Cover
Cover | 12 Months Ended |
Dec. 31, 2020shares | |
Cover [Abstract] | |
Document Type | 20-F |
Amendment Flag | false |
Document Period End Date | Dec. 31, 2020 |
Document Fiscal Period Focus | FY |
Document Fiscal Year Focus | 2020 |
Current Fiscal Year End Date | --12-31 |
Entity File Number | 001-35165 |
Entity Registrant Name | Brainsway Ltd. |
Entity Central Index Key | 0001505065 |
Entity Incorporation, State or Country Code | L3 |
Entity Well-known Seasoned Issuer | No |
Entity Voluntary Filers | No |
Entity Current Reporting Status | Yes |
Entity Interactive Data Current | Yes |
Entity Filer Category | Non-accelerated Filer |
Entity Emerging Growth Company | true |
Elected Not To Use the Extended Transition Period | false |
Entity Shell Company | false |
Entity Common Stock, Shares Outstanding | 22,250,534 |
Consolidated Statements of Fina
Consolidated Statements of Financial Position - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 16,961 | $ 21,674 |
Short-term deposits | 221 | 221 |
Trade receivables, net | 5,582 | 5,507 |
Other accounts receivable | 1,534 | 1,427 |
Total current assets | 24,298 | 28,829 |
NON-CURRENT ASSETS: | ||
Long-term deposit | 163 | 168 |
Leased systems | 5,198 | 5,491 |
System components and other property and equipment | 4,352 | 4,248 |
Total non-current assets | 9,713 | 9,907 |
Total assets | 34,011 | 38,736 |
CURRENT LIABILITIES: | ||
Trade payables | 781 | 1,320 |
Other accounts payable | 3,769 | 3,379 |
Deferred revenues | 1,543 | 1,305 |
Liability in respect of research and development grants | 707 | 714 |
Total current liabilities | 6,800 | 6,718 |
NON-CURRENT LIABILITIES: | ||
Deferred revenues and other liabilities | 2,015 | 2,353 |
Liability in respect of research and development grants | 5,524 | 5,367 |
Warrants | 38 | 78 |
Total non-current liabilities | 7,577 | 7,798 |
EQUITY: | ||
Share capital | 233 | 233 |
Share premium | 95,135 | 93,649 |
Share-based payment | 3,748 | 4,435 |
Adjustments arising from translating financial statements from functional currency to presentation currency | (2,188) | (2,188) |
Accumulated deficit | (77,294) | (71,909) |
Total equity | 19,634 | 24,220 |
Total equity and liabilities | $ 34,011 | $ 38,736 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Loss - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Profit or loss [abstract] | |||
Revenues | $ 22,057 | $ 23,101 | $ 16,397 |
Cost of revenues | 5,058 | 5,129 | 3,589 |
Gross profit | 16,999 | 17,972 | 12,808 |
Research and development expenses, net | 5,823 | 7,876 | 6,156 |
Selling and marketing expenses | 11,283 | 13,269 | 8,345 |
General and administrative expenses | 4,722 | 5,303 | 3,421 |
Total operating expenses | 21,828 | 26,448 | 17,922 |
Operating loss | 4,829 | 8,476 | 5,114 |
Finance expense, net | 319 | 1,430 | 1,156 |
Loss before income taxes | 5,148 | 9,906 | 6,270 |
Income taxes | 237 | 422 | 209 |
Net loss and total comprehensive loss | $ 5,385 | $ 10,328 | $ 6,479 |
Basic and diluted net loss per share | $ (0.24) | $ (0.50) | $ (0.39) |
Consolidated Statements of Chan
Consolidated Statements of Changes in Equity (Unaudited) - USD ($) $ in Thousands | Share Capital [Member] | Share Premium [Member] | Reserve for shared-based payment transactions | Adjustments arising from translating financial statements from functional currency to presentation currency | Accumulated deficit [Member] | Total | ||
Beginning Balance at Dec. 31, 2017 | $ 171 | $ 65,951 | $ 3,889 | $ (2,188) | $ (55,102) | $ 12,721 | ||
IfrsStatementLineItems [Line Items] | ||||||||
Net loss and total comprehensive loss | (6,479) | (6,479) | ||||||
Expiration of share options | 1,242 | (1,242) | ||||||
Cost of share-based payment | 710 | 710 | ||||||
Ending Balance at Dec. 31, 2018 | 171 | 67,193 | 3,357 | (2,188) | (61,581) | 6,952 | ||
IfrsStatementLineItems [Line Items] | ||||||||
Net loss and total comprehensive loss | (10,328) | (10,328) | ||||||
Issuance of shares, net | [1] | 62 | 26,271 | 26,333 | ||||
Expiration of share options | 185 | (185) | ||||||
Cost of share-based payment | 1,263 | 1,263 | ||||||
Ending Balance at Dec. 31, 2019 | 233 | 93,649 | 4,435 | (2,188) | (71,909) | 24,220 | ||
IfrsStatementLineItems [Line Items] | ||||||||
Net loss and total comprehensive loss | (5,385) | (5,385) | ||||||
Forfeiture of share options | [2] | (187) | (187) | |||||
Exercise of share options | 466 | (466) | ||||||
Expiration of share options | 1,020 | (1,020) | ||||||
Cost of share-based payment | 986 | 986 | ||||||
Ending Balance at Dec. 31, 2020 | $ 233 | $ 95,135 | $ 3,748 | $ (2,188) | $ (77,294) | $ 19,634 | ||
[1] | Net of issuance expenses of $ 2,290. | |||||||
[2] | Represents amounts less than $ 1. |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Cash flows from operating activities: | |||
Total comprehensive loss | $ (5,385) | $ (10,328) | $ (6,479) |
Adjustments to profit or loss items: | |||
Depreciation, amortization and impairment | 1,499 | 1,741 | 463 |
Depreciation of leased systems | 1,180 | 1,054 | 765 |
Withdrawal of lease due to termination of contract | (5) | ||
Finance expenses, net | 319 | 1,430 | 1,157 |
Cost of share-based payment | 799 | 1,263 | 710 |
Income taxes | 237 | 422 | 209 |
Total adjustments to reconcile profit (loss) | 4,029 | 5,910 | 3,304 |
Changes in asset and liability items: | |||
Increase in trade receivables | (7) | (2,634) | (419) |
Decrease (increase) in other accounts receivable | (97) | 136 | (595) |
Decrease in long-term prepaid expenses and other | (217) | ||
Increase (decrease) in trade payables | (552) | 175 | 859 |
Increase (decrease) in other accounts payable | 515 | (385) | 482 |
Increase (decrease) in deferred revenues and other liabilities | 320 | 555 | (314) |
Total changes in asset and liability | 179 | (2,153) | (204) |
Cash paid and received during the year for: | |||
Interest paid | (71) | (296) | (239) |
Interest received | 61 | 175 | 37 |
Income taxes paid | (249) | (552) | (192) |
Total cash paid and received during the year | (259) | (673) | (394) |
Net cash used in operating activities | (1,436) | (7,244) | (3,773) |
Cash flows from investing activities: | |||
Purchase of property and equipment and system components | (2,470) | (3,311) | (1,972) |
Withdrawal of (investment in) short-term deposits, net | (120) | (50) | |
Withdrawal of long-term deposits, net | 5 | 985 | 886 |
Net cash used in investing activities | (2,465) | (2,446) | (1,136) |
Cash flows from financing activities: | |||
Receipt (repayment) of loan from bank, net | (3,000) | ||
Receipt of government grants | 42 | 176 | 149 |
Repayment of liability in respect of research and development grants | (655) | (601) | (414) |
Repayment of lease liability | (417) | (434) | |
Proceeds from issuance of shares, net | 26,333 | ||
Net cash (used in) provided by financing activities | (1,030) | 22,474 | (265) |
Exchange rate differences on cash and cash equivalents | 218 | (78) | (367) |
Increase (decrease) in cash and cash equivalents | (4,713) | 12,706 | (5,541) |
Cash and cash equivalents at the beginning of the year | 21,674 | 8,968 | 14,509 |
Cash and cash equivalents at the end of the year | 16,961 | 21,674 | 8,968 |
(a) Significant non-cash transactions: | |||
Purchase of property and equipment on credit | 23 | 183 | 280 |
Recognition of new lease liability and right-of-use | 48 | ||
Termination of lease liability and right-of-use | (51) | ||
long-term prepaid expenses not yet paid | $ 1,128 |
General
General | 12 Months Ended |
Dec. 31, 2020 | |
General [abstract] | |
GENERAL | NOTE 1: GENERAL a. A general description of the Company and its activity: Brainsway Ltd. (“the Company”) incorporated on November 7, 2006, is a commercial stage medical device company focused on the development and sale of non-invasive Deep Transcranial Magnetic Stimulation (“Deep TMS”), technology for the treatment of neurological and addiction disorders. The Deep TMS system (“system”) uses magnetic pulses to stimulate neurons and consequently modulates the physiological activity of the brain. In January 2013, the first commercial Deep TMS system received clearance by the United States Food and Drug Administration (“FDA”) for the treatment of major depressive disorder (“MDD”) in adults who failed to achieve satisfactory improvement from anti-depressant medication. In August 2019, the Company received clearance of marketing authorization by the FDA for the adjunct therapy for the treatment of obsessive compulsive disorder (OCD) in adults. In August 24, 2020, Brainsway Ltd. announced that it has received 510(k) clearance from the U.S. Food and Drug Administration (FDA) for the Company’s deep transcranial magnetic stimulation (“Deep TMS”) system for its use as an aid in short-term smoking cessation in adults. Brainsway Ltd. (“the Company”) and its wholly owned subsidiaries, Brainsway, Inc. (“Inc”), Moach R&D Services Ltd. (“Moach”), Brainsway USA Inc (“USA Inc”), collectively (the “Group”) derive revenues from the sale and lease of its systems. b. In an effort to contain and mitigate the spread of COVID-19 global pandemic, many countries around the world, including the U.S. and Israel, have imposed quarantines and restrictions on travel and mass gatherings to slow the spread of the virus and closed non-essential businesses and offices. As many local jurisdictions continue to have such restrictions in place, the Company’s ability to continue to operate its business may also be limited. To date, the financial impact on the Company’s business has been moderate, and the Company has put in place a comprehensive alternative commercial strategy to support growth initiatives while adhering to government and health regulatory guidelines. Additionally, to date, there have been no significant disruptions to the supply chain, and the Company currently has sufficient supply of components to assemble the Company’s Deep TMS systems and meet commercial demand. However, the Company has experienced decreased commercial activities which have affected the revenue from leases of the Company’s Deep TMS systems due to slower initiation of certain promotional activities associated with a significant decrease in in-clinic patient visits, tests and treatments and the impact on our sales force’s ability to engage with healthcare providers in an in-person setting, cancellation of events such as industry conferences and limited local and international travel. The ability to successfully commercialize the Deep TMS system for smoking addiction depends on in-clinic patient visits and the availability of diagnostics, both of which has have been negatively affected by the pandemic. In addition, the COVID-19 pandemic has adversely affected and may continue to adversely affect the Company’s clinical and pre-clinical trials, including the ability to initiate and complete clinical and pre-clinical trials within the anticipated timelines, and delays or difficulties in enrolling patients in clinical trials and recruiting clinical site investigators and clinical site staff. c. The Company has negative cash flows from operating activities and an operating loss of $ 1.4 million and $ 4.8 million for the year ended December 31, 2020, respectively. The Company’s management and board of directors believe that the Company has the current funding to finance its business activity according to its plans in the foreseeable future. See also Note 22 (c). d. The financial statements of the Company as of December 31, 2020 and 2019 and for each of the three years in the period ended December 31, 2020 were authorized for issuance in accordance with a resolution of the board of directors on April 19, 2021. |
Significant Accounting Policies
Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2020 | |
Significant Accounting Policies [abstract] | |
SIGNIFICANT ACCOUNTING POLICIES | NOTE 2: SIGNIFICANT ACCOUNTING POLICIES The following accounting policies have been applied consistently in the financial statements for all periods presented, unless otherwise stated. a. Basis of presentation of the financial statements: These financial statements have been prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board. The Company’s financial statements have been prepared on a cost basis, except for certain financial instruments which are presented at fair value through profit or loss. The Company has elected to present the profit or loss items using the function of expense method. b. Consolidated financial statements: The consolidated financial statements comprise the financial statements of companies that are controlled by the Company (“subsidiaries”). Control is achieved when the Company has power over the subsidiaries, is exposed or has rights to variable returns from its involvement with the subsidiaries and has the ability to affect those returns through its power over the subsidiaries. In assessing control, the effect of potential voting rights is considered only if they are substantive. The consolidation of the financial statements commences on the date on which control is obtained and ends when such control ceases. The financial statements of the Company and of the subsidiaries are prepared as of the same dates and periods. The accounting policies in the financial statements of the subsidiaries have been applied consistently and uniformly with those applied in the financial statements of the Company. Significant intragroup balances and transactions and gains or losses resulting from transactions between the Company and the subsidiaries are eliminated in full in the consolidated financial statements. c. Functional currency, presentation currency and foreign currency: 1. Functional currency and presentation currency: The functional currency is the currency that best reflects the economic environment in which the Company operates and conducts its transactions, is separately determined for each Group entity and is used to measure its financial position and operating results. The Group determines the functional currency of each Group entity. The Company’s functional and presentation currency is the US Dollar for all reported periods. 2. Transactions, assets and liabilities in foreign currency: Transactions denominated in foreign currency are recorded upon initial recognition at the exchange rate at the date of the transaction. After initial recognition, monetary assets and liabilities denominated in foreign currency are translated at each reporting date into the functional currency at the exchange rate at that date. Exchange rate differences are recognized in profit or loss. Non-monetary assets and liabilities denominated in foreign currency and measured at cost are translated at the exchange rate at the date of the transaction. Non-monetary assets and liabilities denominated in foreign currency and measured at fair value are translated to the functional currency using the exchange rate prevailing at the date when the fair value was determined. d. Cash equivalents: Cash equivalents are considered as highly liquid investments, including unrestricted short-term bank deposits with an original maturity of three months or less from the date of investment or with a maturity of more than three months, but which are redeemable on demand without penalty and which form part of the Group’s cash management. e. Short-term deposits: Short-term deposits are deposits with an original maturity of more than three months from the date of investment and which do not meet the definition of cash equivalents. f. Revenue recognition: IFRS 15 “Revenue from Contracts with Customers” (“Standard”) introduces a five-step model that applies to revenue earned from contracts with customers. The accounting policy applied by the Company regarding revenue recognition according to IFRS 15 “Revenue from Contracts with Customers” (“Standard”) is as follows: The Company generates revenues from the sale and lease of its systems. The Company sells its products mainly to end users and to a lesser extent to third-party distributors outside of the United States and does not provide return rights. Revenues from sale of systems: Revenue from sale of systems are recognized at the point in time when control of the system is transferred to the customer, generally upon delivery of the system to the customer. Revenue from rendering of services: Revenue from rendering of extended warranty services is recognized over time, during the period the customer simultaneously receives and consumes the benefits provided by the Company’s performance. The Company charges its customers based on payment terms agreed upon in specific agreements. When payments are made before or after the service is performed, the Company recognizes the resulting contract asset or liability. Revenue from services were insignificant for all reported periods. Contract liabilities: A contract liability, presented as deferred revenues, is the obligation to transfer goods or services to a customer for which the Company has received consideration (or an amount of consideration is due) from the customer. The Company elected to apply the practical expedient in IFRS 15 and does not provide disclosure of the remaining unsatisfied performance obligations with respect to contracts that have a term of up to one year. As of December 31, 2020, the Company has no unsatisfied performance obligation with a contract duration of more than one year. Allocating the transaction price: For contracts that consist of more than one performance obligation at contract inception, the Company allocates the contract transaction price to each performance obligation identified in the contract on a relative stand-alone selling price basis. The stand-alone selling price is the price at which the Company would sell the promised goods or services separately to a customer. Revenues from lease of systems: The Company generates revenue from leasing its systems usually for a term of up to four years either for a fixed annual fee, or a variable fee, which is determined based on the higher of: fees per treatment (i.e. usage based fees) or an annual minimum fee as stated in the contract. The classification of a lease as a finance lease or operating lease is determined based on the substance of the lease agreement, and the assessment is made at the inception date of the lease pursuant to the provisions of the Standard. Leases in which substantially all the risks and rewards incidental to ownership of the leased asset are not transferred to the lessee are classified as operating leases. Revenue from operating leases are recognized on a straight-line basis over the lease term. Usage based fees are recognized as revenue when the Company is entitled to receive such revenue. g. Government grants: Government grants are recognized when there is reasonable assurance that the grants will be received and the Company will comply with all attached conditions. Government grants received from the Israel Innovation Authority (“IIA”) and repayable to the IIA through royalty-bearing sales are recognized upon receipt as a liability if future economic benefits are expected to be derived from the research project, resulting in royalty-bearing sales due to the IIA. A liability for the grant is first measured at fair value using a discount rate that reflects a market rate of interest. The difference between the amount of the grant received and the fair value of the liability is accounted for as a government grant and recognized as a reduction of research and development expenses. After initial recognition, the liability is measured at amortized cost using the effective interest method. Royalty payments are recorded as a reduction of the liability. If no economic benefits are expected from the research activity, the grant received are recognized as a reduction of the related research and development expenses. In that event, the royalty obligation is treated as a contingent liability in accordance with IAS 37. In each reporting date, the Company evaluates whether there is reasonable assurance that the liability recognized, in whole or in part, will not be repaid based on the best estimate of future sales and using the original effective interest method and, if so, the appropriate amount of the liability is derecognized against a corresponding reduction in research and development expenses. Grants received from the IIA prior to January 1, 2009, which are recognized as a liability, are accounted for as forgivable loans in accordance with IAS 20, based on the original terms of the loan. A forgivable loan from government is treated as government grant when there is reasonable assurance that the grant will be received and that the entity will meet the conditions for forgiveness of the full loan amount. Claims under the government grant relating to eligible expenses are presented as a reduction to the related expense. h. Leases: On January 1, 2019, the Company first applied IFRS 16, "Leases" ("the Standard"). The Company elected to apply the provisions of the Standard using the modified retrospective method (without restatement of comparative data). The accounting policy for leases applied effective from January 1, 2019, is as follows: The Company accounts for a contract as a lease when the contract terms convey the right to control the use of an identified asset for a period of time in exchange for consideration. For leases in which the Company is the lessee, the Company recognizes on the commencement date of the lease a right-of-use asset and a lease liability, excluding leases whose term is up to 12 months and leases for which the underlying asset is of low value. For these excluded leases, the Company has elected to recognize the lease payments as an expense in profit or loss on a straight-line basis over the lease term. In measuring the lease liability, the Company has elected to apply the practical expedient in the Standard and does not separate the lease components from the non-lease components (such as management and maintenance services, etc.) included in a single contract. Leases which entitle employees to a company car as part of their employment terms are accounted for as employee benefits in accordance with the provisions of IAS 19 and not as subleases. On the commencement date, the lease liability includes all unpaid lease payments discounted at the interest rate implicit in the lease, if that rate can be readily determined, or otherwise using the Company’s incremental borrowing rate. After the commencement date, the Company measures the lease liability using the effective interest rate method. On the commencement date, the right-of-use asset is recognized in an amount equal to the lease liability plus lease payments already made on or before the commencement date and initial direct costs incurred. The right-of-use asset is measured applying the cost model and depreciated over the shorter of its useful life and the lease term. Following are the amortization periods of the right-of-use assets by class of underlying asset: Years Lease facilities 2 to 3 Motor vehicles 3 The Company tests for impairment of the right-of-use asset whenever there are indications of impairment pursuant to the provisions of IAS 36. The accounting policy for leases applied until December 31, 2018, is as follows: The criteria for classifying leases as finance or operating leases depend on the substance of the agreements and is determined at the inception of the lease in accordance with IAS 17. Leases in which substantially all the risks and rewards of ownership of the leased asset are not transferred are classified as operating leases. Operating lease payments are recognized as an expense in profit or loss on a straight-line basis over the lease term. i. Taxes on income: Current or deferred taxes are recognized in profit or loss, except to the extent that they relate to items which are recognized in other comprehensive income or equity. 1. Current taxes: The current tax liability is measured using the tax rates and tax laws that have been enacted or substantively enacted at the reporting date, as well as adjustments required in connection with the tax liability in respect of previous years. 2. Deferred taxes: Deferred taxes are computed in respect of temporary differences between the carrying amounts in the financial statements and the amounts attributed for tax purposes. Deferred taxes are measured at the tax rate that is expected to apply when the asset is realized or the liability is settled, based on tax laws that have been enacted or substantively enacted by the reporting date. Deferred tax assets are reviewed at each reporting date and reduced to the extent that it is not probable that they will be utilized. Temporary differences that can be deducted for which deferred tax assets had not been recognized are reviewed at each reporting date and a respective deferred tax asset is recognized to the extent that utilization is probable. Taxes that would apply in the event of the disposal of investments in subsidiaries have not been taken into account in computing deferred taxes, as long as the disposal of the investments in subsidiaries is not probable in the foreseeable future. Also, deferred taxes that would apply in the event of distribution of earnings by subsidiaries as dividends have not been taken into account in computing deferred taxes, since the distribution of dividends does not involve an additional tax liability or since it is the Company’s policy not to initiate distribution of dividends from a subsidiary that would trigger an additional tax liability. Deferred taxes are offset if there is a legally enforceable right to offset a current tax asset against a current tax liability and the deferred taxes relate to the same taxpayer and the same taxation authority. j. Leased systems, system components and other property and equipment, net: The cost of self-constructed systems (leased systems) includes the cost of materials, direct labor and share-based payment, as well as any costs directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management. System components are stated at the lower of cost and net realizable value. Cost is determined on a weighted average basis. Net realizable value is based on estimated selling prices less estimated costs to be incurred to completion and disposal. The impairment of leased systems and system components recognized in cost of revenues was $1,061, $1,191 and $340 for the years ended December 31, 2020, 2019 and 2018, respectively. Depreciation is calculated on a straight-line basis over the useful life of the assets at annual rates as follows: % Leased systems 15 Laboratory equipment 15 Computers 33 Office furniture and equipment 6 - 15 Leasehold improvements (*) (*) Leasehold improvements are depreciated on a straight-line basis over the shorter of the lease term (including the extension option held by the Company and intended to be exercised) and the expected life of the improvement. The useful life and depreciation method of an asset are reviewed at least each year-end and any changes are accounted for prospectively as a change in accounting estimate. k. Impairment of non-financial assets: The Company evaluates the need to record an impairment of non-financial assets whenever events or changes in circumstances indicate that the carrying amount is not recoverable. If the carrying amount of non-financial assets exceeds their recoverable amount, the assets are reduced to their recoverable amount. The recoverable amount is the higher of fair value less costs of sale and value in use. In measuring value in use, the expected cash flows are discounted using a pre-tax discount rate that reflects the risks specific to the asset. The recoverable amount of an asset that does not generate independent cash flows is determined for the cash-generating unit to which the asset belongs. Impairment losses are recognized in profit or loss. An impairment loss of an asset is reversed only if there have been changes in the estimates used to determine the asset’s recoverable amount since the last impairment loss was recognized. Reversal of an impairment loss, as above, shall not be increased above the lower of the carrying amount that would have been determined (net of depreciation or amortization) had no impairment loss been recognized for the asset in prior years and its recoverable amount. The reversal of impairment loss of an asset presented at cost is recognized in profit or loss. l. Financial instruments: 1. Impairment of financial assets: The Company evaluates at the end of each reporting period the loss allowance for financial debt instruments which are not measured at fair value through profit or loss. The Company distinguishes between two types of loss allowances: a. Debt instruments whose credit risk has not increased significantly since initial recognition, or whose credit risk is low - the loss allowance recognized in respect of this debt instrument is measured at an amount equal to the expected credit losses within 12 months from the reporting date; or b. Debt instruments whose credit risk has not increased significantly since initial recognition, or whose credit risk is low - the loss allowance recognized in respect of this debt instrument is measured at an amount equal to the expected credit losses within 12 months from the reporting date. An impairment loss on debt instruments measured at amortized cost is recognized in profit or loss with a corresponding loss allowance that is offset from the carrying amount of the financial asset, whereas the impairment loss on debt instruments measured at fair value through other comprehensive income is recognized in profit or loss with a corresponding loss allowance that is recorded in other comprehensive income and not as a reduction of the carrying amount of the financial asset in the statement of financial position. The Company has short-term financial assets such as trade receivables in respect of which the Company applies a simplified approach and measures the loss allowance in an amount equal to the lifetime expected credit losses. 2. Derecognition of financial assets: A financial asset is derecognized only when the following criteria are met: a. The contractual rights to the cash flows from the financial asset expire; or b. The Company has transferred substantially all the risks and rewards deriving from the contractual rights to receive cash flows from the financial asset or has neither transferred nor retained substantially all the risks and rewards of the asset, but has transferred control of the asset; or c. The Company has retained its contractual rights to receive cash flows from the financial asset but has assumed a contractual obligation to pay the cash flows in full without material delay to a third party. 3. Financial liabilities: Financial liabilities within the scope of the standard are initially recognized at fair value less transaction costs that are directly attributable to the issue of the financial liability, excluding financial liabilities measured at fair value through profit or loss whose transaction costs are carried to profit or loss. On the date of initial recognition, the Company classified financial liabilities measured at fair value through profit or loss. Changes in their fair value which can be attributed to changes in the Company’s credit risk profile are carried to other comprehensive income. After initial recognition, the Company measures all financial liabilities at amortized cost, except for financial liabilities at fair value through profit or loss such as derivatives. 4. Derecognition of financial liabilities: A financial liability is derecognized only when it is extinguished, that is when the obligation is discharged, cancelled or expires. A financial liability is extinguished when the debtor discharges the liability by paying in cash, other financial assets, goods or services; or is legally released from the liability. 5. Issue of a unit of securities: The issue of a unit of securities involves the allocation of the proceeds received (before issue expenses) to the securities issued in the unit based on the following order: financial derivatives and other financial instruments measured at fair value in each period. Then fair value is determined for financial liabilities that are measured at amortized cost. The proceeds allocated to equity instruments are determined to be the residual amount. Issue costs are allocated to each component pro rata to the amounts determined for each component in the unit. m. Fair value measurement: Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value measurement is based on the assumption that the transaction will take place in the asset’s or the liability’s principal market, or in the absence of a principal market, in the most advantageous market. The fair value of an asset or a liability is measured using the assumptions that market participants would use when pricing the asset or liability, assuming that market participants act in their economic best interest. Fair value measurement of a non-financial asset takes into account a market participant’s ability to generate economic benefits by using the asset in its highest and best use or by selling it to another market participant that would use the asset in its highest and best use. The Group uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value, maximizing the use of relevant observable inputs and minimizing the use of unobservable inputs. All assets and liabilities measured at fair value or for which fair value is disclosed are categorized into levels within the fair value hierarchy based on the lowest level input that is significant to the entire fair value measurement: Level 1 — quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2 — inputs other than quoted prices included within Level 1 that are observable either directly or indirectly. Level 3 — inputs that are not based on observable market data (valuation techniques which use inputs that are not based on observable market data). n. Provisions: A provision in accordance with IAS 37 is recognized when the Group has a present obligation (legal or constructive) as a result of a past event, it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the amount of the obligation. o. Employee benefit liabilities: 1. Short-term employee benefits: Short-term employee benefits are benefits that are expected to be settled wholly before twelve months after the end of the annual reporting period in which the employees render the related services. These benefits include salaries, paid annual and sick leave, recreation and social security contributions and are recognized as expenses as the services are rendered. A liability in respect of a cash bonus or a profit-sharing plan is recognized when the Company has a legal or constructive obligation to make such payment as a result of past service rendered by an employee and a reliable estimate of the amount can be made. 2. Post-employment benefits: The Group has defined contribution plans pursuant to Section 14 of the Severance Pay Law (“Section 14”) under which the Group pays fixed contributions and has no legal or constructive obligation to pay further contributions if the fund does not hold sufficient amounts to pay all employee benefits relating to employee service in the current and prior periods. The Israeli Severance Pay Law, 1963 (“Severance Pay Law”), specifies that employees are entitled to severance payment following the termination of their employment. Under the Severance Pay Law, the severance payment is calculated as one month salary for each year of employment, or a portion thereof. The majority of the Company’s liability for severance pay is covered by the provisions of. Under Section 14, employees are entitled to monthly deposits, at a rate of 8.33% of their monthly salary, made on behalf of the employee with insurance companies. Payments in accordance with Section 14 release the Company from any future severance payments in respect of those employees. As a result, the Company does not recognize any liability for severance pay due to these employees and the deposits under Section 14 are not recorded as an asset in the Company’s balance sheet. Contributions to the defined contribution plan in respect of severance or retirement pay are recognized as an expense when contributed concurrently with performance of the employee’s services and no additional provision is required in the financial statements. See also Note 14. p. Share-based payment transactions: The Company’s employees and other service providers are entitled to remuneration in the form of equity-settled share-based payment. The cost of equity-settled transactions is recognized in profit or loss together with a corresponding increase in equity during the period which the performance and/or service conditions are to be satisfied ending on the date on which the relevant employees become entitled to the award (“the vesting period”). The cumulative expense recognized for equity-settled transactions at the end of each reporting date includes the Group’s best estimate of the number of equity instruments that will ultimately vest. The cost of equity-settled transactions with employees is measured at the fair value of the equity instruments granted at grant date. The fair value of option granted is determined using the Binomial Lattice option-pricing model (“Binomial model”). The Binomial model takes into account variables such as volatility, dividend yield rate, and risk-free interest rate and also allows for the use of dynamic assumptions and considers the contractual term of the option, the probability that the option will be exercised prior to the end of its contractual life, and the probability of termination or retirement of the option holder in computing the value of the option. No expense is recognized for awards that do not ultimately vest. q. Research and development expenses: Research expenses are recognized in profit or loss when incurred. An intangible asset arising from a development project or from the development phase of an internal project is recognized if the Company can demonstrate all of the following: the technical feasibility of completing the intangible asset so that it will be available for use or sale; the Company’s intention to complete the intangible asset and use or sell it; the Company’s ability to use or sell the intangible asset; how the intangible asset will generate future economic benefits; the availability of adequate technical, financial and other resources to complete the intangible asset; and the Company’s ability to measure reliably the expenditure attributable to the intangible asset during its development. Through December 31, 2020, the Company has not met all the aforementioned criteria and therefore all development costs have been recognized in profit or loss. r. Net loss per share: Net loss per share is calculated by dividing the net loss attributable to equity holders of the Company by the weighted number of Ordinary shares outstanding during the period. Basic net loss per share includes only shares that are outstanding during the period. Potential Ordinary shares are included in the computation of diluted net loss per share when such shares are dilutive. Potential Ordinary shares that are converted during the period are included in diluted net loss per share only until the conversion date and from that date in basic net loss per share. s. Changes in accounting policies – initial adoption of new financial reporting and accounting standards and amendments to existing financial reporting and accounting standards: 1. Amendments to IFRS 10 and IAS 28 regarding sale or transfer of assets between an investor and its associate or joint venture: In September 2014, the IASB issued amendments to IFRS 10 and IAS 28 ("the Amendments") regarding the accounting treatment of the sale or transfer of assets (an asset, a group of assets or a subsidiary) between an investor and its associate or joint venture. According to the Amendments, when the investor loses control of a subsidiary or a group of assets that are not a business in a transaction with its associate or joint venture, the gain will be partially eliminated such that the gain to be recognized is the gain from the sale to the other investors in the associate or joint venture. According to the Amendments, if the remaining rights held by the investor represent a financial asset as defined in IFRS 9, the gain will be recognized in full. If the transaction with an associate or joint venture involves loss of control of a subsidiary or a group of assets that are a business, the gain will be recognized in full. The Amendments are to be applied prospectively. A mandatory effective date has not yet been determined by the IASB but early adoption is permitted. 2. Amendment to IAS 16, "Property, Plant and Equipment": In May 2020, the IASB issued an amendment to IAS 16, "Property, Plant and Equipment" ("the Amendment"). The Amendment prohibits a company from deducting from the cost of property, plant and equipment ("PP&E") consideration received from the sales of items produced while the company is preparing the asset for its intended use. Instead, the company should recognize such consideration and related costs in profit or loss. The Amendment is effective for annual reporting periods beginning on or after January 1, 2022, with earlier application permitted. The Amendment is to be applied retrospectively, but only to items of PP&E made available for use on or after the beginning of the earliest period presented in the financial statements in which the company first applies the Amendment. The company should recognize the cumulative effect of initially applying the Amendment as an adjustment to the opening balance of retained earnings at the beginning of the earliest period presented. The Company estimates that the application of the Amendment is not expected to have a material impact on the financial statements. 3. Amendment to IAS 37, "Provisions, Contingent Liabilities and Contingent Assets": In May 2020, the IASB issued an amendment to IAS 37, regarding which costs a company should include when assessing whether a contract is onerous ("the Amendment"). According to the Amendment, costs of fulfilling a contract include both the incremental costs (for example, raw materials and direct labor) and an allocation of other costs that relate directly to fulfilling a contract (for example, depreciation of an item of property, plant and equipment used in fulfilling the contract). The Amendment is effective for annual periods beginning on or after January 1, 2022 and applies to contracts for which all obligations in respect thereof have not yet been fulfilled as of January 1, 2022. Early application is permitted. The Company estimates that the application of the Amendment is not expected to have a material impact on the financial statements. 4. Amendments to IFRS 9, IFRS 7, IFRS 16, IFRS 4 and IAS 39 regarding the IBOR reform: In September 2019, the IASB published amendments to IFRS 9, "Financial Instruments", IFRS 7, "Financial Instruments: Disclosures" and IAS 39," Financial Instruments: Recognition and Measurement" (collectively - "the Amendment"). The Amendment permits certain temporary reliefs for entities applying hedge accounting for IBOR-based instruments which are affected by the uncertainty involving the expected interest rate benchmark reform. This reform has caused uncertainty relating to the timing and amounts of future cash flows from both hedging instruments and hedged items. The Amendment is applicable for annual periods beginning on January 1, 2020. The adoption of the Amendment did not have an effect on the Company's financial statements as of January 1, 2020. See Note 13. |
Significant Accounting Judgment
Significant Accounting Judgments, Estimates and Assumptions Used In the Preparation of the Financial Statements | 12 Months Ended |
Dec. 31, 2020 | |
Significant Accounting Judgments, Estimates and Assumptions Used In the Preparation of the Financial Statements [abstract] | |
SIGNIFICANT ACCOUNTING JUDGMENTS, ESTIMATES AND ASSUMPTIONS USED IN THE PREPARATION OF THE FINANCIAL STATEMENTS | NOTE 3: SIGNIFICANT ACCOUNTING JUDGMENTS, ESTIMATES AND ASSUMPTIONS USED IN THE PREPARATION OF THE FINANCIAL STATEMENTS In the process of applying the significant accounting policies in the financial statements, the Group has made the following judgments, estimates and assumptions, which have the most significant effect on the amounts recognized in the financial statements: a. Judgments: Classification of leases: Evaluation of whether to classify a lease as a finance lease or an operating lease in accordance with the criteria stipulated in IFRS 16 requires significant judgment. b. Estimates and assumptions: The preparation of the financial statements requires management to make estimates and assumptions that have an effect on the application of the accounting policies and on the reported amounts of assets, liabilities, revenues and expenses. Changes in accounting estimates are reported in the period of the change in estimate. The key assumptions made in the financial statements concerning uncertainties at the reporting date and the critical estimates computed by the Group that may result in a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below. ● Grants from the IIA: Government grants received from the IIA are recognized as a liability if future economic benefits are expected from the research and development activity that will result in royalty-bearing sales. There is uncertainty regarding the estimated future cash flows and discount rate used to measure the amount of the liability. ● Provision for allowance for doubtful accounts on trade receivables: The Group uses a provision matrix to calculate the allowance for doubtful accounts based on expected credit losses (ECL’s) for trade receivables. The provision rates are based on days past due for its various customers. The provision matrix is initially based on the Group’s historical observed default rates as well as forward-looking information. At each reporting date, the historical observed default rates are updated and changes in the forward-looking estimates are analyzed. The amount of ECLs is sensitive to changes in circumstances and forecast economic conditions. The Group’s historical credit loss experience and forecast of economic conditions may also not be representative of customers’ actual default in the future. The information about the ECLs on the Group’s trade receivables is disclosed in Note 6. ● Determining the fair value of share-based payment transactions: The fair value of share-based payment transactions is determined upon initial recognition by the Binomial model. The Binomial model is based on share price and exercise price and assumptions regarding expected volatility, term of share option, dividend yield and risk-free interest rate. |
Cash and Cash Equivalents
Cash and Cash Equivalents | 12 Months Ended |
Dec. 31, 2020 | |
Cash and cash equivalents [abstract] | |
CASH AND CASH EQUIVALENTS | NOTE 4: CASH AND CASH EQUIVALENTS December 31, 2020 2019 Cash for immediate withdrawal $ 15,457 $ 11,640 Cash equivalents—short-term deposits (1) 1,504 10,034 $ 16,961 $ 21,674 (1) The deposits earn annual interest at the respective term of the deposits of approximately 0.5%. |
Short-Term Deposits
Short-Term Deposits | 12 Months Ended |
Dec. 31, 2020 | |
Short-term Deposits [abstract] | |
SHORT-TERM DEPOSITS | NOTE 5: SHORT-TERM DEPOSITS December 31, 2020 2019 Bank deposits (1) $ 221 $ 221 (1) Short-term deposits at banks are for periods of up to one year. The deposits earn annual interest at the respective term of the deposits of approximately 0.5%. |
Trade Receivables, Net
Trade Receivables, Net | 12 Months Ended |
Dec. 31, 2020 | |
Trade and other receivables [abstract] | |
TRADE RECEIVABLES, NET | NOTE 6: TRADE RECEIVABLES, NET a. Trade receivables, net: December 31, 2020 2019 Open accounts (1) $ 6,906 $ 6,279 Credit cards 108 158 Less—allowance for doubtful accounts (1,432 ) (930 ) Trade receivables, net $ 5,582 $ 5,507 (1) Trade receivables generally have 90 day credit terms. Certain customers payments are made through monthly credit card transactions. Impaired debts are accounted for through recording an allowance for doubtful accounts. b. Movement in allowance for doubtful accounts: U.S. dollars in Balance as of January 1, 2019 $ 335 Provision for the year 835 Derecognition of bad debts (240 ) Balance as of December 31, 2019 930 Provision for the year 1,058 Derecognition of bad debts (556 ) Balance as of December 31, 2020 $ 1,432 Following is information about the credit risk exposure of the Company’s trade receivables: December 31, 2020: U.S. dollars in thousands Not past < 30 30 - 60 61 - 90 91 - 120 >120 Total U.S. dollars in thousands Gross carrying amount $ 1,757 $ 978 $ 673 $ 670 $ 418 $ 2,518 $ 7,014 Allowance for doubtful accounts $ 4 $ 5 $ 7 $ 33 $ 159 $ 1,224 $ 1,432 Trade receivables, net 1,753 973 666 637 259 1,294 $ 5,582 December 31, 2019: U.S. dollars in thousands Not past < 30 30 - 60 61 - 90 91 - 120 >120 Total U.S. dollars in thousands Gross carrying amount $ 2,619 $ 1,133 $ 544 $ 461 $ 247 $ 1,433 $ 6,437 Allowance for doubtful accounts $ 7 $ 11 $ 8 $ 32 $ 69 $ 803 $ 930 Trade receivables, net 2,612 1,122 536 429 178 630 $ 5,507 As of December 31, 2020, the Company has over 90 days past due trade receivables, net of $ 1,553, of which $ 1,517 were paid between the reporting date and the date of the approval of the financial statements. The Company expects to collect the entire net amount of these debts. |
Other Accounts Receivable
Other Accounts Receivable | 12 Months Ended |
Dec. 31, 2020 | |
Other Accounts Receivable [Abstract] | |
OTHER ACCOUNTS RECEIVABLE | NOTE 7: OTHER ACCOUNTS RECEIVABLE December 31, 2020 2019 Government authorities $ 212 $ 378 Accrued income-IIA 208 71 Consumables 442 306 Prepaid expenses and other 672 672 $ 1,534 $ 1,427 |
Property and Equipment, Net
Property and Equipment, Net | 12 Months Ended |
Dec. 31, 2020 | |
Property, plant and equipment [abstract] | |
PROPERTY AND EQUIPMENT, NET | NOTE 8: PROPERTY AND EQUIPMENT, NET December 31, 2020: Leased System Laboratory Right of Office Leasehold Total Cost: Balance at January 1, 2020 $ 8,151 3,117 831 1,414 90 52 13,655 Additions — 3,989 14 48 6 — 4,057 Transfer to Leased systems 1,580 (1,580 ) — — — — — Reductions (1,111 )(**) (1,884 )(***) — (127 ) — — (3,122 ) Balance at December 31, 2020 8,620 3,642 845 1,335 96 52 14,590 Accumulated depreciation: Balance at January 1, 2020 2,660 $ — $ 694 $ 460 $ 50 $ 52 $ 3,916 Additions 1,180 — 81 351 6 — 1,618 Reductions (418 ) — — (76 ) — — (494 ) Balance at December 31, 2020 3,422 — 775 735 56 52 5,040 Depreciated cost at December 31, 2020 $ 5,198 $ 3,642 $ 70 $ 600 $ 40 $ — (*) $ 9,550 December 31, 2019: Leased System Laboratory Right of Office Leasehold Total Cost: Balance at January 1, 2019 $ 6,369 $ 2,717 $ 794 $ 1,414 $ 82 $ 52 $ 11,428 Additions — 5,521 37 — 8 — 5,566 Transfer to Leased systems 2,150 (2,150 ) — — — — — Reductions (368 )(**) (2,971 ) — — — — (3,339 ) Balance at December 31, 2019 8,151 3,117 831 1,414 90 52 13,655 Accumulated depreciation: Balance at January 1, 2019 1,679 — 613 — 44 52 2,388 Additions 1,054 — 81 460 6 — 1,602 Reductions (73 ) — — — — — (73 ) Balance at December 31, 2019 2,660 — 694 460 50 52 3,916 Depreciated cost at December 31, 2019 $ 5,491 $ 3,117 $ 137 $ 954 $ 40 $ — (*) $ 9,739 (*) Represents an amount lower than $ 1 (**) Derived mainly from systems leased to customers and sold (***) Includes impairment charge of $1,061 for the year ended December 31, 2020. |
Fair Value Measurement
Fair Value Measurement | 12 Months Ended |
Dec. 31, 2020 | |
Fair Value Measurement [abstract] | |
FAIR VALUE MEASUREMENT | NOTE 9: FAIR VALUE MEASUREMENT The following table presents the fair value measurement hierarchy for the Group’s assets and liabilities. Quantitative disclosures of the fair value measurement hierarchy of the Group’s assets and liabilities as of December 31, 2020 and 2019: Fair value hierarchy Valuation Level 1 Level 2 Level 3 Total Liabilities measured at fair value: Liability in respect of warrants 31.12.2020 $ — $ 38 $ — $ 38 Liability in respect of warrants 31.12.2019 $ — $ 78 $ — $ 78 The fair value of the warrants for the years ended December 31, 2020 and 2019 was estimated using the Binomial model with the following assumptions: Year ended December 31, 2020 2019 Dividend yield (%) 0 0 Expected volatility (%) 56.58 % 40.24 % Risk-free interest rate (%) 0.12 % 1.61 % Expected life (years) 1.75 2.76 |
Trade Payables
Trade Payables | 12 Months Ended |
Dec. 31, 2020 | |
Trade and other payables [abstract] | |
TRADE PAYABLES | NOTE 10: TRADE PAYABLES December 31, 2020 2019 Open debt $ 781 $ 1,320 Trade payables are non-interest bearing and are normally settled on up to 90 day terms. |
Other Accounts Payable
Other Accounts Payable | 12 Months Ended |
Dec. 31, 2020 | |
Other Accounts Payable [abstract] | |
OTHER ACCOUNTS PAYABLE | NOTE 11: OTHER ACCOUNTS PAYABLE December 31, 2020 2019 Employee and payroll accruals $ 972 $ 1,216 Accrued expenses 2,266 1,620 Tax payable — 1 Liabilities to related parties (1) 102 128 Lease liabilities 429 414 $ 3,769 $ 3,379 (1) A current non-interest bearing account. |
Non-Current Liabilities
Non-Current Liabilities | 12 Months Ended |
Dec. 31, 2020 | |
Non-Current Liabilities [Abstract] | |
NON-CURRENT LIABILITIES | NOTE 12: NON-CURRENT LIABILITIES a. Composition: December 31, 2020 2019 Warrants (c) $ 38 $ 78 Liability in respect of research and development grants(d) 5,524 5,367 Deferred revenues and other liabilities 1,772 1,690 Lease liabilities(b) 243 663 $ 7,577 $ 7,798 b. Lease liabilities: December 31, 2020 Maturity analysis: Less than one year 463 One to five years 312 Total lease commitments 775 Impact of discounting remaining lease payments (103 ) Total lease liabilities as of December 31, 2020 672 Lease liabilities as of December 31, 2020: 672 Current 429 Non-current 243 Total $ 672 December 31, 2019 Maturity analysis: Less than one year 525 One to five years 1,106 Total lease commitments 1,631 Impact of discounting remaining lease payments (217 ) Total lease liabilities as of January 1, 2019 1,414 Lease liabilities as of December 31, 2019: 1,077 Current 414 Non-current 663 Total $ 1,077 c. Loan from bank: On August 17, 2017, the Company entered into an agreement for the receipt of a bank credit facility of up to $ 6,000 (the “Bank Credit Facility”). $ 3,000 was withdrawn during 2018 (“the first facility”) and bear annual interest of 3-months LIBOR plus 6%. The remaining credit facility (“the second facility”) may be withdrawn until March 15, 2018 bearing annual interest 3-months LIBOR plus 6.75%. The interest on the loans is payable on a quarterly basis and the loan principal is repayable in eight equal consecutive quarterly installments, whereby the first installment is due at the end of 18 and 12 months from the date of withdrawal of the loans from the first and second facilities, respectively. Also, according to the agreement, the Company will grant the bank warrants to purchase its ordinary shares for the total exercise price of up to $ 600. The warrants are exercisable for a period of five years from the date of any grant at an exercise price of $ 5.02 per share to be settled in cash or a cashless exercise mechanism. On October 3, 2017, the Company granted the bank 59,761 warrants at an aggregate exercise price of $300 as a condition for receiving the first facility. The fair value of the warrants at the grant date was estimated at $ 150 and the remaining balance of $2,850 was attributed to the loan. Transaction costs of $ 156 were allocated based on to the relative fair value of the warrants and loan. The warrants are classified as a financial liability and measured at fair value through profit or loss. The remaining warrants will be granted on the date of withdrawal of the loan from the second facility, so that the exercise amount will constitute 10% of the loan actually withdrawn from the second facility. The Company is entitled to make an early repayment of all or part of the loans. In such a case, the Company will pay the bank an early repayment fee as detailed in the agreement. As part of the agreement, and as a condition for using the first and second facilities, the Group undertook to provide the bank fixed and floating charges on all its assets, including property, cash, goodwill, intellectual property, rights and assets of any kind. In addition, the Group undertook to sign a guarantee letter, unlimited in amount, to secure the loans that will be provided by virtue of the agreement. Also, a senior fixed charge, unlimited in amount, was provided on a specific deposit in which an amount of not less than $ 2,000 was deposited (“the deposited amount”). It was agreed that if by March 16, 2018, the amount of loans actually withdrawn is less than $ 6,000, the deposited amount would be placed at one-third of the actual amount of loans outstanding on that date. In accordance with the amendments to the agreement signed up to March 14, 2019, loans under the Second facility may be withdrawn until May 30, 2019. The other terms of the first and second facility remain unchanged. On May 5, 2019, following the Company's initial public offering, the Company repaid the balance of the loan. d. Government grants: In July 2020, the Company received $638 as a loan from the Paycheck Protection Program in the United States (the “Program”). The terms of the Program provide that a portion of the loan may be forgiven, to the extent that the amounts spent during the eight-week period were on qualifying expenses (“Program Expenses”). The unforgiven part of the loan must be repaid within two years and bears interest at 1% per annum. The Company used the entire proceeds to pay Program Expenses and received approval for the loan forgiveness. Therefore, the loan has been recorded as a grant against the related Program Expenses. Moach received from the Israeli Government participation grants in research and development and, in return, it is currently obligated to pay royalties amounting to 3% of sales of products from such grants up to 100% of total grants received. As of December 31, 2020, the maximum royalties payable by the Company in the future in respect of active projects is $12,548, including interest at the LIBOR rate. Through December 31, 2020, royalties paid were $2,624. |
Financial Instruments
Financial Instruments | 12 Months Ended |
Dec. 31, 2020 | |
Disclosure of detailed information about financial instruments [abstract] | |
FINANCIAL INSTRUMENTS | NOTE 13: FINANCIAL INSTRUMENTS a. Classification of financial assets and financial liabilities: The financial assets and financial liabilities in the statement of financial position are measured at amortized cost, except financial liabilities in respect of warrants at fair value through profit or loss. The balance of financial liabilities in respect of warrants as of December 31, 2020 and 2019 was $ 38 and $78, respectively. b. Financial risks factors: The Group’s activities expose it to various financial risks such as market risks (foreign currency risk, interest risk), credit risk and liquidity risk. The Group’s comprehensive risk management plan focuses on activities that reduce to a minimum any possible adverse effects on the Group’s financial performance. The Company’s Chief Financial Officer oversees the management of these risks in accordance with the policies approved by the board of directors. 1. Market risks: Foreign currency risk: The currency exposure arises from current accounts and deposits that are mainly managed in NIS and from liability in respect of employee payroll accruals that are paid in NIS. 2. Interest rate risk: Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The Company's exposure to the risk of changes in market interest rates relates primarily to the Company's long-term liabilities in respect of government grants received from IIA. Regulators in many countries are in the process of replacing benchmark Interbank Offered Rates (IBORs), of which one of the most common is the LIBOR, with risk-free interest rate alternatives (RFRs). The replacement of IBORs with RFRs is expected to occur gradually until the end of 2021. The repayment of grants received by the Company from 2020 have interest rate that reference LIBOR and are expected to be repaid after 2021. As of December 31, 2020, the carrying amount of the financial liabilities is $300. Since an alternative interest rate was not determined by the IIA yet, at this stage the Company is unable to determine the effects, if any, that the discontinuance of IBORs will have on its financial instruments that reference the IBORs. 3. Credit risk: Credit risk is the risk that a counterparty will not meet its obligations as a customer or under a financial instrument leading to a loss to the Group. The Group is exposed to credit risk from its operating activity (primarily trade receivables). 4. Liquidity risk: The Group monitors its risk of a shortage of cash using a quarterly budget. The table below presents the maturity profile of the Group’s financial liabilities based on contractual undiscounted payments: December 31, 2020: Less than 1 to 2 2 to 3 3 to 4 4 to 5 > 5 Total Trade payables $ 781 $ — $ — $ — $ — $ — $ 781 Other accounts payable 3,340 — — — — — 3,340 Liability in respect of research and development grants 388 713 893 1,261 1,793 8,108 13,156 Lease liability 463 299 13 — — — 775 $ 4,972 $ 1,012 $ 906 $ 1,261 $ 1,793 $ 8,108 $ 18,052 December 31, 2019: Less than 1 to 2 2 to 3 3 to 4 4 to 5 > 5 Total Trade payables $ 1,320 $ — $ — $ — $ — $ — $ 1,320 Other accounts payable 2,965 — — — — — 2,965 Long-term liabilities 1 1 — — — — 2 Liability in respect of research and development grants 810 1,050 1,335 1,635 1,980 6,792 13,602 Lease liability 572 449 271 — — — 1,292 $ 5,668 $ 1,500 $ 1,606 $ 1,635 $ 1,980 $ 6,792 $ 19,181 c. Fair value: The carrying amount of cash and cash equivalents, short-term deposits, trade receivables, other accounts receivable, trade payables, other accounts payable, warrants, long-term liabilities approximate their fair value. Financial liabilities measured at fair value: December 31, 2020: Level 2 Opening balance at January 1, 2020 $ 78 Amounts transferred to the statement of comprehensive loss as finance income (40 ) Closing balance at December 31, 2020 $ 38 During 2020, 2019 and 2018, there were no transfers between levels of the fair value hierarchy. d. Sensitivity tests relating to changes in foreign currency: December 31, 2020 2019 Sensitivity test to changes in the NIS exchange rate: Gain (loss) from the change: Increase of 5% in exchange rate (50 ) (88 ) Decrease of 5% in exchange rate 50 88 As of December 31, 2020, the Company has excess of financial assets over financial liabilities in NIS in relation to US dollar of $ 2,001. As of December 31, 2020, the Company has excess of financial assets over financial liabilities in Euro and Yen in relation to US dollar of $ 3,198 and $ 437, respectively. An increase or decrease of 5% of the US dollar relative to the Euro or Yen would not have a significant effect on the Company. Sensitivity tests and principal work assumptions: The selected changes in the relevant risk variables were determined based on management’s estimate as to reasonable possible changes in these risk variables. The Company has performed sensitivity tests of principal market risk factors that are liable to affect its reported operating results or financial position. The sensitivity tests present the profit or loss in respect of each financial instrument for the relevant risk variables chosen for that instrument as of each reporting date. The test of risk factors was determined based on the materiality of the exposure of the operating results or financial condition of each risk with reference to the functional currency and assuming that all the other variables are constant. |
Employee Benefits and Liabiliti
Employee Benefits and Liabilities | 12 Months Ended |
Dec. 31, 2020 | |
Employee Benefits and Liabilities [Abstract] | |
EMPLOYEE BENEFITS AND LIABILITIES | NOTE 14: EMPLOYEE BENEFITS AND LIABILITIES Employee benefits consist of short-term and post-employment benefits. Defined contribution plans: Section 14 to the Severance Pay Law, 1963 applies to all of the Company’s employees pursuant to which the fixed contributions paid by the Group into pension funds and/or policies of insurance companies release the Group from any additional liability to employees for whom said contributions were made. These contributions benefits represent defined contribution plans. Expense in respect of defined contribution plans was $258 and $325 for the years ended December 31, 2020 and 2019, respectively. |
Taxes on Income
Taxes on Income | 12 Months Ended |
Dec. 31, 2020 | |
Taxes on Income [Abstract] | |
TAXES ON INCOME | NOTE 15: TAXES ON INCOME a. Tax rates applicable to the Company and subsidiaries: 1. Tax rate applicable to Company and Moach: In December 2016, the Economic Efficiency Law (Legislative Amendments for Applying the Economic Policy for the 2018 and 2019 Budget Years), 2018 was approved, which reduces the corporate income tax rate to 24% (from 25%) effective from January 1, 2018 and to 23% effective from January 1, 2019. The Israeli corporate income tax rate was 23% for 2018 and thereafter. A company is taxable on its real capital gains at the corporate income tax rate in the year of sale. 2. Tax rate applicable to USA Inc and Inc: The weighted tax rate for 2018 and thereafter for companies incorporated in the US was 27% and 35%-40% (Federal, State and City tax of the city where the company operates), respectively. On December 22, 2018, the Tax Cuts and Jobs Act (the “Act”) was enacted into law. The income tax effects of changes in tax laws are recognized in the period when enacted. The Act provides for numerous significant tax law changes and modifications with varying effective dates, which include reducing the corporate federal income tax rate from 35% to 21%, creating a semi-territorial tax system (with a one-time mandatory tax on previously deferred foreign earnings), broadening the tax base and allowing for immediate capital expensing of certain qualified property. The Act also changed to a semi-territorial system. As a result, a one-time transition tax is imposed on the accumulated earnings and profits of the foreign subsidiaries of the US entities. The Company’s subsidiaries in the United States do not have any profitable foreign subsidiaries and, therefore, the remaining provisions of the Act have no material impact on the Company’s results of operations. The main differences between the statutory corporate tax rate and the effective tax rate are carryforward losses in Israel in respect of which no deferred taxes were recorded and a current tax expense in respect of income of USA Inc and Inc. b. Tax benefits under the Israel Law for the Encouragement of Capital Investments, 1959 (“Law”) and Amendment to the Law for the Encouragement of Capital Investments, 1959 (Amendment 73): In December 2016, the Economic Efficiency Law (Legislative Amendments for Applying the Economic Policy for the 2018 and 2019 Budget Years), 2016 which includes Amendment 73 to the Law for the Encouragement of Capital Investments (“the amendment”) was published. According to the amendment, a “beneficiary enterprise” located in development area A will be subject to a tax rate of 7.5% instead of 9% effective from January 1, 2018 and thereafter (the tax rate applicable to preferred enterprises located in other areas remains at 16%). The amendment also prescribes special tax tracks for technological enterprises, which became effective in 2018, as follows: Technological preferred enterprise—an enterprise for which total consolidated revenues of its parent company and all subsidiaries are less than NIS 10 billion. A technological preferred enterprise, as defined in the amendment, which is located in the center of Israel will be subject to tax at a rate of 12% on profits deriving from intellectual property (in development area A - 7.5%). Any dividends distributed to a “foreign company”, as defined in the amendment, deriving from income from the technological preferred enterprise will be subject to tax at a rate of 4%. The Law for the Encouragement of Industry (Taxation), 1969: Moach has the status of an “industrial company”, as defined by this law. According to this status and by virtue of regulations published thereunder, the Company is entitled to claim a deduction of accelerated depreciation on equipment used in industrial activities, as determined in the regulations issued under the Inflationary Law. The Company is also entitled to amortize a patent or rights to use a patent or intellectual property that are used in the enterprise’s development or advancement, to deduct issuance expenses for shares listed for trading and to file a consolidated report under certain conditions. Subject to meeting criteria determined in the Law and amendment, at the time Moach becomes profitable for tax purposes, Moach will be entitled to various corporate tax benefits, as implied by the Law and amendment. c. Tax assessments: The Company received final tax assessments through the 2015 tax year. The subsidiary, Moach, received final tax assessments through 2015. The subsidiary, Inc, received final tax assessments through the 2017 tax year. d. Carryforward losses for tax purposes: Carryforward losses for tax purposes as of December 31, 2020 are approximately $4.0 million in Brainsway Ltd. and approximately $49.3 million in Moach. e. Deferred taxes: As it is not probable that taxable income will be derived in the next years, a valuation allowance was established in respect of deferred taxes of the above carryforward losses. |
Contingent Liabilities, Commitm
Contingent Liabilities, Commitments and Charges | 12 Months Ended |
Dec. 31, 2020 | |
Disclosure of contingent liabilities [abstract] | |
CONTINGENT LIABILITIES, COMMITMENTS AND CHARGES | NOTE 16: CONTINGENT LIABILITIES, COMMITMENTS AND CHARGES a. As for contingent liability in respect of payment of royalties to the IIA, see Note 12d. b. The Company entered into a few distribution agreements with third parties regarding different territories around the world. According to these distribution agreements, the third parties are granted the exclusive right to market, distribute, lease and/or sale, use and promote sales of the systems in the different territories up to a 15 year period. The Company will supply the systems to the distributors and they will install, train and maintain the systems in the territory they operate. The different distributors are committed to minimum quantities as stated in the agreements. c. In September 2013, the Company entered into a distribution agreement in Japan with Century Medical Inc., a member of the Itochu concern, which specializes in the import and distribution of medical systems and equipment in Japan. According to the agreement, the distributor was granted the exclusive right to market the Company’s system for the treatment of major depression in patients in Japan for a ten year period which begins after the required regulatory approvals for marketing the system in Japan and after either obtaining reimbursement or deployment of a commercial product to a clinical site. If the distributor meets the minimum quantities which it has committed during the contractual term, the agreement will be extended for an additional five years period. The distributor is granted a right of first offer to distribute the Company’s system in Japan without further codification. In consideration for the above, the distributor is obligated to pay the Company distribution fees of 190 million Yen (approximately $1.8 million), whereby 100 million Yen (approximately $1 million as of December 31, 2020) paid in September 2013 and 90 million Yen (approximately $0.8 million as of December 31, 2020) paid in 2019. In each year of the agreement in which the distributor meets the respective annual predetermined revenue target, 10% of the distribution fees are returned to the distributor. The distribution fee which the Company expects to be entitled to is presented in deferred revenues and is recognized as revenue during the estimated exclusivity term. The distributor will pay the Company for any treatment made with the Company’s system (pay-per-use), but in no case less than the pre-determined annual amount. The agreement prescribes conditions in which the Company or the distributor can cancel the agreement, including the authorities’ demand to require a clinical trial and non-compliance with the requirement to purchase minimum predetermined quantities. The agreement sets a minimum payment threshold to the Company that is examined every few years throughout the contractual term. If the distributor does not qualify for the minimum payment threshold at the end of each period, the Company will be entitled to terminate the distribution agreement, unless the parties reach another agreement between them. The agreement further determines that the distributor will act on its account to receive the regulatory approvals that are required to market the Company’s system for the treatment of depression in patients in Japan and to receive reimbursement coverage at the price range established in the agreement. On January 22, 2018, the distributor in Japan applied to the Pharmaceutical and Medical Devices Agency (“PMDA”), which is responsible for all import and export licenses of pharmaceuticals and medical equipment to Japan, for approval of marketing and selling the Company’s systems in Japan. On January 2019, approval of the PMDA was received. The Company is currently working through its distributor in Japan with the relevant bodies in Japan to update the local society guidelines to include Deep TMS in order to obtain reimbursement coverage under the Japanese National Health Insurance Plan. d. On August 25, 2013, the Company received the approval of the MAGNET committee of the IIA for the development plan of the BSMT tool (brain stimulate and monitor tool). The plan was approved for three years and extended up to five years, in the framework of which the Company was approved work plans with participation rate of up to 66% of a non-royalty bearing grant. In September 2017 and October 2018, the MAGNET committee approved an annual work plan for the fifth year with the budget of NIS 2,300, of out of which 55% (NIS 1,300) was provided to the Company as non-royalty bearing grants to date. The execution of this plan was completed by December 31, 2018. e. In March 2014, the Company entered into an exclusive marketing and distribution agreement of the Company’s system with a third party in Israel for a maximum period of 15 years, subject to meeting minimum sales targets as set in the agreement. In April 2014, the distributor paid the Company a one-time exclusivity fee of NIS 1 million. Effective July 2019, the Company assumed direct operations for customers in Israel, after terminating its distribution agreement with the third-party distributor, pursuant to which a portion of the exclusivity fee (up to NIS 600) was determined to be refundable depending on future sales. f. License agreements: 1. In July 2003, Inc signed a license agreement with the agencies of the U.S. Public Health Service within the U.S. Department of Health and Human Services (“PHS”), according to which the Company was granted an exclusive license to develop, manufacture, make use of, market, sell and import products and processes to be developed in the framework of the license agreement with respect to TMS and a right to enter into sublicense agreements, subject to approval of the PHS. In return, Inc is committed to pay PHS royalties at fixed annual amount of $2 from January 1, 2004 and royalties of 2% of net sales beyond this amount as defined in the agreement. In addition, if Inc enters into a sub-license agreement, it is committed to pay royalties of 8% of the net consideration received for the grant of the sub-license. The current provision for royalties as of December 31, 2020 is $259. The agreement is valid until the expiration of the last to expire of the licensed patent rights under the agreement. PHS is entitled to cancel the agreement if Inc does not comply with the conditions detailed in the agreement. 2. In June 2005 and March 2010, Inc signed a research and licensing agreement and addendum with Yeda Research and Development Company Ltd. (“Yeda”), according to which Inc was granted an exclusive license to intellectual property that can be used for research, development, marketing and manufacturing of products in the field of TMS treatment and may have the right to grant sublicenses subject to conditions specified in the agreement in consideration of royalty payment as follows: a) 1% of net sales systems based upon certain patents (which include technology licensed from PHS); b) 3% for the first $10,000 of net sales, and 2% for net sales over $10,000, for all other Deep TMS products solely based on certain patents licensed exclusively from Yeda provided however in the event that the products are sold to a sublicensee and are thereafter sold by such sublicensee, the royalties paid to Yeda will be based on the higher of the net sales by the licensee or the net sales of the sale by the sublicensee. c) 4%-8% of the net cash proceeds that the Company receives in respect of granting sublicenses or options for sublicenses dependent on the patents licensed. The balance of provision for royalties as of December 31, 2019 and 2020 is $ 124 and $ 226, respectively. Royalties are payable at the later of 15 years after the first commercial sale or the patent life (20 years through October 2021). The agreement expires at the later of: the expiration of the last patent, 15 years after Inc starts to sell products integrating the patent and after a period of 20 years during which no sales are made. The license agreement with Yeda may be subject to modifications in the event that the license agreement with PHS is modified (see 1, above) and may be cancelled based on various conditions, including the cancellation of the PHS agreement. On February 22, 2018, Inc and Yeda signed an additional addendum to the agreement (“the fifth addendum”), according to which Inc received the right to examine an additional invention based upon the patent issued in connection with research in the field of rotational electrical fields owned by Yeda. Under the fifth addendum, the Company has the right to include the aforementioned invention and the intellectual property accompanying it under the Yeda license agreement. While initially valid up to the earlier of December 31, 2018 or 30 days after completion of all the milestones agreed between the parties, in order to provide more time for the defined milestones, the parties extended this date until December 31, 2019. In respect of the performance of the milestones under the fifth addendum, in December 2017, the Company received the approval of the MAGNET committee of the IIA (“Magneton”) for a development plan to be performed jointly with Yeda. The Company’s approved budget for the development plan is NIS 1.1 million, of which 66% (approximately NIS 0.7 million) which will be provided to the Company as a non-royalty bearing grant over the term of the plan. In January 2020, the Company exercised the right granted to it under the fifth addendum, and accordingly royalties on net sales of products which are based on the use of the invention and know-how subject to the fifth addendum will be paid to Yeda at increased rates of 1.6%-2% in addition to the royalties described above and, in certain cases, at a flat rate of 2%. In respect of products under the fifth addendum that are not based on patents or research results for which the license was granted according to the original agreement (excluding the fifth addendum), royalties on net sales will be at the fixed rate of 5%. |
Equity
Equity | 12 Months Ended |
Dec. 31, 2020 | |
Equity | |
EQUITY | NOTE 17: EQUITY a. Composition of share capital: December 31, 2020 December 31, 2019 Authorized Issued and Authorized Issued and Number of shares Ordinary shares of NIS 0.04 par value each 25,000,000 22,250,534 25,000,000 22,236,368 b. Movement in share capital: Issued and outstanding capital: Number of NIS par Balance at January 1, 2020 22,236,368 233,167 Exercise of share options 14,166 164 Balance at December 31, 2020 22,250,534 233,331 Balance at December 31, 2019 22,236,368 233,167 c. Rights attached to shares: Ordinary shares confer their holders rights to receive dividends in cash and in Company’s shares, right to nominate the Company’s directors and rights to participate in distribution of dividends upon liquidation in proportion to their holdings. Also, Ordinary shareholders have one vote at the shareholders’ meeting such that each share confers one vote to its holder. d. In April 2019, the Company closed its initial public offering in Nasdaq of 2,500,000 American Depositary Shares (“ADSs”), each representing two ordinary shares of Brainsway, at a public offering price of $11.00 per ADS. The gross proceeds to the Company from the offering, before deducting the underwriting discounts and commissions and estimated offering expenses, are approximately $27.5 million. d. Capital management in the Company: The Company’s capital management objectives are to preserve the Group’s ability to ensure business continuity thereby creating a return for the shareholders, investors and other interested parties. The Company is not under any minimal equity requirements nor is it required to attain a certain level of capital return. See Note 22, events after the reporting period. |
Share-Based Payment
Share-Based Payment | 12 Months Ended |
Dec. 31, 2020 | |
Share-Based Payment [Abstract] | |
SHARE-BASED PAYMENT | NOTE 18: SHARE-BASED PAYMENT a. The expense recognized in the financial statements for services received is shown in the following table: Year ended 2020 2019 2018 Equity-settled share-based payment plans to employees, directors and consultants $ 799 $ 1,263 $ 710 b. The share-based payment transactions that the Company granted to its employees, directors and consultants are shown in the following table: Issuance Date Grantee Options outstanding 31, Exercise Exercise Exercisable Exercisable Total December 8, 2015 Employees and Consultant 292,250 25.99 6.70 292,250 December 8, 2025 1,053 December 8, 2015 Employees and Consultant 270,000 31.19 8.04 270,000 December 8, 2025 1,247 April 1, 2017 Chief Executive Officer and Director 566,262 19.97 5.47 566,262 April 1, 2025 1,100 December 3, 2017 Director 27,500 21.37 6.12 9,167 December 3, 2027 54 November 12, 2018 Directors 110,000 23.39 6.36 — November 12, 2026 298 November 12, 2018 Employees and officers 672,600 23.39 - 24.22 6.36 - 6.59 — November 12, 2026 2,299 October 1, 2019 Chief Financial and Operating Officer 50,000 19.08 5.48 — October 1, 2027 100 January 13,2020 Director 55,008 18.52 5.30 --- January 13, 2028 133 May 11, 2020 Chief Financial Officer 100,000 5.58 May 11, 2028 158 June 1, 2020 VP Global Marketing 60,000 5.58 June 1, 2028 177 November 19, 2020 Director of Market Access, Director of Analytics 70,000 3.40 November 19, 2030 228 *) As of grant date. c. The fair value of the Company’s options granted for the years ended December 31, 2020, 2019 and 2018 was estimated using the Binomial model with the following assumptions: Year ended December 31, 2020 2019 2018 Dividend yield (%) 0 0 0 Expected volatility (%) 48.00 - 76.78 40.06 - 48.09 40.51 - 48.25 Risk-free interest rate (%) 0.14 – 0.62 1.61 – 1.73 0.28 - 2.22 Expected exercise factor 2.8 2.8 2.8 Post-vesting forfeiture rate (%) 5 5 5 d. Movement during the year: Year ended December 31, 2020 2019 Number of Weighted Number of Weighted $ $ Outstanding at January 1, 2,213,812 $ 7.1 2,425,192 $ 6.6 Granted 285,008 5.4 50,000 5.5 Exercised (246,262 ) (**)5.8 - - Expired (535,667 ) 7.4 (59,765 ) 7.5 Forfeited (193,916 ) 6.7 (201,615 ) 7.0 Outstanding at December 31, 1,522,975 $ 7.5 2,213,812 $ 7.1 Exercisable at December 31, 839,418 $ 9.5 1,362,879 $ 7.38 (*) The exercise price of all options denominated in NIS and was translated to USD in the table above using the exchange rate as of December 31, 2020 and 2019, respectively. The weighted average remaining contractual life for the options outstanding as of December 31, 2020 and 2019 was approximately six years. The range of exercise prices for options outstanding as of December 31, 2020 and 2019 was USD 4.0-18.5. In January 2020, the Company granted the Company’s Chief Executive Officer (“CEO”) upon his employment, 240,000 restricted stock units (“RSUs”) of which 60,000 RSUs were granted through January 26, 2021, and 180,000 RSUs have been committed to be provided in three future grants of 60,000 RSUs upon each anniversary of the employment start date of the CEO with the Company. The terms of the 180,000 committed CEO RSU’s were amended subsequent to balance sheet date - See Note 22(b). (**) The options were exercised by way of a cashless exercise. |
Additional Information to the S
Additional Information to the Statements of Comprehensive Loss | 12 Months Ended |
Dec. 31, 2020 | |
Additional Information to the Statements of Comprehensive Loss [Abstract] | |
ADDITIONAL INFORMATION TO THE STATEMENTS OF COMPREHENSIVE LOSS | NOTE 19: ADDITIONAL INFORMATION TO THE STATEMENTS OF COMPREHENSIVE LOSS a. Additional information on revenues: Revenues reported in the financial statements for each group of similar products and services: Year ended 2020 2019 2018 Revenues from lease $ 13,628 $ 13,218 $ 9,569 Revenues from sale 8,429 9,883 6,828 $ 22,057 $ 23,101 $ 16,397 Geographic information: Revenues reported in the financial statements derived from the Company’s country of domicile (Israel) and foreign countries based on the location of the customers, are as follows: Year ended December 31, 2020 % 2019 % 2018 % U.S. $ 19,330 88 $ 20,636 89 $ 14,478 88 Europe 1,847 8 1,353 6 1,102 7 Israel 150 1 845 1 371 2 Other 730 3 267 4 446 3 $ 22,057 100 $ 23,101 100 $ 16,397 100 The total amounts of future minimum lease payments to be received under non-cancellable operating leases as of December 31, 2020 and 2019 are as follows: Year ended 2020 2019 Not later than one year $ 9,684 $ 8,527 Later than one year and not later than five years 15,875 12,723 Later than five years 32 571 Total future minimum lease payments under non-cancellable operating leases $ 25,591 $ 21,821 b. Cost of revenues: Year ended 2020 2019 2018 Cost of revenues—lease $ 3,201 $ 2,656 $ 1,923 Cost of revenues—sales 1,857 2,473 1,666 $ 5,058 $ 5,129 $ 3,589 c. Research and development expenses, net: Year ended 2020 2019 2018 Salaries and related benefits $ 3,289 $ 3,338 $ 3,365 Subcontractors 1,530 2,620 2,241 Laboratory materials 275 687 491 Patents 288 334 198 Share-based payment 182 399 31 Travel 2 112 65 Depreciation 87 39 31 Other 383 604 658 Less—Government grants (213 ) (257 ) (924 ) $ 5,823 $ 7,876 $ 6,156 d. Selling and marketing expenses: Year ended 2020 2019 2018 Salaries and related benefits $ 6,458 $ 6,419 $ 4,252 Agent commissions 335 221 215 Marketing 3,627 5,239 2,891 Travel 611 1,176 865 Share-based payment 252 214 122 $ 11,283 $ 13,269 $ 8,345 e. General and administrative expenses: Year ended 2020 2019 2018 Salaries and related benefits $ 1,339 $ 1,774 $ 1,235 Professional fees and office expenses 1,609 1,770 1,176 Depreciation 351 81 30 Travel 17 222 127 Bad debts and allowance for doubtful accounts 1,058 835 296 Share-based payment 348 621 557 $ 4,722 $ 5,303 $ 3,421 f. Finance income and expense: Year ended 2020 2019 2018 Finance income: Interest-income revaluation of bank deposits $ 61 $ 175 $ 44 Revaluation of warrants 40 62 — Exchange rate differences, net 448 — — $ 549 $ 237 $ 44 Finance expense: Liability in respect of research and development grants $ 762 $ 969 $ 519 Interest expense and amortization of deferred costs- loan from bank — 283 354 Bank commissions 40 108 41 Revaluation of warrants — — 28 Exchange rate differences, net — 192 258 Interest expense of lease liability 66 115 — $ 868 $ 1,667 $ 1,200 |
Net Loss Per Share
Net Loss Per Share | 12 Months Ended |
Dec. 31, 2020 | |
Earnings per share [abstract] | |
NET LOSS PER SHARE | NOTE 20: NET LOSS PER SHARE Number of shares and loss used in the computation of net loss per share: Year ended December 31, 2020 2019 2018 Weighted Loss Weighted Loss Weighted Loss Used in the computation of basic and diluted net loss 22,453,025 $ 5,385 20,506,202 $ 10,328 16,640,446 $ 6,479 *) Computation of diluted loss per share did not include potential ordinary shares that would result from conversion of outstanding options and warrants, since their conversion has anti-dilutive effect. |
Balances and Transactions With
Balances and Transactions With Related Parties | 12 Months Ended |
Dec. 31, 2020 | |
Balances and Transactions With Related Parties [Abstract] | |
BALANCES AND TRANSACTIONS WITH RELATED PARTIES | NOTE 21: BALANCES AND TRANSACTIONS WITH RELATED PARTIES a. Balances with interested and related parties: Composition: As of December 31, 2020 Key Other Other accounts payable $ 64 $ 38 As of December 31, 2019 Key Other Other accounts payable $ 102 $ 26 b. Benefits to interested and related parties: Year ended 2020 2019 2018 Salary to those employed by the Company or on its behalf $ 769 $ 945 $ 654 Directors’ fees to those not employed by the Company or on its behalf $ 60 $ 90 $ 100 Number of individuals to whom the salary and benefits relate: Related and interested parties employed by the Company or on its behalf 2 3 4 Directors not employed by the Company 6 8 6 8 11 10 c. Key management personnel: Year ended 2020 2019 2018 Short-term benefits $ - $ 3 $ 16 Share-based payment to those employed by the Company or on its behalf $ 182 $ 190 $ 394 Share-based payment to those not employed by the Company or on its behalf $ 150 $ 147 $ 41 d. Transactions with interested and related parties: Year ended December 31, 2020 Key Other Research and development expenses $ 236 $ - General and administrative expenses 619 201 Sales and marketing expenses 150 - $ 1,005 $ 201 Year ended December 31, 2019 Key Other Research and development expenses $ 113 $ 81 General and administrative expenses 943 238 $ 1,056 $ 319 Year ended December 31, 2018 Key Other Research and development expenses $ 207 $ 81 General and administrative expenses 776 140 $ 983 $ 221 *) Some of the key management personnel are interested parties by virtue of holdings. e. Mr. Yaakov Michlin commenced his role as the Company’s Chief Executive Officer (CEO) on April 1, 2017. On February 12, 2017, (the general shareholders meeting), his employment terms, including bonuses incremental to his monthly compensation were approved as follows: (1) bonuses of NIS 1 million based on target achievements as outlined in his agreement.; (2) an annual bonus based on the Company’s remuneration policy according to the decision of the Company’s Board of directors. In addition, upon commencement of his role, Mr. Michlin was granted 566,262 options to purchase Ordinary shares of the Company at an exercise price of NIS 19.97, representing 3.6% and 3.1% of the Company’s issued and outstanding capital on a fully diluted basis as of January 5, 2017, the date on which the board of directors approved the employment terms, and December 31, 2018, respectively. The price was determined according to the average closing market price of the Ordinary share 30 days before the date of grant. The options vest over four years from the date of grant as outlined in the agreement. In September 2019, Yaacov Michlin resigned as CEO. For information regarding the fair value of the options granted to Mr. Michlin, see Note 18b. Mr. Christopher R. von Jako, PhD commenced his role as the Company’s President and Chief Executive Officer (CEO) effective January 1, 2020. Key employment terms include an annual gross base salary and an annual performance-based bonus of up to six months of his base salary and equity grant of RSUs as further detailed in Note 18d. f. For information regarding the fair value of the options granted to directors, see Note 18b. |
Events After the Reporting Peri
Events After the Reporting Period | 12 Months Ended |
Dec. 31, 2020 | |
Events After the Reporting Period [Abstract] | |
EVENTS AFTER THE REPORTING PERIOD | NOTE 22: EVENTS AFTER THE REPORTING PERIOD a. On January 26, 2021, the Board of Directors and on March 4, 2021 the shareholders (with respect to the directors), respectively, approved the repricing, by way of an exchange offer, of approximately 1.474 million Ordinary Shares (“Ordinary Shares”) that had previously been granted to officers, independent Board members, employees and consultants of the Company the pursuant to the Brainsway 2014 Share Incentive Plan, and the Brainsway Amended and Restated 2019 Share Incentive Plan (the “2014 Plan” and the “2019 Plan”, respectively) to an exercise price of $4.675 ($9.35 per ADS), being a price equal to the closing price per Ordinary Share on January 25, 2021, provided, however, that: (1) with respect to directors’ options, the repricing of each option will ,be subject to shareholders approval at an exercise price equal to the higher of (a) $4.675 ($9.35 per ADS) (b) the closing price per Ordinary Share on the last trading date before the date of approval by the shareholders and (2) the exercise price offered to U.S Taxpayers within the proposed exchange offer shall be the higher of (i) the exercise price above and (ii) the fair market value of the Company's ADSs on the last trading date before the filing of the exchange offer. b. The equity compensation package that the Company granted to the Company’s Chief Executive Officer (“CEO”) upon his employment, comprised of 240,000 performance-based restricted stock units (“RSUs”) of which 60,000 RSUs were granted through to January 26, 2021, and 180,000 RSUs have been committed to be provided in three future grants of 60,000 RSUs upon each anniversary of the employment start date of the CEO with the Company. These future grants, as originally contemplated, would have been subject to satisfaction of certain individual and corporate performance-based criteria as defined in the CEO’s employment agreement. The Board of Directors and shareholders approved to grant 180,000 RSUs to the CEO as an amendment to the terms of employment of the CEO, in lieu of future grants of such RSUs per above. c. The Company announced on March 1, 2021, the closing of its underwritten public offering of 5,315,300 American Depositary Shares (“ADSs”), upsized to include 693,300 ADSs sold pursuant to the underwriters’ exercise in full of their option to purchase additional ADSs, at a price to the public of $8.50 per ADS. The gross proceeds from the offering, before deducting underwriting discounts and commissions and offering expenses, were approximately $45.2 million. |
Significant Accounting Polici_2
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
Significant Accounting Policies [abstract] | |
Basis of presentation of the financial statements | a. Basis of presentation of the financial statements: These financial statements have been prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board. The Company’s financial statements have been prepared on a cost basis, except for certain financial instruments which are presented at fair value through profit or loss. The Company has elected to present the profit or loss items using the function of expense method. |
Consolidated financial statements | b. Consolidated financial statements: The consolidated financial statements comprise the financial statements of companies that are controlled by the Company (“subsidiaries”). Control is achieved when the Company has power over the subsidiaries, is exposed or has rights to variable returns from its involvement with the subsidiaries and has the ability to affect those returns through its power over the subsidiaries. In assessing control, the effect of potential voting rights is considered only if they are substantive. The consolidation of the financial statements commences on the date on which control is obtained and ends when such control ceases. The financial statements of the Company and of the subsidiaries are prepared as of the same dates and periods. The accounting policies in the financial statements of the subsidiaries have been applied consistently and uniformly with those applied in the financial statements of the Company. Significant intragroup balances and transactions and gains or losses resulting from transactions between the Company and the subsidiaries are eliminated in full in the consolidated financial statements. |
Functional currency, presentation currency and foreign currency | c. Functional currency, presentation currency and foreign currency: 1. Functional currency and presentation currency: The functional currency is the currency that best reflects the economic environment in which the Company operates and conducts its transactions, is separately determined for each Group entity and is used to measure its financial position and operating results. The Group determines the functional currency of each Group entity. The Company’s functional and presentation currency is the US Dollar for all reported periods. 2. Transactions, assets and liabilities in foreign currency: Transactions denominated in foreign currency are recorded upon initial recognition at the exchange rate at the date of the transaction. After initial recognition, monetary assets and liabilities denominated in foreign currency are translated at each reporting date into the functional currency at the exchange rate at that date. Exchange rate differences are recognized in profit or loss. Non-monetary assets and liabilities denominated in foreign currency and measured at cost are translated at the exchange rate at the date of the transaction. Non-monetary assets and liabilities denominated in foreign currency and measured at fair value are translated to the functional currency using the exchange rate prevailing at the date when the fair value was determined. |
Cash equivalents | d. Cash equivalents: Cash equivalents are considered as highly liquid investments, including unrestricted short-term bank deposits with an original maturity of three months or less from the date of investment or with a maturity of more than three months, but which are redeemable on demand without penalty and which form part of the Group’s cash management. |
Short-term deposits | e. Short-term deposits: Short-term deposits are deposits with an original maturity of more than three months from the date of investment and which do not meet the definition of cash equivalents. |
Revenue recognition | f. Revenue recognition: IFRS 15 “Revenue from Contracts with Customers” (“Standard”) introduces a five-step model that applies to revenue earned from contracts with customers. The accounting policy applied by the Company regarding revenue recognition according to IFRS 15 “Revenue from Contracts with Customers” (“Standard”) is as follows: The Company generates revenues from the sale and lease of its systems. The Company sells its products mainly to end users and to a lesser extent to third-party distributors outside of the United States and does not provide return rights. Revenues from sale of systems: Revenue from sale of systems are recognized at the point in time when control of the system is transferred to the customer, generally upon delivery of the system to the customer. Revenue from rendering of services: Revenue from rendering of extended warranty services is recognized over time, during the period the customer simultaneously receives and consumes the benefits provided by the Company’s performance. The Company charges its customers based on payment terms agreed upon in specific agreements. When payments are made before or after the service is performed, the Company recognizes the resulting contract asset or liability. Revenue from services were insignificant for all reported periods. Contract liabilities: A contract liability, presented as deferred revenues, is the obligation to transfer goods or services to a customer for which the Company has received consideration (or an amount of consideration is due) from the customer. The Company elected to apply the practical expedient in IFRS 15 and does not provide disclosure of the remaining unsatisfied performance obligations with respect to contracts that have a term of up to one year. As of December 31, 2020, the Company has no unsatisfied performance obligation with a contract duration of more than one year. Allocating the transaction price: For contracts that consist of more than one performance obligation at contract inception, the Company allocates the contract transaction price to each performance obligation identified in the contract on a relative stand-alone selling price basis. The stand-alone selling price is the price at which the Company would sell the promised goods or services separately to a customer. Revenues from lease of systems: The Company generates revenue from leasing its systems usually for a term of up to four years either for a fixed annual fee, or a variable fee, which is determined based on the higher of: fees per treatment (i.e. usage based fees) or an annual minimum fee as stated in the contract. The classification of a lease as a finance lease or operating lease is determined based on the substance of the lease agreement, and the assessment is made at the inception date of the lease pursuant to the provisions of the Standard. Leases in which substantially all the risks and rewards incidental to ownership of the leased asset are not transferred to the lessee are classified as operating leases. Revenue from operating leases are recognized on a straight-line basis over the lease term. Usage based fees are recognized as revenue when the Company is entitled to receive such revenue. |
Government grants | g. Government grants: Government grants are recognized when there is reasonable assurance that the grants will be received and the Company will comply with all attached conditions. Government grants received from the Israel Innovation Authority (“IIA”) and repayable to the IIA through royalty-bearing sales are recognized upon receipt as a liability if future economic benefits are expected to be derived from the research project, resulting in royalty-bearing sales due to the IIA. A liability for the grant is first measured at fair value using a discount rate that reflects a market rate of interest. The difference between the amount of the grant received and the fair value of the liability is accounted for as a government grant and recognized as a reduction of research and development expenses. After initial recognition, the liability is measured at amortized cost using the effective interest method. Royalty payments are recorded as a reduction of the liability. If no economic benefits are expected from the research activity, the grant received are recognized as a reduction of the related research and development expenses. In that event, the royalty obligation is treated as a contingent liability in accordance with IAS 37. In each reporting date, the Company evaluates whether there is reasonable assurance that the liability recognized, in whole or in part, will not be repaid based on the best estimate of future sales and using the original effective interest method and, if so, the appropriate amount of the liability is derecognized against a corresponding reduction in research and development expenses. Grants received from the IIA prior to January 1, 2009, which are recognized as a liability, are accounted for as forgivable loans in accordance with IAS 20, based on the original terms of the loan. A forgivable loan from government is treated as government grant when there is reasonable assurance that the grant will be received and that the entity will meet the conditions for forgiveness of the full loan amount. Claims under the government grant relating to eligible expenses are presented as a reduction to the related expense. |
Leases | h. Leases: On January 1, 2019, the Company first applied IFRS 16, "Leases" ("the Standard"). The Company elected to apply the provisions of the Standard using the modified retrospective method (without restatement of comparative data). The accounting policy for leases applied effective from January 1, 2019, is as follows: The Company accounts for a contract as a lease when the contract terms convey the right to control the use of an identified asset for a period of time in exchange for consideration. For leases in which the Company is the lessee, the Company recognizes on the commencement date of the lease a right-of-use asset and a lease liability, excluding leases whose term is up to 12 months and leases for which the underlying asset is of low value. For these excluded leases, the Company has elected to recognize the lease payments as an expense in profit or loss on a straight-line basis over the lease term. In measuring the lease liability, the Company has elected to apply the practical expedient in the Standard and does not separate the lease components from the non-lease components (such as management and maintenance services, etc.) included in a single contract. Leases which entitle employees to a company car as part of their employment terms are accounted for as employee benefits in accordance with the provisions of IAS 19 and not as subleases. On the commencement date, the lease liability includes all unpaid lease payments discounted at the interest rate implicit in the lease, if that rate can be readily determined, or otherwise using the Company’s incremental borrowing rate. After the commencement date, the Company measures the lease liability using the effective interest rate method. On the commencement date, the right-of-use asset is recognized in an amount equal to the lease liability plus lease payments already made on or before the commencement date and initial direct costs incurred. The right-of-use asset is measured applying the cost model and depreciated over the shorter of its useful life and the lease term. Following are the amortization periods of the right-of-use assets by class of underlying asset: Years Lease facilities 2 to 3 Motor vehicles 3 The Company tests for impairment of the right-of-use asset whenever there are indications of impairment pursuant to the provisions of IAS 36. The accounting policy for leases applied until December 31, 2018, is as follows: The criteria for classifying leases as finance or operating leases depend on the substance of the agreements and is determined at the inception of the lease in accordance with IAS 17. Leases in which substantially all the risks and rewards of ownership of the leased asset are not transferred are classified as operating leases. Operating lease payments are recognized as an expense in profit or loss on a straight-line basis over the lease term. |
Taxes on income | i. Taxes on income: Current or deferred taxes are recognized in profit or loss, except to the extent that they relate to items which are recognized in other comprehensive income or equity. 1. Current taxes: The current tax liability is measured using the tax rates and tax laws that have been enacted or substantively enacted at the reporting date, as well as adjustments required in connection with the tax liability in respect of previous years. 2. Deferred taxes: Deferred taxes are computed in respect of temporary differences between the carrying amounts in the financial statements and the amounts attributed for tax purposes. Deferred taxes are measured at the tax rate that is expected to apply when the asset is realized or the liability is settled, based on tax laws that have been enacted or substantively enacted by the reporting date. Deferred tax assets are reviewed at each reporting date and reduced to the extent that it is not probable that they will be utilized. Temporary differences that can be deducted for which deferred tax assets had not been recognized are reviewed at each reporting date and a respective deferred tax asset is recognized to the extent that utilization is probable. Taxes that would apply in the event of the disposal of investments in subsidiaries have not been taken into account in computing deferred taxes, as long as the disposal of the investments in subsidiaries is not probable in the foreseeable future. Also, deferred taxes that would apply in the event of distribution of earnings by subsidiaries as dividends have not been taken into account in computing deferred taxes, since the distribution of dividends does not involve an additional tax liability or since it is the Company’s policy not to initiate distribution of dividends from a subsidiary that would trigger an additional tax liability. Deferred taxes are offset if there is a legally enforceable right to offset a current tax asset against a current tax liability and the deferred taxes relate to the same taxpayer and the same taxation authority. |
Leased systems, system components and other property and equipment, net | j. Leased systems, system components and other property and equipment, net: The cost of self-constructed systems (leased systems) includes the cost of materials, direct labor and share-based payment, as well as any costs directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management. System components are stated at the lower of cost and net realizable value. Cost is determined on a weighted average basis. Net realizable value is based on estimated selling prices less estimated costs to be incurred to completion and disposal. The impairment of leased systems and system components recognized in cost of revenues was $1,061, $1,191 and $340 for the years ended December 31, 2020, 2019 and 2018, respectively. Depreciation is calculated on a straight-line basis over the useful life of the assets at annual rates as follows: % Leased systems 15 Laboratory equipment 15 Computers 33 Office furniture and equipment 6 - 15 Leasehold improvements (*) (*) Leasehold improvements are depreciated on a straight-line basis over the shorter of the lease term (including the extension option held by the Company and intended to be exercised) and the expected life of the improvement. The useful life and depreciation method of an asset are reviewed at least each year-end and any changes are accounted for prospectively as a change in accounting estimate. |
Impairment of non-financial assets | k. Impairment of non-financial assets: The Company evaluates the need to record an impairment of non-financial assets whenever events or changes in circumstances indicate that the carrying amount is not recoverable. If the carrying amount of non-financial assets exceeds their recoverable amount, the assets are reduced to their recoverable amount. The recoverable amount is the higher of fair value less costs of sale and value in use. In measuring value in use, the expected cash flows are discounted using a pre-tax discount rate that reflects the risks specific to the asset. The recoverable amount of an asset that does not generate independent cash flows is determined for the cash-generating unit to which the asset belongs. Impairment losses are recognized in profit or loss. An impairment loss of an asset is reversed only if there have been changes in the estimates used to determine the asset’s recoverable amount since the last impairment loss was recognized. Reversal of an impairment loss, as above, shall not be increased above the lower of the carrying amount that would have been determined (net of depreciation or amortization) had no impairment loss been recognized for the asset in prior years and its recoverable amount. The reversal of impairment loss of an asset presented at cost is recognized in profit or loss. |
Financial instruments | l. Financial instruments: 1. Impairment of financial assets: The Company evaluates at the end of each reporting period the loss allowance for financial debt instruments which are not measured at fair value through profit or loss. The Company distinguishes between two types of loss allowances: a. Debt instruments whose credit risk has not increased significantly since initial recognition, or whose credit risk is low - the loss allowance recognized in respect of this debt instrument is measured at an amount equal to the expected credit losses within 12 months from the reporting date; or b. Debt instruments whose credit risk has not increased significantly since initial recognition, or whose credit risk is low - the loss allowance recognized in respect of this debt instrument is measured at an amount equal to the expected credit losses within 12 months from the reporting date. An impairment loss on debt instruments measured at amortized cost is recognized in profit or loss with a corresponding loss allowance that is offset from the carrying amount of the financial asset, whereas the impairment loss on debt instruments measured at fair value through other comprehensive income is recognized in profit or loss with a corresponding loss allowance that is recorded in other comprehensive income and not as a reduction of the carrying amount of the financial asset in the statement of financial position. The Company has short-term financial assets such as trade receivables in respect of which the Company applies a simplified approach and measures the loss allowance in an amount equal to the lifetime expected credit losses. 2. Derecognition of financial assets: A financial asset is derecognized only when the following criteria are met: a. The contractual rights to the cash flows from the financial asset expire; or b. The Company has transferred substantially all the risks and rewards deriving from the contractual rights to receive cash flows from the financial asset or has neither transferred nor retained substantially all the risks and rewards of the asset, but has transferred control of the asset; or c. The Company has retained its contractual rights to receive cash flows from the financial asset but has assumed a contractual obligation to pay the cash flows in full without material delay to a third party. 3. Financial liabilities: Financial liabilities within the scope of the standard are initially recognized at fair value less transaction costs that are directly attributable to the issue of the financial liability, excluding financial liabilities measured at fair value through profit or loss whose transaction costs are carried to profit or loss. On the date of initial recognition, the Company classified financial liabilities measured at fair value through profit or loss. Changes in their fair value which can be attributed to changes in the Company’s credit risk profile are carried to other comprehensive income. After initial recognition, the Company measures all financial liabilities at amortized cost, except for financial liabilities at fair value through profit or loss such as derivatives. 4. Derecognition of financial liabilities: A financial liability is derecognized only when it is extinguished, that is when the obligation is discharged, cancelled or expires. A financial liability is extinguished when the debtor discharges the liability by paying in cash, other financial assets, goods or services; or is legally released from the liability. 5. Issue of a unit of securities: The issue of a unit of securities involves the allocation of the proceeds received (before issue expenses) to the securities issued in the unit based on the following order: financial derivatives and other financial instruments measured at fair value in each period. Then fair value is determined for financial liabilities that are measured at amortized cost. The proceeds allocated to equity instruments are determined to be the residual amount. Issue costs are allocated to each component pro rata to the amounts determined for each component in the unit. |
Fair value measurement | m. Fair value measurement: Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value measurement is based on the assumption that the transaction will take place in the asset’s or the liability’s principal market, or in the absence of a principal market, in the most advantageous market. The fair value of an asset or a liability is measured using the assumptions that market participants would use when pricing the asset or liability, assuming that market participants act in their economic best interest. Fair value measurement of a non-financial asset takes into account a market participant’s ability to generate economic benefits by using the asset in its highest and best use or by selling it to another market participant that would use the asset in its highest and best use. The Group uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value, maximizing the use of relevant observable inputs and minimizing the use of unobservable inputs. All assets and liabilities measured at fair value or for which fair value is disclosed are categorized into levels within the fair value hierarchy based on the lowest level input that is significant to the entire fair value measurement: Level 1 — quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2 — inputs other than quoted prices included within Level 1 that are observable either directly or indirectly. Level 3 — inputs that are not based on observable market data (valuation techniques which use inputs that are not based on observable market data). |
Provisions | n. Provisions: A provision in accordance with IAS 37 is recognized when the Group has a present obligation (legal or constructive) as a result of a past event, it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the amount of the obligation. |
Employee benefit liabilities | o. Employee benefit liabilities: 1. Short-term employee benefits: Short-term employee benefits are benefits that are expected to be settled wholly before twelve months after the end of the annual reporting period in which the employees render the related services. These benefits include salaries, paid annual and sick leave, recreation and social security contributions and are recognized as expenses as the services are rendered. A liability in respect of a cash bonus or a profit-sharing plan is recognized when the Company has a legal or constructive obligation to make such payment as a result of past service rendered by an employee and a reliable estimate of the amount can be made. 2. Post-employment benefits: The Group has defined contribution plans pursuant to Section 14 of the Severance Pay Law (“Section 14”) under which the Group pays fixed contributions and has no legal or constructive obligation to pay further contributions if the fund does not hold sufficient amounts to pay all employee benefits relating to employee service in the current and prior periods. The Israeli Severance Pay Law, 1963 (“Severance Pay Law”), specifies that employees are entitled to severance payment following the termination of their employment. Under the Severance Pay Law, the severance payment is calculated as one month salary for each year of employment, or a portion thereof. The majority of the Company’s liability for severance pay is covered by the provisions of. Under Section 14, employees are entitled to monthly deposits, at a rate of 8.33% of their monthly salary, made on behalf of the employee with insurance companies. Payments in accordance with Section 14 release the Company from any future severance payments in respect of those employees. As a result, the Company does not recognize any liability for severance pay due to these employees and the deposits under Section 14 are not recorded as an asset in the Company’s balance sheet. Contributions to the defined contribution plan in respect of severance or retirement pay are recognized as an expense when contributed concurrently with performance of the employee’s services and no additional provision is required in the financial statements. See also Note 14. |
Share-based payment transactions | p. Share-based payment transactions: The Company’s employees and other service providers are entitled to remuneration in the form of equity-settled share-based payment. The cost of equity-settled transactions is recognized in profit or loss together with a corresponding increase in equity during the period which the performance and/or service conditions are to be satisfied ending on the date on which the relevant employees become entitled to the award (“the vesting period”). The cumulative expense recognized for equity-settled transactions at the end of each reporting date includes the Group’s best estimate of the number of equity instruments that will ultimately vest. The cost of equity-settled transactions with employees is measured at the fair value of the equity instruments granted at grant date. The fair value of option granted is determined using the Binomial Lattice option-pricing model (“Binomial model”). The Binomial model takes into account variables such as volatility, dividend yield rate, and risk-free interest rate and also allows for the use of dynamic assumptions and considers the contractual term of the option, the probability that the option will be exercised prior to the end of its contractual life, and the probability of termination or retirement of the option holder in computing the value of the option. No expense is recognized for awards that do not ultimately vest. |
Research and development expenses | q. Research and development expenses: Research expenses are recognized in profit or loss when incurred. An intangible asset arising from a development project or from the development phase of an internal project is recognized if the Company can demonstrate all of the following: the technical feasibility of completing the intangible asset so that it will be available for use or sale; the Company’s intention to complete the intangible asset and use or sell it; the Company’s ability to use or sell the intangible asset; how the intangible asset will generate future economic benefits; the availability of adequate technical, financial and other resources to complete the intangible asset; and the Company’s ability to measure reliably the expenditure attributable to the intangible asset during its development. Through December 31, 2020, the Company has not met all the aforementioned criteria and therefore all development costs have been recognized in profit or loss. |
Net loss per share | r. Net loss per share: Net loss per share is calculated by dividing the net loss attributable to equity holders of the Company by the weighted number of Ordinary shares outstanding during the period. Basic net loss per share includes only shares that are outstanding during the period. Potential Ordinary shares are included in the computation of diluted net loss per share when such shares are dilutive. Potential Ordinary shares that are converted during the period are included in diluted net loss per share only until the conversion date and from that date in basic net loss per share. |
Changes in accounting policies - initial adoption of new financial reporting and accounting standards and amendments to existing financial reporting and accounting standards | s. Changes in accounting policies – initial adoption of new financial reporting and accounting standards and amendments to existing financial reporting and accounting standards: 1. Amendments to IFRS 10 and IAS 28 regarding sale or transfer of assets between an investor and its associate or joint venture: In September 2014, the IASB issued amendments to IFRS 10 and IAS 28 ("the Amendments") regarding the accounting treatment of the sale or transfer of assets (an asset, a group of assets or a subsidiary) between an investor and its associate or joint venture. According to the Amendments, when the investor loses control of a subsidiary or a group of assets that are not a business in a transaction with its associate or joint venture, the gain will be partially eliminated such that the gain to be recognized is the gain from the sale to the other investors in the associate or joint venture. According to the Amendments, if the remaining rights held by the investor represent a financial asset as defined in IFRS 9, the gain will be recognized in full. If the transaction with an associate or joint venture involves loss of control of a subsidiary or a group of assets that are a business, the gain will be recognized in full. The Amendments are to be applied prospectively. A mandatory effective date has not yet been determined by the IASB but early adoption is permitted. 2. Amendment to IAS 16, "Property, Plant and Equipment": In May 2020, the IASB issued an amendment to IAS 16, "Property, Plant and Equipment" ("the Amendment"). The Amendment prohibits a company from deducting from the cost of property, plant and equipment ("PP&E") consideration received from the sales of items produced while the company is preparing the asset for its intended use. Instead, the company should recognize such consideration and related costs in profit or loss. The Amendment is effective for annual reporting periods beginning on or after January 1, 2022, with earlier application permitted. The Amendment is to be applied retrospectively, but only to items of PP&E made available for use on or after the beginning of the earliest period presented in the financial statements in which the company first applies the Amendment. The company should recognize the cumulative effect of initially applying the Amendment as an adjustment to the opening balance of retained earnings at the beginning of the earliest period presented. The Company estimates that the application of the Amendment is not expected to have a material impact on the financial statements. 3. Amendment to IAS 37, "Provisions, Contingent Liabilities and Contingent Assets": In May 2020, the IASB issued an amendment to IAS 37, regarding which costs a company should include when assessing whether a contract is onerous ("the Amendment"). According to the Amendment, costs of fulfilling a contract include both the incremental costs (for example, raw materials and direct labor) and an allocation of other costs that relate directly to fulfilling a contract (for example, depreciation of an item of property, plant and equipment used in fulfilling the contract). The Amendment is effective for annual periods beginning on or after January 1, 2022 and applies to contracts for which all obligations in respect thereof have not yet been fulfilled as of January 1, 2022. Early application is permitted. The Company estimates that the application of the Amendment is not expected to have a material impact on the financial statements. 4. Amendments to IFRS 9, IFRS 7, IFRS 16, IFRS 4 and IAS 39 regarding the IBOR reform: In September 2019, the IASB published amendments to IFRS 9, "Financial Instruments", IFRS 7, "Financial Instruments: Disclosures" and IAS 39," Financial Instruments: Recognition and Measurement" (collectively - "the Amendment"). The Amendment permits certain temporary reliefs for entities applying hedge accounting for IBOR-based instruments which are affected by the uncertainty involving the expected interest rate benchmark reform. This reform has caused uncertainty relating to the timing and amounts of future cash flows from both hedging instruments and hedged items. The Amendment is applicable for annual periods beginning on January 1, 2020. The adoption of the Amendment did not have an effect on the Company's financial statements as of January 1, 2020. See Note 13. |
Significant Accounting Polici_3
Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Significant Accounting Policies [abstract] | |
Schedule of amortization of right-of-use assets | Following are the amortization periods of the right-of-use assets by class of underlying asset: Years Lease facilities 2 to 3 Motor vehicles 3 |
Schedule of useful life of the assets at annual rates | Depreciation is calculated on a straight-line basis over the useful life of the assets at annual rates as follows: % Leased systems 15 Laboratory equipment 15 Computers 33 Office furniture and equipment 6 - 15 Leasehold improvements (*) (*) Leasehold improvements are depreciated on a straight-line basis over the shorter of the lease term (including the extension option held by the Company and intended to be exercised) and the expected life of the improvement. |
Cash and Cash Equivalents (Tabl
Cash and Cash Equivalents (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Cash and cash equivalents [abstract] | |
Schedule of cash and cash equivalents | 2020 2019 Cash for immediate withdrawal $ 15,457 $ 11,640 Cash equivalents—short-term deposits (1) 1,504 10,034 $ 16,961 $ 21,674 (1) The deposits earn annual interest at the respective term of the deposits of approximately 0.5%. |
Short-Term Deposits (Tables)
Short-Term Deposits (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Short-term Deposits [abstract] | |
Schedule of short-term deposits at banks | Bank deposits (1) $ 221 $ 221 (1) Short-term deposits at banks are for periods of up to one year. The deposits earn annual interest at the respective term of the deposits of approximately 0.5%. |
Trade Receivables, Net (Tables)
Trade Receivables, Net (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Trade and other receivables [abstract] | |
Schedule of trade receivables, net | Trade receivables, net: December 31, 2020 2019 Open accounts (1) $ 6,906 $ 6,279 Credit cards 108 158 Less—allowance for doubtful accounts (1,432 ) (930 ) Trade receivables, net $ 5,582 $ 5,507 (1) Trade receivables generally have 90 day credit terms. Certain customers payments are made through monthly credit card transactions. |
Schedule of allowance for doubtful account | Movement in allowance for doubtful accounts: U.S. dollars in Balance as of January 1, 2019 $ 335 Provision for the year 835 Derecognition of bad debts (240 ) Balance as of December 31, 2019 930 Provision for the year 1,058 Derecognition of bad debts (556 ) Balance as of December 31, 2020 $ 1,432 |
Schedule of credit losses exposure | Following is information about the credit risk exposure of the Company’s trade receivables: December 31, 2020: U.S. dollars in thousands Not past < 30 30 - 60 61 - 90 91 - 120 >120 Total U.S. dollars in thousands Gross carrying amount $ 1,757 $ 978 $ 673 $ 670 $ 418 $ 2,518 $ 7,014 Allowance for doubtful accounts $ 4 $ 5 $ 7 $ 33 $ 159 $ 1,224 $ 1,432 Trade receivables, net 1,753 973 666 637 259 1,294 $ 5,582 December 31, 2019: U.S. dollars in thousands Not past < 30 30 - 60 61 - 90 91 - 120 >120 Total U.S. dollars in thousands Gross carrying amount $ 2,619 $ 1,133 $ 544 $ 461 $ 247 $ 1,433 $ 6,437 Allowance for doubtful accounts $ 7 $ 11 $ 8 $ 32 $ 69 $ 803 $ 930 Trade receivables, net 2,612 1,122 536 429 178 630 $ 5,507 |
Other Accounts Receivable (Tabl
Other Accounts Receivable (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Other Accounts Receivable [Abstract] | |
Schedule of other accounts receivable | December 31, 2020 2019 Government authorities $ 212 $ 378 Accrued income-IIA 208 71 Consumables 442 306 Prepaid expenses and other 672 672 $ 1,534 $ 1,427 |
Property and Equipment, Net (Ta
Property and Equipment, Net (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Property, plant and equipment [abstract] | |
Schedule of property and equipment, net | December 31, 2020: Leased System Laboratory Right of Office Leasehold Total Cost: Balance at January 1, 2020 $ 8,151 3,117 831 1,414 90 52 13,655 Additions — 3,989 14 48 6 — 4,057 Transfer to Leased systems 1,580 (1,580 ) — — — — — Reductions (1,111 )(**) (1,884 )(***) — (127 ) — — (3,122 ) Balance at December 31, 2020 8,620 3,642 845 1,335 96 52 14,590 Accumulated depreciation: Balance at January 1, 2020 2,660 $ — $ 694 $ 460 $ 50 $ 52 $ 3,916 Additions 1,180 — 81 351 6 — 1,618 Reductions (418 ) — — (76 ) — — (494 ) Balance at December 31, 2020 3,422 — 775 735 56 52 5,040 Depreciated cost at December 31, 2020 $ 5,198 $ 3,642 $ 70 $ 600 $ 40 $ — (*) $ 9,550 December 31, 2019: Leased System Laboratory Right of Office Leasehold Total Cost: Balance at January 1, 2019 $ 6,369 $ 2,717 $ 794 $ 1,414 $ 82 $ 52 $ 11,428 Additions — 5,521 37 — 8 — 5,566 Transfer to Leased systems 2,150 (2,150 ) — — — — — Reductions (368 )(**) (2,971 ) — — — — (3,339 ) Balance at December 31, 2019 8,151 3,117 831 1,414 90 52 13,655 Accumulated depreciation: Balance at January 1, 2019 1,679 — 613 — 44 52 2,388 Additions 1,054 — 81 460 6 — 1,602 Reductions (73 ) — — — — — (73 ) Balance at December 31, 2019 2,660 — 694 460 50 52 3,916 Depreciated cost at December 31, 2019 $ 5,491 $ 3,117 $ 137 $ 954 $ 40 $ — (*) $ 9,739 (*) Represents an amount lower than $ 1 (**) Derived mainly from systems leased to customers and sold (***) Includes impairment charge of $1,061 for the year ended December 31, 2020. |
Fair Value Measurement (Tables)
Fair Value Measurement (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Fair Value Measurement [abstract] | |
Schedule of fair value measurement hierarchy of the assets and liabilities | The following table presents the fair value measurement hierarchy for the Group’s assets and liabilities. Quantitative disclosures of the fair value measurement hierarchy of the Group’s assets and liabilities as of December 31, 2020 and 2019: Fair value hierarchy Valuation Level 1 Level 2 Level 3 Total Liabilities measured at fair value: Liability in respect of warrants 31.12.2020 $ — $ 38 $ — $ 38 Liability in respect of warrants 31.12.2019 $ — $ 78 $ — $ 78 |
Schedule of assumptions | The fair value of the warrants for the years ended December 31, 2020 and 2019 was estimated using the Binomial model with the following assumptions: Year ended December 31, 2020 2019 Dividend yield (%) 0 0 Expected volatility (%) 56.58 % 40.24 % Risk-free interest rate (%) 0.12 % 1.61 % Expected life (years) 1.75 2.76 |
Trade Payables (Tables)
Trade Payables (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Trade and other payables [abstract] | |
Schedule of trade payable | December 31, 2020 2019 Open debt $ 781 $ 1,320 |
Other Accounts Payable (Tables)
Other Accounts Payable (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Other Accounts Payable [abstract] | |
Schedule of other accounts payable | December 31, 2020 2019 Employee and payroll accruals $ 972 $ 1,216 Accrued expenses 2,266 1,620 Tax payable — 1 Liabilities to related parties (1) 102 128 Lease liabilities 429 414 $ 3,769 $ 3,379 (1) A current non-interest bearing account. |
Non-Current Liabilities (Tables
Non-Current Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Non-Current Liabilities [Abstract] | |
Schedule of non-current liabilities | Composition: December 31, 2020 2019 Warrants (c) $ 38 $ 78 Liability in respect of research and development grants(d) 5,524 5,367 Deferred revenues and other liabilities 1,772 1,690 Lease liabilities(b) 243 663 $ 7,577 $ 7,798 |
Schedule of lease liabilities | Lease liabilities: December 31, 2020 Maturity analysis: Less than one year 463 One to five years 312 Total lease commitments 775 Impact of discounting remaining lease payments (103 ) Total lease liabilities as of December 31, 2020 672 Lease liabilities as of December 31, 2020: 672 Current 429 Non-current 243 Total $ 672 December 31, 2019 Maturity analysis: Less than one year 525 One to five years 1,106 Total lease commitments 1,631 Impact of discounting remaining lease payments (217 ) Total lease liabilities as of January 1, 2019 1,414 Lease liabilities as of December 31, 2019: 1,077 Current 414 Non-current 663 Total $ 1,077 |
Financial Instruments (Tables)
Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Disclosure of detailed information about financial instruments [abstract] | |
Schedule of financial liabilities based on contractual undiscounted payments | The table below presents the maturity profile of the Group’s financial liabilities based on contractual undiscounted payments: December 31, 2020: Less than 1 to 2 2 to 3 3 to 4 4 to 5 > 5 Total Trade payables $ 781 $ — $ — $ — $ — $ — $ 781 Other accounts payable 3,340 — — — — — 3,340 Liability in respect of research and development grants 388 713 893 1,261 1,793 8,108 13,156 Lease liability 463 299 13 — — — 775 $ 4,972 $ 1,012 $ 906 $ 1,261 $ 1,793 $ 8,108 $ 18,052 December 31, 2019: Less than 1 to 2 2 to 3 3 to 4 4 to 5 > 5 Total Trade payables $ 1,320 $ — $ — $ — $ — $ — $ 1,320 Other accounts payable 2,965 — — — — — 2,965 Long-term liabilities 1 1 — — — — 2 Liability in respect of research and development grants 810 1,050 1,335 1,635 1,980 6,792 13,602 Lease liability 572 449 271 — — — 1,292 $ 5,668 $ 1,500 $ 1,606 $ 1,635 $ 1,980 $ 6,792 $ 19,181 |
Schedule of financial liabilities measured at fair value | Financial liabilities measured at fair value: December 31, 2020: Level 2 Opening balance at January 1, 2020 $ 78 Amounts transferred to the statement of comprehensive loss as finance income (40 ) Closing balance at December 31, 2020 $ 38 |
Schedule of sensitivity tests relating to changes in foreign currency | Sensitivity tests relating to changes in foreign currency: December 31, 2020 2019 Sensitivity test to changes in the NIS exchange rate: Gain (loss) from the change: Increase of 5% in exchange rate (50 ) (88 ) Decrease of 5% in exchange rate 50 88 |
Equity (Tables)
Equity (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Equity | |
Schedule of ordinary shares | Composition of share capital: December 31, 2020 December 31, 2019 Authorized Issued and Authorized Issued and Number of shares Ordinary shares of NIS 0.04 par value each 25,000,000 22,250,534 25,000,000 22,236,368 |
Schedule of issued and outstanding share capital | Issued and outstanding capital: Number of NIS par Balance at January 1, 2020 22,236,368 233,167 Exercise of share options 14,166 164 Balance at December 31, 2020 22,250,534 233,331 Balance at December 31, 2019 22,236,368 233,167 |
Share-Based Payment (Tables)
Share-Based Payment (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Share-Based Payment [Abstract] | |
Schedule of expense recognized in the financial statements for services | The expense recognized in the financial statements for services received is shown in the following table: Year ended 2020 2019 2018 Equity-settled share-based payment plans to employees, directors and consultants $ 799 $ 1,263 $ 710 |
Schedule of share-based payment transactions granted to its employees, directors and consultants | The share-based payment transactions that the Company granted to its employees, directors and consultants are shown in the following table: Issuance Date Grantee Options outstanding 31, Exercise Exercise Exercisable Exercisable Total December 8, 2015 Employees and Consultant 292,250 25.99 6.70 292,250 December 8, 2025 1,053 December 8, 2015 Employees and Consultant 270,000 31.19 8.04 270,000 December 8, 2025 1,247 April 1, 2017 Chief Executive Officer and Director 566,262 19.97 5.47 566,262 April 1, 2025 1,100 December 3, 2017 Director 27,500 21.37 6.12 9,167 December 3, 2027 54 November 12, 2018 Directors 110,000 23.39 6.36 — November 12, 2026 298 November 12, 2018 Employees and officers 672,600 23.39 - 24.22 6.36 - 6.59 — November 12, 2026 2,299 October 1, 2019 Chief Financial and Operating Officer 50,000 19.08 5.48 — October 1, 2027 100 January 13,2020 Director 55,008 18.52 5.30 --- January 13, 2028 133 May 11, 2020 Chief Financial Officer 100,000 5.58 May 11, 2028 158 June 1, 2020 VP Global Marketing 60,000 5.58 June 1, 2028 177 November 19, 2020 Director of Market Access, Director of Analytics 70,000 3.40 November 19, 2030 228 *) As of grant date. |
Schedule of fair value of options granted | The fair value of the Company’s options granted for the years ended December 31, 2020, 2019 and 2018 was estimated using the Binomial model with the following assumptions: Year ended December 31, 2020 2019 2018 Dividend yield (%) 0 0 0 Expected volatility (%) 48.00 - 76.78 40.06 - 48.09 40.51 - 48.25 Risk-free interest rate (%) 0.14 – 0.62 1.61 – 1.73 0.28 - 2.22 Expected exercise factor 2.8 2.8 2.8 Post-vesting forfeiture rate (%) 5 5 5 |
Schedule of share-based payment movement during the year | Movement during the year: Year ended December 31, 2020 2019 Number of Weighted Number of Weighted $ $ Outstanding at January 1, 2,213,812 $ 7.1 2,425,192 $ 6.6 Granted 285,008 5.4 50,000 5.5 Exercised (246,262 ) (**)5.8 - - Expired (535,667 ) 7.4 (59,765 ) 7.5 Forfeited (193,916 ) 6.7 (201,615 ) 7.0 Outstanding at December 31, 1,522,975 $ 7.5 2,213,812 $ 7.1 Exercisable at December 31, 839,418 $ 9.5 1,362,879 $ 7.38 |
Additional Information to the_2
Additional Information to the Statements of Comprehensive Loss (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Additional Information to the Statements of Comprehensive Loss [Abstract] | |
Schedule of additional information on revenues | Revenues reported in the financial statements for each group of similar products and services: Year ended 2020 2019 2018 Revenues from lease $ 13,628 $ 13,218 $ 9,569 Revenues from sale 8,429 9,883 6,828 |
Schedule of geographic information | Revenues reported in the financial statements derived from the Company’s country of domicile (Israel) and foreign countries based on the location of the customers, are as follows: Year ended December 31, 2020 % 2019 % 2018 % U.S. $ 19,330 88 $ 20,636 89 $ 14,478 88 Europe 1,847 8 1,353 6 1,102 7 Israel 150 1 845 1 371 2 Other 730 3 267 4 446 3 $ 22,057 100 $ 23,101 100 $ 16,397 100 |
Schedule of future minimum lease payments to be received under non-cancellable operating leases | The total amounts of future minimum lease payments to be received under non-cancellable operating leases as of December 31, 2020 and 2019 are as follows: Year ended 2020 2019 Not later than one year $ 9,684 $ 8,527 Later than one year and not later than five years 15,875 12,723 Later than five years 32 571 Total future minimum lease payments under non-cancellable operating leases $ 25,591 $ 21,821 |
Schedule of cost of revenues | Cost of revenues: Year ended 2020 2019 2018 Cost of revenues—lease $ 3,201 $ 2,656 $ 1,923 Cost of revenues—sales 1,857 2,473 1,666 $ 5,058 $ 5,129 $ 3,589 |
Schedule of research and development expenses, net | Research and development expenses, net: Year ended 2020 2019 2018 Salaries and related benefits $ 3,289 $ 3,338 $ 3,365 Subcontractors 1,530 2,620 2,241 Laboratory materials 275 687 491 Patents 288 334 198 Share-based payment 182 399 31 Travel 2 112 65 Depreciation 87 39 31 Other 383 604 658 Less—Government grants (213 ) (257 ) (924 ) $ 5,823 $ 7,876 $ 6,156 |
Schedule of selling and marketing expenses | Selling and marketing expenses: Year ended 2020 2019 2018 Salaries and related benefits $ 6,458 $ 6,419 $ 4,252 Agent commissions 335 221 215 Marketing 3,627 5,239 2,891 Travel 611 1,176 865 Share-based payment 252 214 122 $ 11,283 $ 13,269 $ 8,345 |
Schedule of general and administrative expenses | General and administrative expenses: Year ended 2020 2019 2018 Salaries and related benefits $ 1,339 $ 1,774 $ 1,235 Professional fees and office expenses 1,609 1,770 1,176 Depreciation 351 81 30 Travel 17 222 127 Bad debts and allowance for doubtful accounts 1,058 835 296 Share-based payment 348 621 557 $ 4,722 $ 5,303 $ 3,421 |
Schedule of finance income and expense | Finance income and expense: Year ended 2020 2019 2018 Finance income: Interest-income revaluation of bank deposits $ 61 $ 175 $ 44 Revaluation of warrants 40 62 — Exchange rate differences, net 448 — — $ 549 $ 237 $ 44 Finance expense: Liability in respect of research and development grants $ 762 $ 969 $ 519 Interest expense and amortization of deferred costs- loan from bank — 283 354 Bank commissions 40 108 41 Revaluation of warrants — — 28 Exchange rate differences, net — 192 258 Interest expense of lease liability 66 115 — $ 868 $ 1,667 $ 1,200 |
Net Loss Per Share (Tables)
Net Loss Per Share (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Earnings per share [abstract] | |
Schedule of net loss per share | Number of shares and loss used in the computation of net loss per share: Year ended December 31, 2020 2019 2018 Weighted Loss Weighted Loss Weighted Loss Used in the computation of basic and diluted net loss 22,453,025 $ 5,385 20,506,202 $ 10,328 16,640,446 $ 6,479 *) Computation of diluted loss per share did not include potential ordinary shares that would result from conversion of outstanding options and warrants, since their conversion has anti-dilutive effect. |
Balances and Transactions Wit_2
Balances and Transactions With Related Parties (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Balances and Transactions With Related Parties [Abstract] | |
Schedule of balances with interested and related parties | Balances with interested and related parties: Composition: As of December 31, 2020 Key Other Other accounts payable $ 64 $ 38 As of December 31, 2019 Key Other Other accounts payable $ 102 $ 26 |
Schedule of benefits to interested and related parties | Benefits to interested and related parties: Year ended 2020 2019 2018 Salary to those employed by the Company or on its behalf $ 769 $ 945 $ 654 Directors’ fees to those not employed by the Company or on its behalf $ 60 $ 90 $ 100 Number of individuals to whom the salary and benefits relate: Related and interested parties employed by the Company or on its behalf 2 3 4 Directors not employed by the Company 6 8 6 8 11 10 |
Schedule of key management personnel | Key management personnel: Year ended 2020 2019 2018 Short-term benefits $ - $ 3 $ 16 Share-based payment to those employed by the Company or on its behalf $ 182 $ 190 $ 394 Share-based payment to those not employed by the Company or on its behalf $ 150 $ 147 $ 41 |
Schedule of transactions with interested and related parties | Transactions with interested and related parties: Year ended December 31, 2020 Key Other Research and development expenses $ 236 $ - General and administrative expenses 619 201 Sales and marketing expenses 150 - $ 1,005 $ 201 Year ended December 31, 2019 Key Other Research and development expenses $ 113 $ 81 General and administrative expenses 943 238 $ 1,056 $ 319 Year ended December 31, 2018 Key Other Research and development expenses $ 207 $ 81 General and administrative expenses 776 140 $ 983 $ 221 |
General (Details Narrative)
General (Details Narrative) $ in Thousands | 12 Months Ended |
Dec. 31, 2020USD ($) | |
General [abstract] | |
Negative cash flows from operating activities | $ 1,400 |
Operating loss | $ 4,800 |
Significant Accounting Polici_4
Significant Accounting Policies (Details) | 12 Months Ended |
Dec. 31, 2020 | |
Lease facilities [Member] | Bottom of range [member] | |
IfrsStatementLineItems [Line Items] | |
Amortization period right-of-use assets | 2 years |
Lease facilities [Member] | Top of range [member] | |
IfrsStatementLineItems [Line Items] | |
Amortization period right-of-use assets | 3 years |
Motor vehicles [Member] | |
IfrsStatementLineItems [Line Items] | |
Amortization period right-of-use assets | 3 years |
Significant Accounting Polici_5
Significant Accounting Policies (Details 1) | 12 Months Ended | |
Dec. 31, 2020 | ||
Leased systems [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Annual depreciation rates | 15.00% | |
Laboratory equipment [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Annual depreciation rates | 15.00% | |
Computers [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Annual depreciation rates | 33.00% | |
Office furniture and equipment [member] | Bottom of range [member] | ||
IfrsStatementLineItems [Line Items] | ||
Annual depreciation rates | 6.00% | |
Office furniture and equipment [member] | Top of range [member] | ||
IfrsStatementLineItems [Line Items] | ||
Annual depreciation rates | 15.00% | |
Leasehold improvements [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Annual depreciation rates | 0.00% | [1] |
[1] | Leasehold improvements are depreciated on a straight-line basis over the shorter of the lease term (including the extension option held by the Group and intended to be exercised) and the expected life of the improvement. |
Significant Accounting Polici_6
Significant Accounting Policies (Details Narrative) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Significant Accounting Policies [abstract] | |||
Percentage of monthly deposit at a rate | 8.33% | ||
Impairment of leased systems and system components recognized in cost of revenues | $ 1,061 | $ 1,191 | $ 340 |
Cash and Cash Equivalents (Deta
Cash and Cash Equivalents (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | |
Cash and cash equivalents [abstract] | |||
Cash for immediate withdrawal | $ 15,457 | $ 11,640 | |
Cash equivalents-short-term deposits | [1] | 1,504 | 10,034 |
Total | $ 16,961 | $ 21,674 | |
[1] | The deposits earn annual interest at the respective term of the deposits of approximately 0.5%. |
Short-Term Deposits (Details)
Short-Term Deposits (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | |
Short-term Deposits [abstract] | |||
Bank deposits | [1] | $ 221 | $ 221 |
[1] | Short-term deposits at banks are for periods of up to one year. The deposits earn annual interest at the respective term of the deposits of approximately 0.5%. |
Trade Receivables, Net (Details
Trade Receivables, Net (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | |
Trade and other receivables [abstract] | |||
Open accounts | [1] | $ 6,906 | $ 6,279 |
Credit cards | 108 | 158 | |
Less-allowance for doubtful accounts | (1,432) | (930) | |
Trade receivables, net | $ 5,582 | $ 5,507 | |
[1] | Trade receivables generally have 90 day credit terms. Certain customers payments are made through monthly credit card transactions. |
Trade Receivables, Net (Detai_2
Trade Receivables, Net (Details 1) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Trade and other receivables [abstract] | ||
Beginning balance | $ 930 | $ 335 |
Provision for the year | 1,058 | 835 |
Derecognition of bad debts | (556) | (240) |
Ending balance | $ 1,432 | $ 930 |
Trade Receivables, Net (Detai_3
Trade Receivables, Net (Details 2) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
IfrsStatementLineItems [Line Items] | |||
Gross carrying amount | $ 7,014 | $ 6,437 | |
Allowance for doubtful accounts | 1,432 | 930 | $ 335 |
Trade receivables, net | 5,582 | 5,507 | |
Less Than 30 Days [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Gross carrying amount | 978 | 1,133 | |
Allowance for doubtful accounts | 5 | 11 | |
Trade receivables, net | 973 | 1,122 | |
30 - 60 Days [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Gross carrying amount | 673 | 544 | |
Allowance for doubtful accounts | 7 | 8 | |
Trade receivables, net | 666 | 536 | |
61 - 90 Days [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Gross carrying amount | 670 | 461 | |
Allowance for doubtful accounts | 33 | 32 | |
Trade receivables, net | 637 | 429 | |
91 - 120 Days [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Gross carrying amount | 418 | 247 | |
Allowance for doubtful accounts | 159 | 69 | |
Trade receivables, net | 259 | 178 | |
Greater Than 120 Days [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Gross carrying amount | 2,518 | 1,433 | |
Allowance for doubtful accounts | 1,224 | 803 | |
Trade receivables, net | 1,294 | 630 | |
Not Past Due [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Gross carrying amount | 1,757 | 2,619 | |
Allowance for doubtful accounts | 4 | 7 | |
Trade receivables, net | $ 1,753 | $ 2,612 |
Trade Receivables, Net (Detai_4
Trade Receivables, Net (Details Narrative) $ in Thousands | Dec. 31, 2020USD ($) |
IfrsStatementLineItems [Line Items] | |
Past due trade receivables | $ 1,517 |
91 - 120 Days [Member] | |
IfrsStatementLineItems [Line Items] | |
Past due trade receivables | $ 1,553 |
Other Accounts Receivable (Deta
Other Accounts Receivable (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Other Accounts Receivable [Abstract] | ||
Government authorities | $ 212 | $ 378 |
Accrued income-IIA | 208 | 71 |
Consumables | 442 | 306 |
Prepaid expenses and other | 672 | 672 |
Other accounts receivable | $ 1,534 | $ 1,427 |
Property and Equipment, Net (De
Property and Equipment, Net (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | |||
IfrsStatementLineItems [Line Items] | ||||
Beginning balance | $ 4,248 | |||
Reductions | ||||
Ending balance | 4,352 | $ 4,248 | ||
Depreciated cost at ending balance | 9,550 | 9,739 | ||
Leased systems [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Depreciated cost at ending balance | 5,198 | 5,491 | ||
System Components [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Depreciated cost at ending balance | 3,642 | 3,117 | ||
Laboratory equipment [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Depreciated cost at ending balance | 70 | 137 | ||
Right of use assets [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Depreciated cost at ending balance | 600 | 954 | ||
Office furniture and equipment [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Depreciated cost at ending balance | 40 | 40 | ||
Leasehold improvements [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Depreciated cost at ending balance | [1] | |||
Cost [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Beginning balance | 13,655 | 11,428 | ||
Additions | 4,788 | 5,566 | ||
Transfer to Leased systems | ||||
Reductions | (3,339) | (3,339) | ||
Ending balance | 13,655 | 13,655 | ||
Cost [Member] | Leased systems [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Beginning balance | 8,151 | 6,369 | ||
Additions | ||||
Transfer to Leased systems | 2,150 | 2,150 | ||
Reductions | [2] | (368) | (368) | |
Ending balance | 8,151 | 8,151 | ||
Cost [Member] | System Components [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Beginning balance | 3,117 | 2,717 | ||
Additions | 5,521 | 5,521 | ||
Transfer to Leased systems | (2,150) | (2,150) | ||
Reductions | (1,590) | [3] | (2,971) | |
Ending balance | 3,117 | 3,117 | ||
Cost [Member] | Laboratory equipment [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Beginning balance | 831 | 794 | ||
Additions | 37 | 37 | ||
Transfer to Leased systems | ||||
Reductions | ||||
Ending balance | 831 | 831 | ||
Cost [Member] | Right of use assets [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Beginning balance | 1,414 | 1,414 | ||
Additions | 48 | |||
Transfer to Leased systems | ||||
Reductions | (76) | |||
Ending balance | 1,386 | 1,414 | ||
Cost [Member] | Office furniture and equipment [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Beginning balance | 90 | 82 | ||
Additions | 8 | 8 | ||
Transfer to Leased systems | ||||
Reductions | ||||
Ending balance | 90 | 90 | ||
Cost [Member] | Leasehold improvements [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Beginning balance | 52 | 52 | ||
Additions | ||||
Transfer to Leased systems | ||||
Reductions | ||||
Ending balance | 52 | 52 | ||
Accumulated depreciation [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Beginning balance | 3,916 | 2,388 | ||
Additions | 3,493 | 1,602 | ||
Reductions | (73) | (73) | ||
Ending balance | 3,916 | 3,916 | ||
Accumulated depreciation [Member] | Leased systems [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Beginning balance | 2,660 | 1,679 | ||
Additions | 1,054 | 1,054 | ||
Reductions | (73) | (73) | ||
Ending balance | 2,660 | 2,660 | ||
Accumulated depreciation [Member] | System Components [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Beginning balance | ||||
Additions | ||||
Reductions | ||||
Ending balance | ||||
Accumulated depreciation [Member] | Laboratory equipment [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Beginning balance | 694 | 613 | ||
Additions | 81 | 81 | ||
Reductions | ||||
Ending balance | 694 | 694 | ||
Accumulated depreciation [Member] | Right of use assets [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Beginning balance | 460 | |||
Additions | 326 | 460 | ||
Reductions | ||||
Ending balance | 786 | 460 | ||
Accumulated depreciation [Member] | Office furniture and equipment [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Beginning balance | 50 | 44 | ||
Additions | 6 | 6 | ||
Reductions | ||||
Ending balance | 50 | 50 | ||
Accumulated depreciation [Member] | Leasehold improvements [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Beginning balance | 52 | 52 | ||
Additions | ||||
Reductions | ||||
Ending balance | $ 52 | $ 52 | ||
[1] | Represents an amount lower than $1 | |||
[2] | Derived mainly from systems leased to customers and sold | |||
[3] | Includes impairment charge of $1,061 for the year ended December 31, 2020. |
Property and Equipment, Net (_2
Property and Equipment, Net (Details Narrative) $ in Thousands | 12 Months Ended |
Dec. 31, 2020USD ($) | |
Property, plant and equipment [abstract] | |
Represents an amount | $ 1 |
Impairments charge | $ 1,061 |
Fair Value Measurement (Details
Fair Value Measurement (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Liabilities measured at fair value: | ||
Liability in respect of warrants | $ 38 | $ 78 |
Level 1 [Member] | ||
Liabilities measured at fair value: | ||
Liability in respect of warrants | ||
Level 2 [Member] | ||
Liabilities measured at fair value: | ||
Liability in respect of warrants | 38 | 78 |
Level 3 [Member] | ||
Liabilities measured at fair value: | ||
Liability in respect of warrants |
Fair Value Measurement (Detai_2
Fair Value Measurement (Details 1) | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Fair Value Measurement [abstract] | |||
Dividend yield | 0.00% | 0.00% | 0.00% |
Expected volatility | 56.58% | 40.24% | |
Risk-free interest rate | 0.12% | 1.61% | |
Expected life | 1 year 9 months | 2 years 9 months 3 days |
Trade Payables (Details)
Trade Payables (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Trade and other payables [abstract] | ||
Open debt | $ 781 | $ 1,320 |
Other Accounts Payable (Details
Other Accounts Payable (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | |
Other Accounts Payable [abstract] | |||
Employee and payroll accruals | $ 972 | $ 1,216 | |
Accrued expenses | 2,266 | 1,620 | |
Tax payable | 1 | ||
Liabilities to related parties | [1] | 102 | 128 |
Lease liabilities | 429 | 414 | |
Other accounts payable, total | $ 3,769 | $ 3,379 | |
[1] | A current non-interest bearing account |
Non-Current Liabilities (Detail
Non-Current Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Non-Current Liabilities [Abstract] | ||
Loan from bank | ||
Warrants | 38 | 78 |
Liability in respect of research and development grants | 5,524 | 5,367 |
Deferred revenues and other liabilities | 1,772 | 1,690 |
Lease liabilities | 243 | 663 |
Total non-current liabilities | $ 7,577 | $ 7,798 |
Non-Current Liabilities (Deta_2
Non-Current Liabilities (Details 1) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Maturity analysis: | ||
Less than one year | $ 463 | $ 525 |
One to five years | 312 | 1,106 |
Total lease commitments | 775 | 1,631 |
Impact of discounting remaining lease payments | (103) | (217) |
Total lease liabilities as of January 1, 2020 | 672 | 1,414 |
Lease liabilities as of December 31, 2020 | 672 | 1,077 |
Current | 429 | 414 |
Non-current | 243 | 663 |
Total | $ 672 | $ 1,077 |
Non-Current Liabilities (Deta_3
Non-Current Liabilities (Details Narrative) - USD ($) $ / shares in Units, $ in Thousands | Mar. 15, 2018 | Jul. 31, 2020 | Aug. 17, 2017 | Dec. 31, 2020 | Dec. 31, 2018 | Oct. 03, 2017 |
Non-Current Liabilities [Abstract] | ||||||
Bank credit facility | $ 6,000 | $ 300 | ||||
Withdrawn from bank | $ 3,000 | |||||
Bear annual interest | 6.75% | 6.00% | ||||
Ordinary shares of total exercise price | $ 600 | |||||
Exercise price | $ 5.02 | |||||
Credit facility, description | The remaining credit facility ("the second facility") may be withdrawn until March 15, 2018 bearing annual interest 3-months Libor plus 6.75%. The interest on the loans is payable on a quarterly basis and the loan principal is repayable in eight equal consecutive quarterly installments, whereby the first installment is due at the end of 18 and 12 months from the date of withdrawal of the loans from the first and second facilities, respectively. | |||||
Bank warrants | 59,761 | |||||
Maximum royalties payable including interest | $ 12,548 | |||||
Royalties paid | 2,624 | |||||
Fair value of the warrants | 150 | |||||
Remaining loan | 2,850 | |||||
Transaction costs | $ 156 | |||||
Credit facility agreement, description | A senior fixed charge, unlimited in amount, was provided on a specific deposit in which an amount of not less than $ 2,000 was deposited ("the deposited amount"). It was agreed that if by March 16, 2018, the amount of loans actually withdrawn is less than $ 6,000, the deposited amount would be placed at one-third of the actual amount of loans outstanding on that date. | |||||
Loan | $ 12,548 | |||||
Term | 2 years | |||||
Interest rate | 1.00% |
Financial Instruments (Details)
Financial Instruments (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
IfrsStatementLineItems [Line Items] | ||
Trade payables | $ 781 | $ 1,320 |
Other accounts payable | 3,340 | 2,965 |
Long-term liabilities | 2 | |
Liability in respect of research and development grants | 13,156 | 13,602 |
Lease liability | 775 | 1,292 |
Total financial instruments | 18,052 | 19,181 |
Less than one year [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Trade payables | 781 | 1,320 |
Other accounts payable | 3,340 | 2,965 |
Long-term liabilities | 1 | |
Liability in respect of research and development grants | 388 | 810 |
Lease liability | 463 | 572 |
Total financial instruments | 4,972 | 5,668 |
1 to 2 years [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Trade payables | ||
Other accounts payable | ||
Long-term liabilities | 1 | |
Liability in respect of research and development grants | 713 | 1,050 |
Lease liability | 299 | 449 |
Total financial instruments | 1,012 | 1,500 |
2 to 3 years [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Trade payables | ||
Other accounts payable | ||
Long-term liabilities | ||
Liability in respect of research and development grants | 893 | 1,335 |
Lease liability | 13 | 271 |
Total financial instruments | 906 | 1,606 |
3 to 4 years [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Trade payables | ||
Other accounts payable | ||
Long-term liabilities | ||
Liability in respect of research and development grants | 1,261 | 1,635 |
Lease liability | ||
Total financial instruments | 1,261 | 1,635 |
4 to 5 years [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Trade payables | ||
Other accounts payable | ||
Long-term liabilities | ||
Liability in respect of research and development grants | 1,793 | 1,980 |
Lease liability | ||
Total financial instruments | 1,793 | 1,980 |
Greater Than 5 years [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Trade payables | ||
Other accounts payable | ||
Long-term liabilities | ||
Liability in respect of research and development grants | 8,108 | 6,792 |
Lease liability | ||
Total financial instruments | $ 8,108 | $ 6,792 |
Financial Instruments (Details
Financial Instruments (Details 1) - Level 2 [Member] $ in Thousands | 12 Months Ended |
Dec. 31, 2020USD ($) | |
IfrsStatementLineItems [Line Items] | |
Opening balance at January 1, 2020 | $ 78 |
Amounts transferred to the statement of comprehensive loss as finance income | (40) |
Closing balance at December 31, 2020 | $ 38 |
Financial Instruments (Detail_2
Financial Instruments (Details 2) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Gain (loss) from the change: | ||
Increase of 5% in exchange rate | $ (50) | $ (88) |
Decrease of 5% in exchange rate | $ 50 | $ 88 |
Financial Instruments (Detail_3
Financial Instruments (Details Narrative) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of detailed information about financial instruments [abstract] | ||
Balance of financial liabilities | $ 38 | $ 78 |
Excess of financial assets over financial liabilities | $ 2,001 | |
Financial instruments, description | The Company has excess of financial assets over financial liabilities in Euro and Yen in relation to US dollar of $3,198 and $437, respectively. An increase or decrease of 5% of the US dollar relative to the Euro or Yen would not have a significant effect on the Company. | |
Financial liabilities | $ 300 |
Employee Benefits and Liabili_2
Employee Benefits and Liabilities (Details Narrative) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Employee Benefits and Liabilities [Abstract] | ||
Expense in defined contribution plans | $ 258 | $ 325 |
Taxes on Income (Details Narrat
Taxes on Income (Details Narrative) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | |||
Dec. 22, 2018 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2016 | |
IfrsStatementLineItems [Line Items] | |||||
Corporate federal income tax rate | 4.00% | ||||
Carryforward losses for tax purposes | $ 4,000 | ||||
Description of amendment income tax rate | Technological preferred enterprise - an enterprise for which total consolidated revenues of its parent company and all subsidiaries are less than NIS 10 billion. A technological preferred enterprise, as defined in the amendment, which is located in the center of Israel will be subject to tax at a rate of 12% on profits deriving from intellectual property (in development area A - 7.5%). | According to the amendment, a “beneficiary enterprise” located in development area A will be subject to a tax rate of 7.5% instead of 9% effective from January 1, 2018 and thereafter (the tax rate applicable to preferred enterprises located in other areas remains at 16%). | |||
Moach [Member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Income tax rate | 23.00% | 23.00% | 23.00% | ||
Carryforward losses for tax purposes | $ 49,300 | ||||
USA Inc [Member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Income tax rate | 27.00% | ||||
USA Inc [Member] | Bottom of range [member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Income tax rate | 35.00% | ||||
Corporate federal income tax rate | 21.00% | ||||
USA Inc [Member] | Top of range [member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Income tax rate | 40.00% | ||||
Corporate federal income tax rate | 35.00% |
Contingent Liabilities, Commi_2
Contingent Liabilities, Commitments and Charges (Details Narrative) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | |||||||
Oct. 31, 2018 | Feb. 22, 2018 | Sep. 30, 2017 | Jul. 31, 2015 | Apr. 30, 2014 | Mar. 31, 2014 | Aug. 25, 2013 | Dec. 31, 2020 | Dec. 31, 2019 | |
IfrsStatementLineItems [Line Items] | |||||||||
Description of distribution fees payment | The distributor is obligated to pay the Company distribution fees of 190 million Yen (approximately $1.8 million), whereby 100 million Yen (approximately $1 million as of December 31, 2020) paid in September 2013 and 90 million Yen (approximately $0.8 million as of December 31, 2020) paid in 2019. | ||||||||
Revenue target | 10.00% | ||||||||
Description of development plan | The Company's approved budget for the development plan is NIS 1.1 million, of which 66% (approximately NIS 0.7 million) which will be provided to the Company as a non-royalty bearing grant over the term of the plan. | The plan was approved for three years and extended up to five years, in the framework of which the Company was approved work plans with participation rate of up to 66% of a non-royalty bearing grant. | |||||||
Description of annual work plan | The MAGNET committee approved an annual work plan for the fifth year with the budget of NIS 2,300, of out of which 55% (NIS 1,300) was provided to the Company as non-royalty bearing grants to date. | The MAGNET committee approved an annual work plan for the fifth year with the budget of NIS 2,300, of out of which 55% (NIS 1,300) was provided to the Company as non-royalty bearing grants to date. | |||||||
Exclusivity fee | $ 1,000 | ||||||||
Royalties fixed annual amount | $ 2 | ||||||||
Current provision for royalties | $ 226 | $ 124 | |||||||
Description of royalty payment | a)1% of net sales systems based upon certain patents (which include technology licensed from PHS); b)3% for the first $10,000 of net sales, and 2% for net sales over $10,000, for all other Deep TMS products solely based on certain patents licensed exclusively from Yeda provided however in the event that the products are sold to a sublicensee and are thereafter sold by such sublicensee, the royalties paid to Yeda will be based on the higher of the net sales by the licensee or the net sales of the sale by the sublicensee.c)4%-8% of the net cash proceeds that the Company receives in respect of granting sublicenses or options for sublicenses dependent on the patents licensed. | ||||||||
Fixed rate | 5.00% | ||||||||
Refundable fees | $ 600 | ||||||||
Marketing and Distribution Agreement [Member] | |||||||||
IfrsStatementLineItems [Line Items] | |||||||||
Marketing and distribution agreement, description | In March 2014, the Company entered into an exclusive marketing and distribution agreement of the Company's system with a third party in Israel for a maximum period of 15 years, subject to meeting minimum sales targets as set in the agreement. In April 2014, the distributor paid the Company a one-time exclusivity fee of NIS 1 million. Effective July 2019, the Company assumed direct operations for customers in Israel, after terminating its distribution agreement with its Israeli distributor, pursuant to which a portion of the exclusivity fee (up to NIS 600) was determined to be refundable depending on future sales. | ||||||||
Sub-license agreement [Member] | |||||||||
IfrsStatementLineItems [Line Items] | |||||||||
Revenue target | 8.00% | ||||||||
Current provision for royalties | $ 259 | ||||||||
Description of royalty payment | In return, Inc is committed to pay PHS royalties at fixed annual amount of $2 from January 1, 2004 and royalties of 2% of net sales beyond this amount as defined in the agreement. | ||||||||
Bottom of range [member] | |||||||||
IfrsStatementLineItems [Line Items] | |||||||||
Royalties rates | 1.60% | ||||||||
Top of range [member] | |||||||||
IfrsStatementLineItems [Line Items] | |||||||||
Royalties rates | 2.00% |
Equity (Details)
Equity (Details) - shares | Dec. 31, 2020 | Dec. 31, 2019 |
Equity | ||
Number of shares, Authorized | 25,000,000 | 25,000,000 |
Number of shares, Issued and outstanding | 22,250,534 | 22,236,368 |
Equity (Details 1)
Equity (Details 1) $ in Thousands | 12 Months Ended |
Dec. 31, 2020USD ($)shares | |
IfrsStatementLineItems [Line Items] | |
Balance, shares | shares | 22,236,368 |
Exercise of share option, shares | shares | 14,166 |
Balance, shares | shares | 22,250,534 |
Dekel [Member] | |
IfrsStatementLineItems [Line Items] | |
Balance | $ | $ 233,167 |
Exercise of share option | $ | 164 |
Balance | $ | $ 233,331 |
Equity (Details Narrative)
Equity (Details Narrative) | 12 Months Ended |
Dec. 31, 2020$ / shares | |
IfrsStatementLineItems [Line Items] | |
Description of initial publlic offering | Company closed its initial public offering in Nasdaq of 2,500,000 American Depositary Shares (“ADSs”), each representing two ordinary shares of Brainsway, at a public offering price of $11.00 per ADS. The gross proceeds to the Company from the offering, before deducting the underwriting discounts and commissions and estimated offering expenses, are approximately $27.5 million. |
Dekel [Member] | |
IfrsStatementLineItems [Line Items] | |
Shares par value | $ 0.3 |
Share-Based Payment (Details)
Share-Based Payment (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Share-Based Payment [Abstract] | |||
Equity-settled share-based payment plans to employees, directors and consultants | $ 799 | $ 1,263 | $ 710 |
Share-Based Payment (Details 1)
Share-Based Payment (Details 1) - Share-based payment arrangements [member] $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2020USD ($)$ / sharesshares | ||
December 8, 2015 [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Issuance Date | December 8, 2015 | |
Share-based grantee | Employees and Consultant | |
Options outstanding | shares | 292,250 | |
Exercise Price | $ 6.7 | [1] |
Exercisable | shares | 292,250 | |
Exercisable Through | December 8, 2025 | |
Total Fair Value | $ | $ 1,053 | |
December 8, 2015 [Member] | Dekel [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Exercise Price | $ 25.99 | |
December 8, 2015 [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Issuance Date | December 8, 2015 | |
Share-based grantee | Employees and Consultant | |
Options outstanding | shares | 270,000 | |
Exercise Price | $ 8.04 | [1] |
Exercisable | shares | 270,000 | |
Exercisable Through | December 8, 2025 | |
Total Fair Value | $ | $ 1,247 | |
December 8, 2015 [Member] | Dekel [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Exercise Price | $ 31.19 | |
April 1, 2017 [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Issuance Date | April 1, 2017 | |
Share-based grantee | Chief Executive Officer and Director | |
Options outstanding | shares | 566,262 | |
Exercise Price | $ 5.47 | [1] |
Exercisable | shares | 566,262 | |
Exercisable Through | April 1, 2025 | |
Total Fair Value | $ | $ 1,100 | |
April 1, 2017 [Member] | Dekel [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Exercise Price | $ 19.97 | |
December 3, 2017 [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Issuance Date | December 3, 2017 | |
Share-based grantee | Director | |
Options outstanding | shares | 27,500 | |
Exercise Price | $ 6.12 | [1] |
Exercisable | shares | 9,167 | |
Exercisable Through | December 3, 2027 | |
Total Fair Value | $ | $ 54 | |
December 3, 2017 [Member] | Dekel [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Exercise Price | $ 21.37 | |
November 12, 2018 [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Issuance Date | November 12, 2018 | |
Share-based grantee | Directors | |
Options outstanding | shares | 110,000 | |
Exercise Price | $ 6.36 | [1] |
Exercisable | shares | ||
Exercisable Through | November 12, 2026 | |
Total Fair Value | $ | $ 298 | |
November 12, 2018 [Member] | Dekel [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Exercise Price | $ 23.39 | |
November 12, 2018 [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Issuance Date | November 12, 2018 | |
Share-based grantee | Employees and officers | |
Options outstanding | shares | 672,600 | |
Exercisable | shares | ||
Exercisable Through | November 12, 2026 | |
Total Fair Value | $ | $ 2,299 | |
November 12, 2018 [Member] | Bottom of range [member] | ||
IfrsStatementLineItems [Line Items] | ||
Exercise Price | $ 6.36 | [1] |
November 12, 2018 [Member] | Bottom of range [member] | Dekel [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Exercise Price | 23.39 | |
November 12, 2018 [Member] | Top of range [member] | ||
IfrsStatementLineItems [Line Items] | ||
Exercise Price | 6.59 | [1] |
November 12, 2018 [Member] | Top of range [member] | Dekel [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Exercise Price | $ 24.22 | |
October 1, 2019 [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Issuance Date | October 1, 2019 | |
Share-based grantee | Chief Financial and Operating Officer | |
Options outstanding | shares | 50,000 | |
Exercise Price | $ 5.48 | [1] |
Exercisable | shares | ||
Exercisable Through | October 1, 2027 | |
Total Fair Value | $ | $ 100 | |
October 1, 2019 [Member] | Dekel [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Exercise Price | $ 19.08 | |
January 13,2020 [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Issuance Date | January 13,2020 | |
Share-based grantee | Director | |
Options outstanding | shares | 55,008 | |
Exercise Price | $ 5.30 | [1] |
Exercisable Through | January 13,2020 | |
Total Fair Value | $ | $ 133 | |
January 13,2020 [Member] | Dekel [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Exercise Price | $ 18.52 | |
May 11, 2020 [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Issuance Date | May 11, 2020 | |
Share-based grantee | Chief Financial Officer | |
Options outstanding | shares | 100,000 | |
Exercise Price | $ 5.58 | [1] |
Exercisable Through | May 11, 2028 | |
Total Fair Value | $ | $ 158 | |
June 1, 2020 [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Issuance Date | June 1, 2020 | |
Share-based grantee | VP Global Marketing | |
Options outstanding | shares | 60,000 | |
Exercise Price | $ 5.58 | [1] |
Exercisable Through | June 1, 2028 | |
Total Fair Value | $ | $ 177 | |
November 19, 2020 [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Issuance Date | November 19, 2020 | |
Share-based grantee | Director of Market Access, Director of Analytics | |
Options outstanding | shares | 70,000 | |
Exercise Price | $ 3.4 | [1] |
Exercisable Through | November 19, 2030 | |
Total Fair Value | $ | $ 228 | |
[1] | As of grant date |
Share-Based Payment (Details 2)
Share-Based Payment (Details 2) - $ / shares | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
IfrsStatementLineItems [Line Items] | |||
Dividend yield | 0.00% | 0.00% | 0.00% |
Expected exercise factor | $ 2.8 | $ 2.8 | $ 2.8 |
Post-vesting forfeiture rate | 5.00% | 5.00% | 5.00% |
Bottom of range [member] | |||
IfrsStatementLineItems [Line Items] | |||
Expected volatility | 48.00% | 40.06% | 40.51% |
Risk-free interest rate | 0.14% | 1.61% | 0.28% |
Top of range [member] | |||
IfrsStatementLineItems [Line Items] | |||
Expected volatility | 76.78% | 48.09% | 48.25% |
Risk-free interest rate | 0.62% | 1.73% | 2.22% |
Share-Based Payment (Details 3)
Share-Based Payment (Details 3) - $ / shares | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | |||
Share-Based Payment [Abstract] | ||||
Number of options, Outstanding at beginning of year | 2,213,812 | 2,425,192 | ||
Number of options, Granted | 285,008 | 50,000 | ||
Number of options, Exercised | (246,262) | |||
Number of options, Expired | (535,667) | (59,765) | ||
Number of options, Forfeited | (193,916) | (201,615) | ||
Number of options, Outstanding at year end | 1,522,975 | 2,213,812 | ||
Number of options, Exercisable at year end | 839,418 | 1,362,879 | ||
Weighted average of exercise price, Outstanding at the beginning of year | [1] | $ 7.1 | $ 6.6 | |
Weighted average of exercise price, Granted | [1] | 5.4 | 5.5 | |
Weighted average of exercise price, Exercised | [1] | 5.8 | [2] | |
Weighted average of exercise price, Expired | [1] | 7.4 | 7.5 | |
Weighted average of exercise price, Forfeited | [1] | 6.7 | 7 | |
Weighted average of exercise price, Outstanding at year end | [1] | 7.5 | 7.1 | |
Weighted average of exercise price, Exercisable at year end | [1] | $ 9.5 | $ 7.38 | |
[1] | The exercise price of all options denominated in NIS and was translated to USD in the table above using the exchange rate as of December 31, 2020 and 2019, respectively. | |||
[2] | The options were exercised by way of a cashless exercise. |
Share-Based Payment (Details Na
Share-Based Payment (Details Narrative) - $ / shares | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
IfrsStatementLineItems [Line Items] | ||
Weighted average remaining contractual life | 6 years | |
Employment compensation, description | The Company granted to the Company’s Chief Executive Officer (“CEO”) upon his employment, 240,000 restricted stock units (“RSUs”) of which 60,000 RSUs were granted through to January 26, 2021, and 180,000 RSUs have been committed to be provided in three future grants of 60,000 RSUs upon each anniversary of the employment start date of the CEO with the Company. The terms of the 180,000 committed CEO RSU’s were amended subsequent to balance sheet date | |
Bottom of range [member] | ||
IfrsStatementLineItems [Line Items] | ||
Exercise Price | $ 4 | $ 4 |
Top of range [member] | ||
IfrsStatementLineItems [Line Items] | ||
Exercise Price | $ 18.5 | $ 18.5 |
Additional Information to the_3
Additional Information to the Statements of Comprehensive Loss (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Additional Information to the Statements of Comprehensive Loss [Abstract] | |||
Revenues from lease | $ 13,628 | $ 13,218 | $ 9,569 |
Revenues from sale | 8,429 | 9,883 | 6,828 |
Revenue total | $ 22,057 | $ 23,101 | $ 16,397 |
Additional Information to the_4
Additional Information to the Statements of Comprehensive Loss (Details 1) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
IfrsStatementLineItems [Line Items] | |||
Revenues | $ 22,057 | $ 23,101 | $ 16,397 |
Percentage of revenues | 100.00% | 100.00% | 100.00% |
USA [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Revenues | $ 19,330 | $ 20,636 | $ 14,478 |
Percentage of revenues | 88.00% | 89.00% | 88.00% |
Europes [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Revenues | $ 1,847 | $ 1,353 | $ 1,102 |
Percentage of revenues | 8.00% | 6.00% | 7.00% |
Israel [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Revenues | $ 150 | $ 845 | $ 371 |
Percentage of revenues | 1.00% | 1.00% | 2.00% |
Others [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Revenues | $ 730 | $ 267 | $ 446 |
Percentage of revenues | 3.00% | 4.00% | 3.00% |
Additional Information to the_5
Additional Information to the Statements of Comprehensive Loss (Details 2) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Additional Information to the Statements of Comprehensive Loss [Abstract] | ||
Not later than one year | $ 9,684 | $ 8,527 |
Later than one year and not later than five years | 15,875 | 12,723 |
Later than five years | 32 | 571 |
Total future minimum lease payments under non cancellable operating leases | $ 25,591 | $ 21,821 |
Additional Information to the_6
Additional Information to the Statements of Comprehensive Loss (Details 3) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
IfrsStatementLineItems [Line Items] | |||
Cost of revenues | $ 5,058 | $ 5,129 | $ 3,589 |
Cost of Sales Revenue [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Cost of revenues | 3,201 | 2,473 | 1,666 |
Cost of Lease Revenue [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Cost of revenues | $ 1,857 | $ 2,656 | $ 1,923 |
Additional Information to the_7
Additional Information to the Statements of Comprehensive Loss (Details 4) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Additional Information to the Statements of Comprehensive Loss [Abstract] | |||
Salaries and related benefits | $ 3,289 | $ 3,338 | $ 3,365 |
Subcontractors | 1,530 | 2,620 | 2,241 |
Laboratory materials | 275 | 687 | 491 |
Patents | 288 | 334 | 198 |
Share-based payment | 182 | 399 | 31 |
Travel | 2 | 112 | 65 |
Depreciation | 87 | 39 | 31 |
Other | 383 | 604 | 658 |
Less-Government grants | (213) | (257) | (924) |
Research and development expenses, net | $ 5,823 | $ 7,876 | $ 6,156 |
Additional Information to the_8
Additional Information to the Statements of Comprehensive Loss (Details 5) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Additional Information to the Statements of Comprehensive Loss [Abstract] | |||
Salaries and related benefits | $ 6,458 | $ 6,419 | $ 4,252 |
Agent commissions | 335 | 221 | 215 |
Marketing | 3,627 | 5,239 | 2,891 |
Travel | 611 | 1,176 | 865 |
Share-based payment | 252 | 214 | 122 |
Selling and marketing expenses | $ 11,283 | $ 13,269 | $ 8,345 |
Additional Information to the_9
Additional Information to the Statements of Comprehensive Loss (Details 6) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
IfrsStatementLineItems [Line Items] | |||
General and administrative expenses | $ 4,722 | $ 5,303 | $ 3,421 |
Salaries and related benefits [Member] | |||
IfrsStatementLineItems [Line Items] | |||
General and administrative expenses | 1,339 | 1,774 | 1,235 |
Professional fees and office expenses [Member] | |||
IfrsStatementLineItems [Line Items] | |||
General and administrative expenses | 1,550 | 1,770 | 1,176 |
Depreciation [Member] | |||
IfrsStatementLineItems [Line Items] | |||
General and administrative expenses | 411 | 81 | 30 |
Travel [Member] | |||
IfrsStatementLineItems [Line Items] | |||
General and administrative expenses | 17 | 222 | 127 |
Allowance for doubtful account [Member] | |||
IfrsStatementLineItems [Line Items] | |||
General and administrative expenses | 844 | 835 | 296 |
Share based payment [Member] | |||
IfrsStatementLineItems [Line Items] | |||
General and administrative expenses | $ 348 | $ 621 | $ 557 |
Additional Information to th_10
Additional Information to the Statements of Comprehensive Loss (Details 7) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Finance income: | |||
Interest-income revaluation of bank deposits | $ 61 | $ 175 | $ 44 |
Revaluation of warrants | 40 | 62 | |
Exchange rate differences, net | 448 | ||
Finance income | 549 | 237 | 44 |
Finance expense: | |||
Liability in respect of research and development grants | 762 | 969 | 519 |
Interest expense and amortization of deferred costs- loan from bank | 283 | 354 | |
Bank commissions | 40 | 108 | 41 |
Revaluation of warrants | 28 | ||
Exchange rate differences, net | 192 | 258 | |
Interest expense of lease liability | 66 | 115 | |
Finance expense | $ 868 | $ 1,667 | $ 1,200 |
Net Loss Per Share (Details)
Net Loss Per Share (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | ||
Earnings per share [abstract] | ||||
Weighted number of shares | [1] | 22,453,025 | 20,506,202 | 16,640,446 |
Loss attributable to equity holders of the Company | $ 5,385 | $ 10,328 | $ 6,479 | |
[1] | Computation of diluted loss per share did not include potential ordinary shares that would result from conversion of outstanding options and warrants, since their conversion has anti-dilutive effect. |
Balances and Transactions wit_3
Balances and Transactions with Related Parties (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Key Management Personnel [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Other accounts payable | $ 64 | $ 102 |
Related parties [member] | ||
IfrsStatementLineItems [Line Items] | ||
Other accounts payable | $ 38 | $ 26 |
Balances and Transactions wit_4
Balances and Transactions with Related Parties (Details 1) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020USD ($)Integer | Dec. 31, 2019USD ($)Integer | Dec. 31, 2018USD ($)Integer | |
Balances and Transactions With Related Parties [Abstract] | |||
Salary to those employed by the Company or on its behalf | $ | $ 769 | $ 945 | $ 654 |
Directors' fees to those not employed by the Company or on its behalf | $ | $ 60 | $ 90 | $ 100 |
Number of individuals to whom the salary and benefits relate: | |||
Related and interested parties employed by the Company or on its behalf | 2 | 3 | 4 |
Directors not employed by the Company | 6 | 8 | 6 |
Benefits to interested and related parties | 8 | 11 | 10 |
Balances and Transactions wit_5
Balances and Transactions with Related Parties (Details 2) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Balances and Transactions With Related Parties [Abstract] | |||
Short-term benefits | $ 3 | $ 16 | |
Share-based payment to those employed by the Company or on its behalf | 182 | 190 | 394 |
Share-based payment to those not employed by the Company or on its behalf | $ 150 | $ 147 | $ 41 |
Balances and Transactions wit_6
Balances and Transactions with Related Parties (Details 3) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |||
IfrsStatementLineItems [Line Items] | |||||
Research and development expenses | $ 5,823 | $ 7,876 | $ 6,156 | ||
General and administrative expenses | 4,722 | 5,303 | 3,421 | ||
Sales and marketing expenses | 11,283 | 13,269 | 8,345 | ||
Key Management Personnel [Member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Research and development expenses | [1] | 236 | 113 | 207 | |
General and administrative expenses | [1] | 619 | 943 | 776 | |
Sales and marketing expenses | [1] | 150 | |||
Interested and related parties | [1] | 1,005 | 1,056 | 983 | |
Related parties [member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Research and development expenses | 81 | 81 | [1] | ||
General and administrative expenses | 201 | 238 | 140 | [1] | |
Sales and marketing expenses | |||||
Interested and related parties | $ 201 | $ 319 | $ 221 | [1] | |
[1] | Some of the key management personnel are interested parties by virtue of holdings. |
Balances and Transactions wit_7
Balances and Transactions with Related Parties (Details Narrative) - $ / shares | Jan. 05, 2017 | Aug. 17, 2017 |
IfrsStatementLineItems [Line Items] | ||
Exercise price | $ 5.02 | |
Michlin [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Options to purchase ordinary shares | 566,262 | |
Michlin [Member] | Bottom of range [member] | ||
IfrsStatementLineItems [Line Items] | ||
Percentage of issued and oustanding capital | 3.10% | |
Michlin [Member] | Top of range [member] | ||
IfrsStatementLineItems [Line Items] | ||
Percentage of issued and oustanding capital | 3.60% | |
Michlin [Member] | Israeli NewShekel [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Exercise price | $ 19.97 |
Events After the Reporting Pe_2
Events After the Reporting Period (Details Narrative) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 2 Months Ended | |
Jan. 26, 2021 | Aug. 17, 2017 | Mar. 01, 2021 | |
IfrsStatementLineItems [Line Items] | |||
Exercise price | $ 5.02 | ||
Non-adjusting events [member] | |||
IfrsStatementLineItems [Line Items] | |||
Repricing of Ordinary Shares | 1,474,000 | ||
Exercise price | $ 4.675 | ||
Number of shares offered | 5,315,300 | ||
Shares price | $ 8.50 | ||
Underwriting discounts and commissions | $ 45,200 | ||
Non-adjusting events [member] | Chief Executive Officer [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Shares granted | 60,000 | ||
Shares granted, description | 180,000 RSUs have been committed to be provided in three future grants of 60,000 RSUs upon each anniversary of the employment start date of the CEO with the Company | ||
Non-adjusting events [member] | Chief Executive Officer [Member] | RSUs [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Shares granted | 180,000 |