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Leases
 12 Months Ended
Dec. 31, 2022
Leases [Abstract]  
LEASES
Note 14:-LEASES

 

The Company leases substantially all of its office space and vehicles under operating leases. The Company’s leases have original lease periods expiring between 2023 and 2034. Some leases include one or more options to renew. The Company does not assume renewals in its determination of the lease term unless the renewals are deemed to be reasonably certain at lease commencement. Lease payments included in the measurement of the lease liability comprise the following: the fixed non-cancellable lease payments, payments for optional renewal periods where it is reasonably certain the renewal period will be exercised, and payments for early termination options unless it is reasonably certain the lease will not be terminated early.

 

In July 2020, the Company entered into a lease agreement for new corporate offices for the company in Or Yehuda, Israel. The lease expires in June 2033, with an option by the Company to extend for an additional 10-years term. The Company deemed this option as reasonably certain to be renewed.

 

The Company has several leased offices in the United States, with expiry dates varying between 2023 and 2024, with renewal options varying between 2023 and 2029.

 

In November 2021, one of the Company’s subsidiaries in Israel entered into a lease agreement for new corporate offices. The lease commenced on July 2022 with a lease term through 2029, with an option to terminate the lease after a 4-year term following a 12-month notice in advance, and an option to renew the lease to an additional 5-year term, through 2034. The Company deemed this option as reasonably certain to be renewed.

 

Under IFRS 16, all leases with durations greater than 12 months, including non-cancellable operating leases, are now recognized on the statement of financial position. The aggregated present value of lease agreements is recorded as a long-term asset titled operating lease right-of-use assets.

 

The corresponding lease liabilities are classified between operating lease liabilities which are current and long-term.

 

Maturity analysis of undiscounted future lease payments for lease liabilities:

 

2023  $5,370 
2024   4,344 
2025   3,309 
2026   2,447 
2027   1,964 
2028 and thereafter   17,258 
Total undiscounted cash flows  $34,692 
Less imputed interest   (5,819)
Present value of lease liabilities  $28,873 

 

a.Information on leases:

 

   Year ended December 31, 
   2021   2022 
         
Expenses relating to operating lease costs  $2,889   $1,930 
Expenses relating to short-term leases  $57   $109 
Expenses relating to variable lease payments  $2,928   $2,753 
Total cash outflow for leases  $5,874   $4,792 

 

The following is a summary of weighted average remaining lease terms and discount rates for all of the Company’s operating leases:

 

   December 31,
 
   2022 
Weighted average remaining lease term (years)   12.4 
Weighted average discount rate   2.96%

 

b.Disclosures in respect of right-of-use assets:

 

   Buildings   Motor
vehicles		   Total 
Cost:            
Balance as of January 1, 2022  $33,241   $3,505   $36,746 
Additions during the year:               
New leases   4,881    1,468    6,349 
Modification of leases   589    89    678 
Adjustments for indexation   947    95    1,042 
Adjustments arising from translating financial statements of foreign operations   (1,228)   7    (1,221)
Acquisition of subsidiaries   2,714    40    2,754 
Disposals during the year:               
Termination of leases   (692)   (333)   (1,025)
                
Balance as of December 31, 2022  $40,452   $4,871   $45,323 
                
Accumulated depreciation:               
Balance as of January 1, 2022   11,943    1,523    13,466 
Additions during the year:               
Depreciation   3,151    1,169    4,320 
Adjustments arising from translating financial statements of foreign operations   665    29    694 
Disposals during the year:               
Termination of leases   (509)   (184)   (693)
                
Balance as of December 31, 2022   15,250    2,537    17,787 
                
Depreciated cost at December 31, 2022  $25,202   $2,334   $27,536 

 

   Buildings   Motor vehicles   Total 
Cost:            
Balance as of January 1, 2021  $28,563   $3,283   $31,846 
Additions during the year:               
New leases   4,199    235    4,434 
Adjustments for indexation   186    103    289 
Adjustments arising from translating financial statements of foreign operations   1,781    159    1,940 
Acquisition of subsidiaries   1,129    
-
    1,129 
Disposals during the year:               
Termination of leases   (2,617)   (275)   (2,892)
                
Balance as of December 31, 2021  $33,241   $3,505   $36,746 
                
Accumulated depreciation:               
Balance as of January 1, 2021   7,432    1,051    8,483 
Additions during the year:               
Depreciation   4,514    473    4,987 
Adjustments arising from translating financial statements of foreign operations   1,510    157    1,667 
Disposals during the year:               
Termination of leases   (1,511)   (160)   (1,671)
                
Balance as of December 31, 2021   11,945    1,521    13,466 
                
Depreciated cost at December 31, 2021  $21,296   $1,984   $23,280