external customers   342    2,371    4    2,717 
Inter segment revenues   -    (55)   55    - 
Total revenues   342    2,316    59    2,717 
Traffic-acquisition and related costs   4    2,074    55    2,133 
Research and development expenses   21    94    -    115 
Sales and marketing expenses   26    147    -    173 
General and administrative expenses   46    184    389    619 
Depreciation and amortization   -    -    791    791 
Impairment of intangible assets and goodwill   -    -    2,375    2,375 
Other expenses, net   -    -    144    144 
Segment operating income (loss)   245    (183)   (3,695)   (3,633)
Financial expenses, net   (120)   (23)   (525) (*)   (668)
Segment income (loss), before income taxes   125    (206)   (4,220)   (4,301)

 

                 
   For the three months ended September 30, 2024 
  

Search

segment

  

Digital

content

segment

  

Adjustments

and eliminations

(See below)

   Total 
                 
Revenues from external customers   789    5,492    -    6,281 
Inter segment revenues   -    183    (183)   - 
Total revenues   789    5,675    (183)   6,281 
Traffic-acquisition and related costs   215    5,113    (183)   5,145 
Research and development expenses   85    246    7    338 
Sales and marketing expenses   38    288    3    329 
General and administrative expenses   116    15    304    435 
Depreciation and amortization   -    -    727    727 
Other expenses, net   -    -    213    213 
Segment operating income (loss)   335    13    (1,254)   (906)
Financial income (expenses), net   (11)   (57)   220 (*)   152 
Segment income (loss), before income taxes   324    (44)   (1,034)   (754)

 

  (*) 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 notes 7.B, 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 nine

months ended

September 30, 2025

  

For the three

months ended

September 30, 2025

 
         
Depreciation and amortization expenses not attributable to segments (***)   (2,291)   (791)
Revenues, research and development expenses, sales and marketing expenses, general and administrative expenses and other expenses, net not attributable to the segments (****)   (1,667)   (529)
Impairment of intangible assets and goodwill   (5,525)   (2,375)
    (9,483)   (3,695)

 

  

For the nine

months ended

September 30, 2024

  

For the three

months ended

September 30, 2024

 
         
Depreciation and amortization expenses not attributable to segments (***)   (2,282)   (727)
Research and development expenses, sales and marketing expenses, general and administrative expenses and other expenses, net not attributable to the segments (****)   (1,242)   (527)
Goodwill Impairment   (4,739)   - 
    (8,263)   (1,254)

 

  (*) 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 notes 7.B, 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)