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Segment Geographical Information and Major Customers
 12 Months Ended
Dec. 31, 2020
Segment Reporting [Abstract]  
SEGMENT GEOGRAPHICAL INFORMATION AND MAJOR CUSTOMERS
NOTE 18:- SEGMENT GEOGRAPHICAL INFORMATION AND MAJOR CUSTOMERS

 

  a. The Company reports its results on the basis of two reportable business segments: software services (which include proprietary and none proprietary software technology) and IT professional services.

 

The Company evaluates segment performance based on revenues and operating income of each segment. The accounting policies of the operating segments are the same as those described in the summary of significant accounting policies. This data is presented in accordance with ASC 280, “Segment Reporting.”

 

Headquarters’ general and administrative costs have not been allocated between the different segments.

 

Software services

 

The Company develops markets, sells and supports a proprietary and none proprietary application platform, software applications, business and process integration solutions and related services.

 

IT professional services

 

The Company offers advanced and flexible IT services in the areas of infrastructure design and delivery, application development, technology planning and implementation services, communications services and solutions, as well as supplemental outsourcing services.

 

There are no significant transactions between the two segments.

 

  b. The following is information about reported segment results of operation:

 

   Software
services		   IT
professional
services		   Unallocated
expense		   Total 
2018                
                 
Total revenues  $81,332   $203,043   $
-
   $284,375 
Expenses   63,902    183,985    4,790    252,677 
                     
Segment operating income (loss)  $17,430   $19,058   $(4,790)  $31,698 
                     
Depreciation and amortization  $8,727   $3,611   $226   $12,564 

 

  

Software

services

  

IT

professional

services

  

Unallocated

expense

   Total 
2019                
                 
Total revenues  $86,140   $239,490   $
-
   $325,630 
Expenses   71,825    216,842    3,311    291,978 
                     
Segment operating income (loss)  $14,315   $22,648   $(3,311)  $33,652 
                     
Depreciation and amortization  $8,799   $5,059   $167   $14,025 
                     
2020                    
                     
Total revenues  $86,025   $285,169   $
-
   $371,194 
Expenses   64,498    258,907    7,201    330,606 
                     
Segment operating income (loss)  $21,527   $26,262   $(7,201)  $40,588 
                     
Depreciation and amortization  $10,329   $3,347   $263   $13,939 

 

  c. The Company’s business is divided into the following geographic areas: United States, Israel, Europe, Japan and other regions. Total revenues are attributed to geographic areas based on the location of the customers.

 

The following table presents total revenues classified according to geographical destination for the years ended December 31, 2018, 2019 and 2020:

 

   Year ended December 31, 
   2020   2019   2018 
             
United States  $177,882   $158,095   $137,066 
Israel   149,094    124,523    103,850 
Europe   26,947    25,788    28,257 
Japan   12,643    12,499    9,797 
Other   4,628    4,725    5,405 
                
   $371,194   $325,630   $284,375 

 

  d. The Company’s long-lived assets are located as follows:

 

   December 31, 
   2020   2019 
         
Israel  $130,326   $108,608 
United States   74,637    68,989 
Japan   6,404    6,406 
Other   3,013    3,248 
Europe   5,191    3,103 
           
   $219,571   $190,354 

 

  e. The Company does not allocate its assets to its reportable segments; accordingly, asset information by reportable segments is not presented.

 

  f. In 2018, 2019 and 2020, the Company had one major customer, included in the IT professional services segment, which accounted for 13%, 9% and 10% of the group revenues, respectively.