Document And Entity Information
Document And Entity Information | 12 Months Ended |
Dec. 31, 2015shares | |
Document Information [Line Items] | |
Document Type | 20-F |
Amendment Flag | false |
Document Period End Date | Dec. 31, 2015 |
Document Fiscal Year Focus | 2,015 |
Document Fiscal Period Focus | FY |
Entity Registrant Name | MAGIC SOFTWARE ENTERPRISES LTD |
Entity Central Index Key | 876,779 |
Current Fiscal Year End Date | --12-31 |
Entity Well-known Seasoned Issuer | No |
Entity Voluntary Filers | No |
Entity Current Reporting Status | Yes |
Entity Filer Category | Accelerated Filer |
Trading Symbol | MGIC |
Entity Common Stock, Shares Outstanding | 44,335,220 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 62,188 | $ 72,515 |
Short-term bank deposits | 2,677 | 0 |
Available-for-sale marketable securities (Note 4) | 11,819 | 11,915 |
Trade receivables (net of allowance for doubtful accounts of $ 2,380 and $ 1,885 at December 31, 2014 and 2015, respectively) | 52,374 | 40,358 |
Other accounts receivable and prepaid expenses (Note 6) | 6,244 | 3,419 |
Total current assets | 135,302 | 128,207 |
LONG-TERM RECEIVABLES: | ||
Severance pay fund | 1,454 | 1,426 |
Long term deferred tax asset (Note 12) | 2,823 | 2,137 |
Other long-term receivables | 1,088 | 2,376 |
Total long-term receivables | 5,365 | 5,939 |
PROPERTY AND EQUIPMENT, NET (Note 7) | 2,296 | 2,005 |
INTANGIBLE ASSETS, NET (Note 8) | 33,575 | 32,543 |
Goodwill | 63,308 | 55,490 |
Total assets | 239,846 | 224,184 |
CURRENT LIABILITIES: | ||
Short term debt (Note 11) | 13 | 2,853 |
Trade payables | 6,331 | 3,861 |
Accrued expenses and other accounts payable (Note 10) | 17,921 | 15,013 |
Deferred revenues | 4,092 | 3,431 |
Total current liabilities | 28,357 | 25,158 |
ACCRUED SEVERANCE PAY | 2,616 | 2,562 |
LONG TERM LIABILITIES: | ||
Long term debt (Note 11) | 3,257 | 490 |
Liabilities due to acquisition activities and other (Note 3) | 1,039 | 474 |
Long term deferred tax liability (Note 12) | 5,726 | 4,846 |
Total noncurrent liabilities | $ 10,022 | $ 5,810 |
COMMITMENTS AND CONTINGENCIES (Note 16) | ||
REDEEMABLE NON-CONTROLLING INTEREST (Note 2) | $ 5,745 | $ 2,930 |
EQUITY (Note 13): | ||
Ordinary shares of NIS 0.1 par value - Authorized: 50,000,000 shares at December 31, 2014 and 2015; Issued and Outstanding: 44,174,217 and 44,335,220 shares at December 31, 2014 and 2015, respectively | 1,035 | 1,029 |
Additional paid-in capital | 180,989 | 182,114 |
Accumulated other comprehensive loss | (6,695) | (5,347) |
Accumulated earnings | 15,679 | 7,269 |
Total equity attributable to Magic Software Enterprises shareholders | 191,008 | 185,065 |
Non-controlling interests | 2,098 | 2,659 |
Total equity | 193,106 | 187,724 |
Total liabilities, redeemable non-controlling interest and equity | $ 239,846 | $ 224,184 |
CONSOLIDATED BALANCE SHEETS _Pa
CONSOLIDATED BALANCE SHEETS [Parenthetical] - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Allowance for doubtful accounts trade receivables, net (in dollars) | $ 1,885 | $ 2,380 |
Ordinary stock, shares authorized | 50,000,000 | 50,000,000 |
Ordinary stock, shares issued | 44,335,220 | 44,174,217 |
Ordinary stock, shares outstanding | 44,335,220 | 44,174,217 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Revenues (Note 18): | |||
Software | $ 21,598 | $ 25,351 | $ 23,254 |
Maintenance and technical support | 22,908 | 22,780 | 22,685 |
Consulting services | 131,524 | 116,173 | 99,019 |
Total revenues | 176,030 | 164,304 | 144,958 |
Cost of revenues: | |||
Software | 7,836 | 7,646 | 6,648 |
Maintenance and technical support | 2,466 | 2,921 | 2,949 |
Consulting services | 102,919 | 89,160 | 76,296 |
Total cost of revenues | 113,221 | 99,727 | 85,893 |
Gross profit | 62,809 | 64,577 | 59,065 |
Operating costs and expenses: | |||
Research and development, net (Note 15a) | 4,888 | 4,750 | 3,706 |
Selling and marketing | 23,062 | 24,580 | 23,066 |
General and administrative | 13,425 | 14,521 | 13,166 |
Total operating costs and expenses | 41,375 | 43,851 | 39,938 |
Operating income | 21,434 | 20,726 | 19,127 |
Financial expense, net (Note 15b) | (685) | (1,786) | (684) |
Other income (expense), net | 8 | (67) | (12) |
Income before taxes on income | 20,757 | 18,873 | 18,431 |
Taxes on income (Note 12) | 3,681 | 2,307 | 1,575 |
Net income | 17,076 | 16,566 | 16,856 |
Net income attributable to redeemable non-controlling interests | 639 | 425 | 546 |
Net income attributable to non-controlling interests | 239 | 621 | 430 |
Net income attributable to Magic Software Enterprises Shareholders | $ 16,198 | $ 15,520 | $ 15,880 |
Net earnings per share attributable to Magic Software Enterprises' shareholders (Note 17): | |||
Basic earnings per share | $ 0.37 | $ 0.36 | $ 0.43 |
Diluted earnings per share | $ 0.36 | $ 0.36 | $ 0.43 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Net income | $ 17,076 | $ 16,566 | $ 16,856 |
Other comprehensive income (loss), net of tax | |||
Foreign currency translation adjustments, net | (1,513) | (5,469) | 495 |
Unrealized gain from derivative instruments, net | 9 | 0 | 0 |
Unrealized gain (loss) from available-for-sale securities | 156 | (259) | (35) |
Total other comprehensive income (loss), net of tax | (1,348) | (5,728) | 460 |
Total comprehensive income | 15,728 | 10,838 | 17,316 |
Comprehensive income attributable to redeemable non-controlling interests | 572 | 51 | 807 |
Comprehensive income attributable to non-controlling interests | 208 | 442 | 476 |
Comprehensive income attributable to Magic Software Enterprises' shareholders | $ 14,948 | $ 10,345 | $ 16,033 |
STATEMENTS OF CHANGES IN EQUITY
STATEMENTS OF CHANGES IN EQUITY - USD ($) $ in Thousands | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Accumulated earnings (deficit) [Member] | Noncontrolling Interest [Member] |
Balance at Dec. 31, 2012 | $ 118,361 | $ 811 | $ 125,288 | $ (586) | $ (7,727) | $ 575 |
Balance (in shares) at Dec. 31, 2012 | 36,626,728 | |||||
Exercise of stock options | 1,462 | $ 15 | 1,447 | 0 | 0 | 0 |
Exercise of stock options (in shares) | 528,627 | |||||
Stock-based compensation expenses | 325 | $ 0 | 325 | 0 | 0 | 0 |
Dividend | (7,787) | 0 | 0 | 0 | (7,723) | (64) |
Other comprehensive loss | 460 | 0 | 0 | 414 | 0 | 46 |
Net income | 16,310 | 0 | 0 | 0 | 15,880 | 430 |
Balance at Dec. 31, 2013 | 129,131 | $ 826 | 127,060 | (172) | 430 | 987 |
Balance (in shares) at Dec. 31, 2013 | 37,155,355 | |||||
Issuance of shares | 54,726 | $ 201 | 54,525 | 0 | 0 | 0 |
Issuance of shares (in shares) | 6,903,141 | |||||
Exercise of stock options | 204 | $ 2 | 202 | 0 | 0 | 0 |
Exercise of stock options (in shares) | 115,721 | |||||
Stock-based compensation expenses | 1,557 | $ 0 | 327 | 0 | 0 | 1,230 |
Dividend | (8,681) | 0 | 0 | 0 | (8,681) | 0 |
Other comprehensive loss | (5,354) | 0 | 0 | (5,175) | 0 | (179) |
Net income | 16,141 | 0 | 0 | 0 | 15,520 | 621 |
Balance at Dec. 31, 2014 | 187,724 | $ 1,029 | 182,114 | (5,347) | 7,269 | 2,659 |
Balance (in shares) at Dec. 31, 2014 | 44,174,217 | |||||
Issuance of shares | (50) | $ 0 | (50) | 0 | 0 | 0 |
Issuance of shares (in shares) | 0 | |||||
Exercise of stock options | 419 | $ 6 | 413 | 0 | 0 | 0 |
Exercise of stock options (in shares) | 161,003 | |||||
Stock-based compensation expenses | 234 | $ 0 | 220 | 0 | 0 | 14 |
Acquisition of non-controlling interests (Note 3) | (1,744) | 0 | (1,708) | 0 | 0 | (36) |
Dividend | (8,535) | 0 | 0 | 0 | (7,788) | (747) |
Other comprehensive loss | (1,379) | 0 | 0 | (1,348) | 0 | (31) |
Net income | 16,437 | 0 | 0 | 0 | 16,198 | 239 |
Balance at Dec. 31, 2015 | $ 193,106 | $ 1,035 | $ 180,989 | $ (6,695) | $ 15,679 | $ 2,098 |
Balance (in shares) at Dec. 31, 2015 | 44,335,220 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Cash flows from operating activities: | |||
Net income | $ 17,076 | $ 16,566 | $ 16,856 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 9,885 | 8,660 | 8,380 |
Loss on sale of property and equipment | 0 | 0 | 10 |
Stock-based compensation expenses | 234 | 1,557 | 325 |
Amortization of marketable securities premium and accretion of discount | 249 | 62 | 0 |
Decrease (increase) in trade receivables, net | (8,756) | (9,378) | 473 |
Increase in other long term and short term accounts receivable and prepaid expenses | (1,669) | (23) | (397) |
Increase (decrease) in trade payables | 1,866 | (342) | (700) |
Decrease in accrued expenses and other accounts payable | (196) | (303) | (1,589) |
Increase (decrease) in deferred revenues | 684 | 191 | (1,765) |
Change in deferred and other income taxes, net | 245 | 1,204 | 687 |
Net cash provided by operating activities | 19,618 | 18,194 | 22,280 |
Cash flows from investing activities: | |||
Capitalized software development costs | (3,847) | (4,267) | (4,713) |
Purchase of property and equipment | (1,109) | (993) | (497) |
Cash paid in conjunction with acquisitions, net of acquired cash | (9,182) | (9,363) | (16,557) |
Proceeds from sale of property and equipment | 0 | 0 | 60 |
Proceeds from maturity of marketable securities | 0 | 596 | 0 |
Proceeds from short-term bank deposits | 2,654 | 0 | 0 |
Change in loans to employees and other deposits ,net | 5 | (58) | 0 |
Investment in marketable securities and short-term bank deposits | (5,153) | (11,976) | 0 |
Net cash used in investing activities | (16,632) | (26,061) | (21,707) |
Cash flows from financing activities: | |||
Proceeds from exercise of options by employees | 419 | 204 | 1,462 |
Issuance of Ordinary shares, net | 0 | 54,726 | 0 |
Dividend paid | (7,788) | (8,681) | (7,787) |
Dividend paid to non-controlling interests | (392) | 0 | 0 |
Short-term credit, net | (2,840) | 2,974 | (47) |
Purchase of non-controlling interest | (1,300) | 0 | (168) |
Long term loan received | 0 | 0 | 3,307 |
Repayment of long-term loans | (34) | (2,905) | (95) |
Net cash provided by (used in) financing activities | (11,935) | 46,318 | (3,328) |
Effect of exchange rate changes on cash and cash equivalents | (1,378) | (1,070) | 145 |
Increase (decrease) in cash and cash equivalents | (10,327) | 37,381 | (2,610) |
Cash and cash equivalents at the beginning of the year | 72,515 | 35,134 | 37,744 |
Cash and cash equivalents at end of the year | 62,188 | 72,515 | 35,134 |
Supplementary information on investing and financing activities not involving cash flows: | |||
Deferred acquisition payment | 355 | 250 | 1,581 |
Contingent acquisition consideration | 1,048 | 0 | 3,981 |
Dividend In Redeemable Non-Controlling Interest | 2,294 | 0 | 0 |
Dividend In Non-Controlling Interest | 355 | 0 | 0 |
Supplemental disclosure of cash flow activities: | |||
Income taxes | 2,024 | 1,601 | 1,519 |
Interest | $ (95) | $ 74 | $ 34 |
GENERAL
GENERAL | 12 Months Ended |
Dec. 31, 2015 | |
Organization, Consolidation and Presentation Of Financial Statements [Abstract] | |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | GENERAL Magic Software Enterprises Ltd., an Israeli company, and its subsidiaries ("the Group") is a global provider of software platforms and professional services that accelerate the planning, development, deployment and integration of on-premise, mobile and cloud business applications ("the Magic technology"). Magic technology enables enterprises to accelerate the process of delivering business solutions that meet current and future needs and allow customers to dramatically improve their business performance and return on investment. To complement its software products and to increase its traction with customers, the Group also offers a complete portfolio of IT professional services in the areas of infrastructure design and delivery, application development, technology planning and implementation services, communications services and solutions, and supplemental IT professional outsourcing services. The Company reports its results on the basis of two reportable business segments: software services (which include proprietary and non-proprietary software solutions and related services) and IT professional services (see Note 18 for further details). The principal markets of the Group are United States, Europe, Israel and Japan (see Note 18). For information about the Company's holdings in subsidiaries and affiliates, see Appendix A to the consolidated financial statements. |
SIGNIFICANT ACCOUNTING POLICIES
SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2015 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies [Text Block] | NOTE 2:- SIGNIFICANT ACCOUNTING POLICIES The consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States ("U.S. GAAP"), applied on a consistent basis, as follows: The preparation of the consolidated financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. The Company's management believes that the estimates, judgments and assumptions used are reasonable based upon information available at the time they are made. Actual results could differ from those estimates. The most significant assumptions are employed in estimates used in determining values of goodwill and identifiable intangible assets and their subsequent impairment analysis, revenue recognition, tax assets and tax positions, legal contingencies, research and development capitalization, contingent consideration related to acquisitions and stock-based compensation costs. A substantial portion of the revenues and expenses of the Company and certain of its subsidiaries is generated in U.S. dollars ("dollar"). The Company's management believes that the dollar is the currency of the primary economic environment in which the Company and certain of its subsidiaries operate. Thus, the functional and reporting currency of the Company and certain of its subsidiaries is the dollar. Accordingly, monetary accounts maintained in currencies other than the dollar are remeasured into dollars in accordance with the Financial Accounting Standards Board ("FASB) Accounting Standards Codification ("ASC") 830, "Foreign Currency Matters". All transaction gains and losses of the remeasurement of monetary balance sheet items are reflected in the statements of income as financial income or expenses, as appropriate. For those foreign subsidiaries whose functional currency is not the dollar, all balance sheet amounts have been translated using the exchange rates in effect at each balance sheet date. Statement of income amounts have been translated using the average exchange rate prevailing during each year. Such translation adjustments are reported as a component of other comprehensive income (loss) in equity. The consolidated financial statements include the accounts of the Company and its subsidiaries. Intercompany balances and transactions, including profit from intercompany sales not yet realized outside the Group, have been eliminated upon consolidation. Changes in the parent's ownership interest in a subsidiary with no change of control are treated as equity transactions, with any difference between the amount of consideration paid and the change in the carrying amount of the non-controlling interest, recognized in equity. Non-controlling interests of subsidiaries represent the non-controlling share of the total comprehensive income (loss) of the subsidiaries and fair value of the net assets upon the acquisition of the subsidiaries. The non-controlling interests are presented in equity separately from the equity attributable to the equity holders of the Company. Redeemable non-controlling interests are classified as mezzanine equity, separate from permanent equity, on the consolidated balance sheets and measured at each reporting period at the higher of their redemption amount or the Non controlling interest book value, in accordance with the requirements of ASC 810 "Consolidation" and ASC 480-10-S99-3A, "Distinguishing Liabilities from Equity". January 1, 2015 $ 2,930 Net income attributable to redeemable non-controlling interest 639 Increase in redeemable non-controlling interest as part of acquisitions 4,159 Decrease in redeemable non-controlling interest due to change in ownership in subsidiaries 378 Dividend in Redeemable Non-controlling interest (2,294) Foreign currency translation adjustments (67) December 31, 2015 $ 5,745 Cash and cash equivalents are short-term highly liquid investments that are readily convertible to cash with original maturities of three months or less, at the date acquired. Cash and cash equivalent includes amounts held primarily in NIS, U.S. dollars, Euro, Japanese Yen and British Pound. Short-term deposits include deposits with original maturities of more than three months and less than one year. Such deposits are presented at cost (including accrued interest) which approximates their fair value. Restricted deposits are used to secure certain Group's ongoing projects and are classified under other receivables. The Company accounts for investments in marketable securities in accordance with ASC No. 320, “Investments Debt and Equity Securities”. Management determines the appropriate classification of its investments at the time of purchase and reevaluates such determinations at each balance sheet date. The Company classifies all of its marketable securities as available for sale. Available for sale securities are carried at fair value, with the unrealized gains and losses, net of tax, reported in “accumulated other comprehensive income (loss)” in equity. Realized gains and losses on sale of investments are included in “financial income, net” and are derived using the specific identification method for determining the cost of securities. The amortized cost of debt securities is adjusted for amortization of premiums and accretion of discounts to maturity. Such amortization together with interest on securities is included in “financial income, net”. The Company recognizes an impairment charge when a decline in the fair value of its investments in debt securities below the cost basis of such securities is judged to be other-than-temporary. Factors considered in making such a determination include the duration and severity of the impairment, the reason for the decline in value, the potential recovery period and the Company’s intent to sell, including whether it is more likely than not that the Company will be required to sell the investment before recovery of cost basis. For securities that are deemed other-than-temporarily impaired, the amount of impairment is recognized in “net gain (impairment net of gains) on sale of marketable securities previously impaired” in the statements of income and is limited to the amount related to credit losses, while impairment related to other factors is recognized in other comprehensive income. Years Computers and peripheral equipment 3 Office furniture and equipment 7 - 15 (mainly 7) Motor vehicles 7 Software 3 5 (mainly 5) Leasehold improvements Over the shorter of the lease term or useful economic life The Company accounts for business combinations under ASC 805, "Business Combinations". ASC 805 requires recognition of assets acquired, liabilities assumed, contingent consideration, non-controlling interest and redeemable non-controlling interest in the acquiree at the acquisition date, measured at their fair values as of that date. As required by ASC 820, "Fair Value Measurements and disclosures" the Company applies assumptions that marketplace participants would consider in determining the fair value of assets acquired, liabilities assumed, non-controlling interest and redeemable non-controlling interest in the acquiree at the acquisition date. Any excess of the fair value of net assets acquired over purchase price and any subsequent changes in estimated contingencies are to be recorded in earnings. Research and development costs incurred in the process of software development before establishment of technological feasibility are charged to expenses as incurred. Costs incurred subsequent to the establishment of technological feasibility are capitalized according to the principles set forth in ASC 985-20, "Costs of Software to be Sold, Leased or Marketed". The Company and its subsidiaries establish technological feasibility upon completion of a detailed program design or working model. Research and development costs incurred in the process of developing product enhancements are generally charged to expenses as incurred. Capitalized software costs are amortized on a product by product basis by the straight-line method over the estimated useful life of the software product (between 4 5 The Company long-lived, non-current assets are comprised mainly of goodwill, identifiable intangible assets and property, plants and equipment. The Company's long-lived assets are reviewed for impairment in accordance with ASC 360, "Property, Plant and Equipment" whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to the future undiscounted cash flows expected to be generated by the assets. If such assets are considered to be impaired, the impairment to be recognized is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets. As required by ASC 820, "Fair Value Measurements and disclosures" the Company applies assumptions that marketplace participants would consider in determining the fair value of long-lived assets (or asset groups). Intangible assets with finite lives are amortized over their economic useful life using a method of amortization that reflects the pattern in which the economic benefits of the intangible assets are consumed or otherwise used up. Distribution rights, acquired technology and non-compete were amortized on a straight line basis and customer relationships and backlog were amortized on an accelerated method basis over a period between 3.5 15 During the years ended December 31, 2013, 2014 and 2015, no impairment indicators were identified. Goodwill represents the excess of the purchase price in a business combination over the fair value of the net tangible and intangible assets acquired. Under ASC 350,"Intangibles - Goodwill and Other", goodwill is subject to an annual impairment test or more frequently if impairment indicators are present. Goodwill impairment is deemed to exist if the net book value of a reporting unit exceeds its estimated fair value. As of December 31, 2015, the Company operates in four reporting units within its operating segments. Goodwill reflects the excess of the consideration paid or transferred plus the fair value of contingent consideration and any non-controlling interest in the acquiree at the acquisition date over the fair values of the identifiable net assets acquired. The goodwill impairment test is performed according to the following principles: An initial qualitative assessment of the likelihood of impairment may be performed. If this step does not result in a more likely than not indication of impairment, no further impairment testing is required. If it does result in a more likely than not indication of impairment, the impairment test is performed. In step one of the impairment test, the Company compares the fair value of the reporting units to the carrying value of net assets allocated to the reporting units. If the fair value of the reporting unit exceeds the carrying value of the net assets allocated to that unit, goodwill is not impaired, and no further testing is required. Otherwise, the Company must perform the second step of the impairment test to measure the amount of the impairment. In the second step, the reporting unit’s fair value is allocated to all the assets and liabilities of the reporting unit, including any unrecognized intangible assets, in a hypothetical analysis that simulates the business combination principles to derive an implied goodwill value. If the implied fair value of the reporting unit’s goodwill is less than its carrying value, the difference is recorded as impairment. The Company performed an annual impairment tests as of December 31, of each of 2013, 2014 and 2015 and did not identify any impairment losses (see Note 9). The Company derives its revenues from licensing the rights to use software (proprietary and non-proprietary), provision of related professional services, maintenance and technical support as well as from other IT professional services. The Company sells its products and services primarily through its direct sales force and indirectly through distributors and value added resellers. The Company accounts for its software sales in accordance with ASC 985-605, "Software Revenue Recognition". Software license revenue is recognized when persuasive evidence of an arrangement exists, delivery has occurred, the vendor's fee is fixed or determinable, no further obligation exists and collectability is probable. Maintenance and support includes annual maintenance contracts providing for unspecified upgrades for new versions and enhancements on a when-and-if-available basis for an annual fee. The right for an unspecified upgrade for new versions and enhancements on a when-and-if-available basis do not specify the features, functionality and release date of future product enhancements for the customer to know what will be made available and the general timeframe in which it will be delivered. Maintenance and support revenue included in multiple element arrangements is deferred and recognized on a straight-line basis over the term of the maintenance and support agreement. As required by ASC 985-605, the Company allocates revenues to the software component of its multiple-element arrangements using the residual method when vendor specific objective evidence ("VSOE") of fair value exists for the undelivered elements of the support and maintenance agreements. VSOE is based on the price charged when an element is sold separately or renewed. Under the residual method, the fair value of the undelivered elements is deferred and the remaining portion of the arrangement fee is allocated to the delivered elements and is recognized as revenue. The Company generally does not grant a right of return to its customers. When a right of return exists, the Company defers revenue until the right of return expires, at which time revenue is recognized provided that all other revenue recognition criteria are met. Revenue from professional services related to both software and the IT professional services businesses consists of billable hours for services provided and is recognized as the services are rendered. Arrangements that include professional services bundled with licensed software and other software related elements, are evaluated to determine whether those services are essential to the functionality of other elements of the arrangement. When services are considered essential to the software, revenues under the arrangement are recognized using contract accounting based on ASC 605-35, "Construction-Type and Production-Type Contracts", on a percentage of completion method based on inputs measures. Provisions for estimated losses on uncompleted contracts are made in the period in which such losses are first determined, in the amount of the estimated loss for the entire contract. During the years ended December 31, 2013, 2014 and 2015, no such estimated losses were identified. When professional services are not considered essential to the functionality of other elements of the arrangement, revenue allocable to the services is recognized as the services are performed, using VSOE of fair value. In most cases, the Company has determined that the services are not considered essential to the functionality of other elements of the arrangement. Deferred revenue includes unearned amounts received under maintenance, support and services contracts, and amounts received from customers but not yet recognized as revenues. Revenue from third-party sales is recorded at a gross or net amount according to certain indicators. The application of these indicators for gross and net reporting of revenue depends on the relative facts and circumstances of each sale and requires significant judgment. The Company's and its Israeli subsidiary's obligation for severance pay with respect to their Israeli employees (for the period for which the employees were not included under Section 14 of the Severance Pay Law, 1963) is calculated pursuant to the Israeli Severance Pay Law based on the most recent salary of the employees multiplied by the number of years of employment as of the balance sheet date, and are presented on an undiscounted basis (referred to as the "Shut Down Method"). Employees are entitled to one month's salary for each year of employment or a portion thereof. The Company's obligation for all of its Israeli employees is fully provided for by monthly deposits with insurance policies and by an accrual. The Group has a number of savings plans in the United States that qualify under Section 401(k) of the Internal Revenue Code. U.S employees may contribute up to 100 3 The carrying value of deposited funds includes profits (losses) accumulated up to the balance sheet date. The deposited funds may be withdrawn only upon the fulfillment of the obligations pursuant to the Israeli Severance Pay Law or labor agreements and are recorded as an asset in the Company's consolidated balance sheet. The Company and its Israeli subsidiaries’ agreements with most of their Israeli employees are in accordance with Section 14 of the Severance Pay Law -1963, mandating that upon termination of such employees' employment; all the amounts accrued in their insurance policies shall be released to them instead of severance compensation. Upon release of deposited amounts to the employee, no additional liability exists between the parties regarding the matter of severance pay and no additional payments shall be made by the Company or its subsidiaries to the employee. Further, the related obligation and amounts deposited on behalf of such obligation are not stated on the balance sheet, as the Company and its subsidiaries are is legally released from their obligations to employees once the deposit amounts have been paid. Severance expenses for the years ended December 31, 2013, 2014 and 2015 amounted to approximately $ 1,371 1,673 1,626 Advertising expenses are charged to selling and marketing expenses, as incurred. Advertising expenses for the years ended December 31, 2013, 2014 and 2015 amounted to $ 306 466 377 The Company and its subsidiaries account for income taxes in accordance with ASC 740, "Income Taxes". The ASC prescribes the use of the liability method whereby deferred tax asset and liability account balances are determined based on differences between financial reporting and tax bases of assets and liabilities and are measured using the enacted tax rates and laws that will be in effect when the differences are expected to reverse. The Company and its subsidiaries provide a valuation allowance, if necessary, to reduce deferred tax assets to their estimated realizable value. Deferred tax assets and liabilities are classified as current or non-current according to the expected reversal dates. The Company utilizes a two-step approach for recognizing and measuring uncertain tax positions accounted for in accordance with an amendment of ASC 740 "Income Taxes." Under the first step the Company evaluates a tax position taken or expected to be taken in a tax return by determining if the weight of available evidence indicates that it is more likely than not that, based on its technical merits, the tax position will be sustained on audit, including resolution of any related appeals or litigation processes. The second step is to measure the tax benefit as the largest amount that is more than 50% likely to be realized upon ultimate settlement with the tax authorities. The Company accrued interest and penalties related to unrecognized tax benefits in its provisions for income taxes. Basic and diluted net earnings per share Basic net earnings per share are computed based on the weighted average number of ordinary shares outstanding during each year. Diluted net earnings per share are computed based on the weighted average number of ordinary shares outstanding during each year, plus dilutive potential ordinary shares considered outstanding during the year, in accordance with ASC 260, "Earnings Per Share." A portion of the outstanding stock options have been excluded from the calculation of the diluted earnings per share because such securities are anti-dilutive. The total weighted average number of Ordinary shares related to the outstanding options excluded from the calculations of diluted earnings per share was 536,877 35,010 66,646 The Company accounts for stock-based compensation in accordance with ASC 718, "Compensation - Stock Compensation" which requires companies to estimate the fair value of equity-based payment awards on the date of grant using an option-pricing model. The value of the portion of the award that is ultimately expected to vest is recognized as an expense over the requisite service periods in the Company's consolidated statement of income. The Company recognizes compensation expenses for the value of its awards, which have graded vesting based on the accelerated method over the requisite service period of each of the awards, net of estimated forfeitures. The Company measures and recognizes compensation expense for share-based awards based on estimated fair values on the date of grant using the Binomial option-pricing model ("the Binomial model"). The Binomial model for option pricing requires a number of assumptions, of which the most significant are the suboptimal exercise factor and expected stock price volatility. The suboptimal exercise factor is estimated based on employees' historical option exercise behavior. The suboptimal exercise factor is the ratio by which the stock price must increase over the exercise price before employees are expected to exercise their stock options. Expected volatility is based upon actual historical stock price movements and was calculated as of the grant dates for different periods, since the Binomial model can be used for different expected volatilities for different periods. The risk-free interest rate is based on the yield from U.S. Treasury zero-coupon bonds with an equivalent term to the contractual term of the options. Historically the Company did not hold any foreseeable plans to pay dividends and therefore used an expected dividend yield of zero in its past years option pricing models. In September 2012, the Company adopted a dividend distribution policy according to which it will distribute in each year a dividend of up to 50 The expected term of options granted is derived from the output of the option valuation model and represents the period of time that options granted are expected to be outstanding. Estimated forfeitures are based on actual historical pre-vesting forfeitures. For awards with performance conditions, compensation cost is recognized over the requisite service period if it is 'probable' that the performance conditions will be satisfied, as defined in ASC 450-20-20, "Loss Contingencies." 2014 Dividend yield 0 % Expected volatility 32% - 59 % Risk-free interest rate 0.1% - 2.6 % Expected forfeiture (employees) - Expected forfeiture (executives) - Contractual term of up to 10 years Suboptimal exercise multiple (employees) - Suboptimal exercise multiple (executives) 2 325 1,557 234 Year ended December 31, 2013 2014 2015 Cost of revenue $ 11 $ 30 $ 31 Research and development 67 29 48 Selling and marketing 85 220 137 General and administrative 162 1,278 18 Total stock-based compensation expense $ 325 $ 1,557 $ 234 Financial instruments that potentially subject the Company and its subsidiaries to concentration of credit risk consist principally of cash and cash equivalents, short-term deposits, marketable securities, trade receivables and foreign currency derivative contracts. The Company's cash and cash equivalents and short-term deposits are invested primarily in deposits with major banks worldwide, mainly in the United States and Israel, however, such cash and cash equivalents and short-term deposits in the United States may be in excess of insured limits and are not insured in other jurisdictions. The Company believes that such institutions are of high rating and therefore bear low risk. The Company's marketable securities include investments in commercial and government bonds and foreign banks. The Company's marketable securities are considered to be highly liquid and have a high credit standing. In addition, management considered its portfolios in foreign banks to be well-diversified (also refer to Note 4). Trade receivables of the Company and its subsidiaries are derived from sales to customers located primarily in the United States, Europe, Israel and Japan. The Company performs ongoing credit evaluations of its customers and excluding 2013 to date has not experienced any material losses. An allowance for doubtful accounts is determined with respect to those amounts that the Company has determined to be doubtful of collection. The expense related to doubtful accounts for the years ended December 31, 2013, 2014 and 2015 was $ 1,285 735 346 From time to time the Company enters into foreign exchange forward contracts intended to protect against the changes in value of forecasted non-dollar currency cash flows related to salary and related expenses. These derivative instruments are designed to offset the Company's non-dollar currency exposure (see "Derivative instruments" below). The Company accounts for certain assets and liabilities at fair value under ASC 820, "Fair Value Measurements and Disclosures". Fair value is an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or a liability. As a basis for considering such assumptions, ASC 820 establishes a three-tier value hierarchy, which prioritizes the inputs used in the valuation methodologies in measuring fair value: Level 1 - Observable inputs that reflect quoted prices (unadjusted) for identical assets or liabilities in active markets; Level 2 - Includes other inputs that are directly or indirectly observable in the marketplace, other than quoted prices included in Level 1, such as quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets with insufficient volume or infrequent transactions, or other inputs that are observable (model-derived valuations in which significant inputs are observable), or can be derived principally from or corroborated by observable market data; Level 3 - Unobservable inputs which are supported by little or no market activity; The fair value hierarchy also requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The Company categorized each of its fair value measurements in one of these three levels of hierarchy. Assets and liabilities measured at fair value on a recurring basis are comprised of marketable securities, foreign currency forward contracts and contingent consideration of acquisitions (see Note 5). The carrying amounts reported in the balance sheet for cash and cash equivalents, short term bank deposits, trade receivables, other accounts receivable, short-term bank credit, trade payables and other accounts payable approximate their fair values due to the short-term maturities of such instruments. The Company accounts for comprehensive income (loss) in accordance with ASC 220, "Comprehensive Income." This Statement establishes standards for the reporting and display of comprehensive income and its components in a full set of general purpose financial statements. Comprehensive income (loss) generally represents all changes in equity during the period except those resulting from investments by, or distributions to, shareholders. The Company determined that its items of other comprehensive income (loss) relate to gain and loss on foreign currency translation adjustments, unrealized gain and loss on derivative instruments designated as hedges and unrealized gain and loss on available-for-sale marketable securities. A material portion of the Company's revenues, expenses and earnings is exposed to changes in foreign exchange rates. Depending on market conditions, foreign exchange risk is also managed through the use of derivative financial instruments. These financial instruments serve to protect net income against the impact of the translation into U.S. dollars of certain foreign exchange-denominated transactions. The derivative instruments hedge or offset exposures to Euro, Japanese Yen and NIS exchange rate fluctuations. ASC 815, "Derivatives and Hedging," requires companies to recognize all of their derivative instruments as either assets or liabilities in their balance sheet at fair value. Derivative instruments that are designated and qualify as hedges of forecasted transactions (i.e., cash flow hedges) are carried at fair value with the effective portion of a derivative's gain or loss recorded in other comprehensive income and subsequently recognized in earnings in the same period or periods in which the hedged forecasted transaction affects earnings. For derivative instruments that are not designated and qualified as hedging instruments, the gains or losses on the derivative instruments are recognized in current earnings during the period of the change in fair values. The derivative instruments used by the Company are designed to reduce the market risk associated with the exposure of its underlying transactions to fluctuations in currency exchange rates. The Company has instituted a foreign currency cash flow hedging program in order to hedge against the risk of overall changes in future cash flows. The Company hedges portions of its forecasted expenses denominated in NIS with currency forwards contracts and put and call options. These forward and option contracts are designated as cash flow hedges. For derivative instruments that are designated and qualify as a cash flow hedge (i.e., hedging the exposure to variability in expected future cash flows that is attributable to a particular risk), the effective portion of the gain or loss on the derivative instrument is reported as a component of other comprehensive income and reclassified into earnings in the same period or periods during which the hedged transaction affects earnings. The remaining gain or loss on the derivative instrument in excess of the cumulative change in the present value of future cash flows of the hedged item, if any, is recognized in current earnings during the period of change. For derivative instruments not designated as hedging instruments, the gain or loss is recognized in current earnings during the period of change. The notional principal of foreign exchange contracts to purchase NIS with U.S. dollars was $ 1,736 At December 31, 2015, the Company did not have any cash flow hedges. Fair values of derivative instruments Assets Balance December 31, sheet item 2014 2015 Assets Derivatives not designated as hedging "Other accounts receivable and prepaid expenses" $ 9 $ - Total derivatives $ 9 $ - Gain recognized in the Statements statements of income of Year ended December 31, income item 2013 2014 2015 Derivatives not designated as hedging: Foreign exchange forward contracts "Financial expenses, net" 139 24 69 Total derivatives $ 139 $ 24 $ 69 Certain amounts in prior years' financial statements have been reclassified to conform with the current year's presentation. The reclassification had no effect on previously reported net income, equity or cash flow. In February 2016, the FASB issued ASU 2016-02, “Leases” (Topic 842), whereby, lessees will be required to recognize for all leases at the commencement date a lease liability, which is a lessee‘s obligation to make lease payments arising from a lease, measured on a discounted basis; and a right-of-use asset, which is an asset that represents the lessee’s right to use, or control the use of, a specified asset for the lease term. Under the new guidance, lessor accounting is largely unchanged. A modified retrospective transition approach for leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial statements must be applied. The modified retrospective approach would not require any transition accounting for leases that expired before the earliest comparative period presented. Companies may not apply a full r |
BUSINESS COMBINATION, SIGNIFICA
BUSINESS COMBINATION, SIGNIFICANT TRANSACTION AND SALE OF BUSINESS | 12 Months Ended |
Dec. 31, 2015 | |
Business Combinations [Abstract] | |
Business Combination Disclosure [Text Block] | NOTE 3:- BUSINESS COMBINATION, SIGNIFICANT TRANSACTION AND SALE OF BUSINESS a. In July 2012, the Company acquired an 80 8,933 4,990 3,943 1,192 2,751 20 1,750 The Company believes that the acquisition of this business will enable it to expand its professional services offering and leverage its relationships with top tier customers. Acquisition related costs were immaterial. In accordance with ASC 805-30-35-1, the Company re-measures the contingent consideration based on the fair value at each reporting date until the contingency is resolved or the payment is made, while the changes in fair value are recognized in earnings in the financial expenses using the interest method over the period. The contingent payment was recorded at present value and was amortized using the interest method during the relevant period into financial expenses. The acquisition was accounted for by the purchase method. The results of operations were included in the consolidated financial statements of the Company commencing July 1, 2012. On May 2013 the company finalized the process of identifying the tangible and intangible assets for its acquisition. As reported on December 31, 2012 Adjustment Modified Net assets $ 1,219 $ 14 $ 1,233 Non-controlling interest (1,880) 130 (1,750) Intangible assets 3,873 397 4,270 Goodwill 5,809 439 6,248 Deferred tax liability, net - (1,068) (1,068) Net assets acquired $ 9,021 $ (88) $ 8,933 b. On February 26, 2013, the Company purchased Pilat Europe Limited Ltd. and Pilat (North America) Inc. which provides custom human capital management solutions, for a total consideration of $ 1,233 The acquisition was accounted for by the purchase method. The results of operations of these entities were included in the consolidated financial statements of the Company commencing March 1, 2013. Net assets $ 490 Intangible assets 715 Total assets acquired $ 1,205 c. On May 16, 2013, the Company purchased Valinor Ltd, a consulting company specializing in project and product consultation, installation and implementation of databases for a total consideration of $ 1,618 339 339 340 600 230 The acquisition was accounted for by the purchase method. The results of operations of these entities were included in the consolidated financial statements of the Company commencing May 15, 2013. Net assets $ 119 Intangible assets 464 Goodwill 1,035 Total assets acquired $ 1,618 d. On May 30, 2013, the Company purchased Dario Solutions IT Ltd, a consulting company specializing in integration services of Microsoft products in enterprise IT environments for a total consideration of $ 3,723 1,100 906 1,717 997 The acquisition was accounted for by the purchase method. The results of operations of these entities were included in the consolidated financial statements of the Company commencing June 1, 2013. The following table summarizes the estimated fair values of the assets acquired and liabilities at the date of acquisition: Net Assets $ 371 Intangible assets 707 Goodwill 2,645 Total assets acquired $ 3,723 e. On November 11, 2013 the Company acquired the operations of Allstates Technical Services, LLC, a US-based full-service provider of consulting and outsourcing services for IT, Engineering and Telecom personnel, for a total consideration of $ 10,963 Net Assets $ 3,063 Intangible assets 2,874 Goodwill 5,026 Total assets acquired $ 10,963 f. On October 1, 2014 the Company acquired the operations Formula Telecom Solutions Ltd. (FTS), an Israel-based software vendor, for a total consideration of $ 5,800 The results of operations were included in the consolidated financial statements of the Company commencing October 1, 2014. Net Assets $ (57) Intangible assets 2,951 Goodwill 2,906 Total assets acquired $ 5,800 g. On April 14, 2015 the Company acquired a 70 1,812 1,523 289 30 1,100 Net Assets, excluding cash acquired $ (405) Non-controlling interest (1,100) Intangible assets 1,305 Goodwill 2,012 Total assets acquired net of acquired cash $ 1,812 h. On June 30, 2015 the Company acquired a 70 6,360 5,600 760 30 3,273 The results of operations were included in the consolidated financial statements of the Company commencing July 1, 2015. Net Assets, excluding cash acquired $ 1,182 Non-controlling interest (3,273) Intangible assets 3,652 Goodwill 4,799 Total assets acquired net of acquired cash $ 6,360 i. In addition, the Company acquired additional activities during the years ended December 31, 2014 and 2015, whose influence on the financial statements of the Company was immaterial, for a total consideration of $ 700 1,892 and increased its share interest in Complete business solutions from 96.3% to 100% 50.1% to 75% 244 1,412 356 |
MARKETABLE SECURITIES
MARKETABLE SECURITIES | 12 Months Ended |
Dec. 31, 2015 | |
Marketable Securities [Abstract] | |
Marketable Securities [Text Block] | NOTE 4:- MARKETABLE SECURITIES December 31, 2014 2015 Amortized Unrealized Unrealized Market Amortized Unrealized Unrealized Market cost losses gains value cost losses gains value Available-for-sale: Corporate bonds $ 11,916 $ (232) $ - $ 11,684 $ 11,666 $ (82) $ - $ 11,584 Equity funds 116 - 115 231 118 - 117 235 Total $ 12,032 $ (232) $ 115 $ 11,915 $ 11,784 $ (82) $ 117 $ 11,819 Amortized Unrealized gains Market cost Gains Losses value Due between one to three years $ 9,201 $ - $ (44) $ 9,157 Marketable securities with contractual maturities from three to five years are as follows: Amortized Unrealized gains Market cost Gains Losses value Due between three to five years $ 2,465 $ - $ (38) $ 2,427 Other comprehensive income Other comprehensive income from available-for-sale securities as of January 1, 2014 $ 138 Unrealized loss from available-for-sale securities (259) Other comprehensive loss from available-for-sale securities as of December 31, 2014 $ (121) The following is the change in the other comprehensive income of available-for-sale securities during 2015: Other comprehensive income Other comprehensive loss from available-for-sale securities as of January 1, 2015 $ (121) Unrealized gains from available-for-sale securities 156 Other comprehensive income from available-for-sale securities as of December 31, 2015 $ 35 |
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS | 12 Months Ended |
Dec. 31, 2015 | |
Fair Value Disclosures [Abstract] | |
Fair Value Disclosures [Text Block] | NOTE 5:- FAIR VALUE MEASUREMENTS In accordance with ASC 820, the Company measures its investment in marketable securities and foreign currency derivative contracts at fair value. Generally marketable securities are classified within Level 1, this is because these assets are valued using quoted prices in active markets. Foreign currency derivative contracts and certain corporate bonds are classified within Level 2 as the valuation inputs are based on quoted prices and market observable data of similar instruments. Contingent consideration is classified within Level 3. The Company values the Level 3 contingent consideration using discounted cash flow of the expected future payments, whose inputs include interest rate. December 31, 2014 Fair value measurements using input type Level 1 Level 2 Level 3 Total Assets: Corporate bonds $ - $ 11,684 $ - $ 11,684 Equity fund 231 - - 231 Total financial assets $ 231 $ 11,684 $ - $ 11,915 Liabilities: Contingent consideration $ - $ - $ 382 $ 382 Total financials liabilities $ - $ - $ 382 $ 382 December 31, 2015 Fair value measurements using input type Level 1 Level 2 Level 3 Total Assets: Corporate bonds $ - $ 11,584 $ - $ 11,584 Equity fund 235 - - 235 Total financial assets $ 235 $ 11,584 $ - $ 11,819 Liabilities: Contingent consideration $ - $ - $ 1,220 $ 1,220 Total financials liabilities $ - $ - $ 1,220 $ 1,220 December 31, 2014 2015 Opening balance $ 3,981 $ 382 Increase in contingent consideration 250 1,048 Payment of contingent consideration (3,053) (166) Change in fair value of contingent consideration (948) 3 Amortization of interest and exchange rate 152 (47) Closing balance $ 382 $ 1,220 |
OTHER ACCOUNTS RECEIVABLE AND P
OTHER ACCOUNTS RECEIVABLE AND PREPAID EXPENSES | 12 Months Ended |
Dec. 31, 2015 | |
Receivables [Abstract] | |
Other Accounts Receivable and Prepaid Expenses Disclosure [Text Block] | NOTE 6:- OTHER ACCOUNTS RECEIVABLE AND PREPAID EXPENSES December 31, 2014 2015 Prepaid expenses $ 1,159 $ 2,132 Government authorities 1,081 2,317 Restricted deposits 149 - Related parties 447 1,022 Other 583 773 $ 3,419 $ 6,244 |
PROPERTY AND EQUIPMENT
PROPERTY AND EQUIPMENT | 12 Months Ended |
Dec. 31, 2015 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment Disclosure [Text Block] | NOTE 7:- PROPERTY AND EQUIPMENT December 31, 2014 2015 Cost: Leasehold improvements $ 523 $ 816 Computers and peripheral equipment 12,942 13,505 Office furniture and equipment 2,620 2,917 Motor vehicles 177 255 Software 3,478 2,851 19,740 20,344 Accumulated depreciation: Leasehold improvements 175 379 Computers and peripheral equipment 12,426 13,040 Office furniture and equipment 1,985 2,063 Motor vehicles 133 140 Software 3,016 2,426 17,735 18,048 Depreciated cost $ 2,005 $ 2,296 Depreciation expenses amounted to $ 656 675 792 |
INTANGIBLE ASSETS
INTANGIBLE ASSETS | 12 Months Ended |
Dec. 31, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets Disclosure [Text Block] | NOTE 8:- INTANGIBLE ASSETS December 31, 2014 2015 Original amounts: Capitalized software costs $ 63,260 $ 67,106 Customer relationships 26,618 31,936 Backlog and non-compete agreement 1,623 2,371 Acquired technology 4,862 5,075 96,363 106,488 Accumulated amortization: Capitalized software costs 49,072 53,096 Customer relationships 12,817 16,336 Backlog and non-compete agreement 1,142 2,039 Acquired technology 789 1,442 63,820 72,913 Intangible assets, net $ 32,543 $ 33,575 b. Amortization expenses amounted to $ 7,724 7,919 9,093 2016 $ 9,699 2017 7,820 2018 6,075 2019 4,405 2020 3,213 2021 and thereafter 2,363 $ 33,575 |
GOODWILL
GOODWILL | 12 Months Ended |
Dec. 31, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill Disclosure [Text Block] | NOTE 9:- GOODWILL IT professional Software services services Total As of January 1, 2014 $ 28,495 $ 26,818 $ 55,313 Business combination - 3,664 3,664 Classifications - (496) (496) Foreign currency translation adjustments (1,906) (1,085) (2,991) As of December 31, 2014 26,589 28,901 55,490 Business combination 7,594 492 8,086 Classifications - (90) (90) Foreign currency translation adjustments (33) (145) (178) As of December 31, 2015 $ 34,150 $ 29,158 $ 63,308 The Company performed an annual impairment tests as of December 31, of each of 2013, 2014 and 2015 and did not identify any impairment losses (see Note 2). |
ACCRUED EXPENSES AND OTHER ACCO
ACCRUED EXPENSES AND OTHER ACCOUNTS PAYABLE | 12 Months Ended |
Dec. 31, 2015 | |
Accounts Payable and Accrued Liabilities, Current [Abstract] | |
Accrued Expenses and Other Accounts Payable [Text Block] | NOTE 10:- ACCRUED EXPENSES AND OTHER ACCOUNTS PAYABLE December 31, 2014 2015 Employees and payroll accruals $ 7,243 $ 8,105 Accrued expenses 5,191 4,204 Deferred and contingent payments related to acquisitions 170 1,211 Government authorities 1,395 2,978 Other 1,014 1,423 $ 15,013 $ 17,921 |
LONG TERM DEBT
LONG TERM DEBT | 12 Months Ended |
Dec. 31, 2015 | |
Debt Disclosure [Abstract] | |
Long-term Debt [Text Block] | NOTE 11:- LONG TERM DEBT Interest rate as of December 31, December 31, 2015 2014 2015 % Loan from banks and other in NIS 5 % $ 481 $ 787 Dividend in Redeemable Non-controlling interest - 2,294 Other long term debt 8 176 $ 490 $ 3,257 (1) On November 2013, the Company entered into a credit line agreement with a U.S. bank, under which the bank provides the Company with a credit line of $ 3,000 2,853 |
TAXES ON INCOME
TAXES ON INCOME | 12 Months Ended |
Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | |
Income Tax Disclosure [Text Block] | NOTE 12:- TAXES ON INCOME a. Israeli taxation: 1. Corporate tax rate in Israel: Taxable income of Israeli companies is subject to tax at the rate of 25 26.5 26.5 On January 4, 2016, the Israeli Parliament's Plenum approved by a second and third reading the Bill for Amending the Income Tax Ordinance (No. 217) (Reduction of Corporate Tax Rate), 2015, which consists of the reduction of the corporate tax rate from 26.5 25 2. Tax benefits under the Israeli Law for the Encouragement of Capital Investments, 1959 ("the Law"): Effective January 1, 2011, the Knesset enacted the Law for Economic Policy for 2011 and 2012 (Amended Legislation), and among other things, amended the Law, ("the Amendment"). According to the Amendment, the benefit tracks in the Investment Law were modified and a flat tax rate of 16 25 The Company and one of its Israeli subsidiaries have elected to apply the new incentives regime under the Amendment to their industrial activity in Israel, subject to meeting its requirements, starting in 2014. 3. The Company's Israeli entities have received final tax assessments for their Israeli tax return filings through the year 2011. 4. Tax benefits under the Law for the Encouragement of Industry (Taxes), 1969: The Company qualifies as an Industrial Company within the meaning of the Law for the Encouragement of Industry (Taxes), 1969 (the "Industrial Encouragement Law"). The Industrial Encouragement Law defines an "Industrial Company" as a company that is resident in Israel and that derives at least 90 Eligibility for the benefits under the Industrial Encouragement Law is not subject to receipt of prior approval from any governmental authority. 5. Foreign Exchange Regulations: Under the Foreign Exchange Regulations, some of the Company's Israeli subsidiaries calculate their tax liability in U.S. Dollars according to certain orders. The tax liability, as calculated in U.S. Dollars is translated into NIS according to the exchange rate as of December 31 of each year. b. Non-Israeli subsidiaries: Non-Israeli subsidiaries are taxed according to the tax laws in their respective domiciles of residence. If earnings are distributed to Israel in the form of dividends or otherwise, the Company may be subject to additional Israeli income taxes (subject to an adjustment for foreign tax credits) and foreign withholding tax rates. The amount of the Company cash and cash equivalents that are currently held outside of Israel that would be subject to income taxes if distributed as dividends is $ 17,521 c. Net operating loss carryforwards: As of December 31, 2015, certain Israeli subsidiaries of the Company had operating loss carryforwards of $ 14,084 The Company's subsidiaries in Europe had estimated total available tax loss carryforwards of $ 4,673 The Company's subsidiaries in the U.S. had estimated total available tax loss carryforwards of $ 255 Utilization of U.S. net operating losses may be subject to substantial annual limitations due to the "change in ownership" provisions ("annual limitations") of the Internal Revenue Code of 1986 and similar state provisions. The annual limitation may result in the expiration of net operating losses before utilization. d. Year ended December 31, 2013 2014 2015 Domestic $ 16,165 $ 14,690 $ 18,350 Foreign 2,266 4,183 2,407 $ 18,431 $ 18,873 $ 20,757 e. Year ended December 31, 2013 2014 2015 Current: Domestic $ (1,277) $ 241 $ 3,466 Foreign 781 689 880 (496) 930 4,346 Deferred taxes: Domestic 2,673 2,575 (500) Foreign (602) (1,198) (165) 2,071 1,377 (665) Taxes on income (tax benefit) $ 1,575 $ 2,307 $ 3,681 f. Deferred tax assets and liabilities: Deferred taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. December 31, 2014 2015 Net operating loss carryforwards $ 4,627 $ 5,104 Allowances, reserves and intangible assets 1,080 1,826 Deferred tax assets before valuation allowance 5,707 6,930 Less - valuation allowance (3,570) (4,107) Deferred tax assets, net $ 2,137 $ 2,823 December 31, 2014 2015 Long-term tax assets $ 2,137 $ 2,823 Long-term tax liabilities (4,846) (5,726) Net deferred tax liabilities $ (2,709) $ (2,903) Deferred tax liabilities are in respect of acquired intangible assets and capitalized software costs. g. Reconciliation of the theoretical tax expense to the actual tax expense: 25 26.5 26.5 Year ended December 31, 2013 2014 2015 Income before taxes, as reported in the consolidated statements of income $ 18,431 $ 18,873 $ 20,757 Statutory tax rate 25 % 26.5 % 26.5 % Theoretical tax expenses on the above amount at the Israeli statutory tax rate $ 4,609 $ 5,001 $ 5,501 Tax adjustment in respect of different tax rates 484 80 (923) Deferred taxes on losses for which full valuation allowance was provided in the past (304) 236 131 Tax-deductible costs, not included in the accounting costs - - (733) Tax benefits in respect of prior years, net 203 (516) (133) Nondeductible expenses 95 82 177 Uncertain tax position and other differences (3,512) (2,576) (339) Income tax $ 1,575 $ 2,307 $ 3,681 h. The Company applies ASC 740, "Income Taxes" with regards to tax uncertainties. During the years ended December 31, 2013 and 2014, the Company recorded $ 2,811 156 324 Gross unrecognized tax benefits at January 1, 2013 $ 3,309 Decrease in tax positions taken in prior years (2,811) Gross unrecognized tax benefits at December 31, 2013 498 Decrease in tax positions taken in prior years (156) Gross unrecognized tax benefits at December 31, 2014 342 Increase in tax positions taken in prior years 469 Decrease in tax positions taken in prior years (145) Gross unrecognized tax benefits at December 31, 2015 $ 666 As of December 31, 2015, the entire amount of unrecognized tax benefit could affect the Company's income tax provision and the effective tax rate. |
EQUITY
EQUITY | 12 Months Ended |
Dec. 31, 2015 | |
Equity [Abstract] | |
Shareholders' Equity and Share-based Payments [Text Block] | NOTE 13:- EQUITY a. The ordinary shares of the Company are listed on the NASDAQ Global Select Market in the United States and are traded on the Tel-Aviv Stock Exchange in Israel. b. Issuance of ordinary shares: On December 23, 2010, the Company issued 3,287,616 6.5 20,290 1,134,231 8.26 On March 5, 2014, the Company issued in a secondary public offering 6,903,141 8.5 54,726 c. Stock Option Plans: Under the Company's 2007 1,500,000 1,000,000 1,000,000 ten 10 The exercise price for each option is determined by the Board of Directors and set forth in the Company's award agreement. Unless determined otherwise by the Board of Directors, the option exercise price shall be equal to or higher than the share market price at the grant date. The options generally vest over 3 4 Weighted average Weighted remaining average contractual Aggregate Number exercise term intrinsic of options price (in years) value Outstanding at January 1, 2015 738,889 $ 4.26 6.42 $ 1,248 Granted - $ - Exercised (161,003) $ 2.60 Forfeited (83,969) $ 6.21 Outstanding at December 31, 2015 493,917 $ 4.47 5.99 $ 523 Exercisable at December 31, 2015 333,917 $ 3.37 4.95 $ 720 The weighted-average grant-date fair value of options granted during the years ended December 31, 2013 and 2014 was $ 6 3.76 529 741 210 163 Weighted Weighted average average remaining Weighted exercise price Options contractual life average Options of exercisable Exercise price outstanding (years) exercise price exercisable options In $ 0-1 4,000 3.24 $ - 4,000 $ - 1.01-2 20,000 2.99 $ 1.12 20,000 $ 1.12 2.01-3 123,667 3.64 $ 2.31 123,667 $ 2.31 3.01-4 166,250 5.77 $ 4.00 166,250 $ 4.00 4.01-5 - - $ - - $ - 5.01-6 75,000 7.61 $ 6.00 - $ - 6.01-7 50,000 8.87 $ 6.89 6,250 $ 6.89 7.01-8 - - $ - - $ - 8.01-9 55,000 8.36 $ 8.01 13,750 $ 8.01 493,917 5.99 $ 4.47 333,917 $ 3.37 d. December 31, 2013 2014 2015 Accumulated realized and unrealized gain on available-for-sale securities, net $ 138 $ (121) $ 35 Accumulated foreign currency translation adjustments (327) (5,243) (6,756) Accumulated unrealized gain (loss) on derivative instruments, net 17 17 26 Total other comprehensive income (loss) $ (172) $ (5,347) $ (6,695) e. On September 4, 2012, the Company's Board of Directors adopted a dividend distribution policy, subject to any applicable law. According to this policy, each year the Company will distribute a dividend of up to 50 In respect to the policy mentioned above, on September 10, 2012 and on February 14, 2013 , the Company declared a dividend distribution of $ 0.10 3,661 0.12 4,397 October 17, 2012 March 14, 2013 0.09 3,390 September 3, 2013 0.12 4,468 March 14, 2014 0.095 4,195 September 4, 2014 0.081 3,582 March 11, 2015 0.095 4,204 September 10, 2015 0.09 f. On November 2014, a Company's subsidiary granted one of its executive options exercisable for 1,167 1 5,910 5 1,167 |
RELATED PARTIES TRANSACTIONS
RELATED PARTIES TRANSACTIONS | 12 Months Ended |
Dec. 31, 2015 | |
Related Party Transactions [Abstract] | |
Related Party Transactions Disclosure [Text Block] | NOTE 14:- RELATED PARTIES TRANSACTIONS Agreements with controlling shareholder and its affiliates: The Company has in effect agreements with affiliated companies pursuant to which the Company has rendered services amounting to approximately $ 353 574 1,638 100 245 231 |
SELECTED STATEMENTS OF INCOME D
SELECTED STATEMENTS OF INCOME DATA | 12 Months Ended |
Dec. 31, 2015 | |
Selected Statement Of Income Data [Abstract] | |
Selected Statement Of Income Data [Text Block] | NOTE 15:- SELECTED STATEMENTS OF INCOME DATA Year ended December 31, 2013 2014 2015 Total costs $ 8,419 $ 9,017 $ 8,735 Less - capitalized software costs (4,713) (4,267) (3,847) Research and development, net $ 3,706 $ 4,750 $ 4,888 Interest income net of bank charges $ (170) $ (156) $ 64 Interest expenses related to liabilities in connection with acquisitions (407) (152) - Interest income from marketable securities, net of amortization of premium on marketable securities 46 91 231 Loss arising from foreign currency translation and other (153) (1,569) (980) Financial income(expenses), net $ (684) $ (1,786) $ (685) |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended |
Dec. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies Disclosure [Text Block] | NOTE 16:- COMMITMENTS AND CONTINGENCIES a. Lease commitments: Certain of the motor vehicles, facilities and equipment of the Company and its subsidiaries are rented under long-term operating lease agreements. 2016 $ 1,839 2017 1,131 2018 816 2019 and thereafter 769 $ 4,555 Rent expenses for the years ended December 31, 2013, 2014 and 2015 were approximately $ 1,911 1,736 2,045 The Company leases motor vehicles under a cancelable lease agreement. The Company has an option to be released from this lease agreement, which may result in penalties in a maximum amount of $ 86 The Company currently occupies approximately 129,213 The aggregated b. Guarantees and Collaterals: As of December 31, 2015, the Company has provided bank guarantees in the amount of $ 116 128 As of December 31, 2015, the Company has restricted bank deposits of $ 110 c. From time to time, the Company and/or its subsidiaries are subject to legal, administrative and regulatory proceedings, claims, demands and investigations in the ordinary course of business, including claims with respect to intellectual property, contracts, employment and other matters. The Company accrues a liability when it is both probable that a liability has been incurred and the amount of the loss can be reasonably estimated. Significant judgment is required in both the determination of probability and the determination as to whether a loss is reasonably estimable. These accruals are reviewed and adjusted to reflect the impact of negotiations, settlements, rulings, advice of legal counsel and other information and events pertaining to a particular matter. Lawsuits have been brought against the Company in the ordinary course of business. The Company intends to defend itself vigorously against those lawsuits. 1. In August 2009, a software company and one of its owners filed an arbitration proceeding against the company and one of its subsidiaries, claiming an alleged breach of a non-disclosure agreement between the parties. The plaintiffs sought damages in the amount of approximately NIS 52,000 13,371 1,553 2. In addition to the above mentioned legal proceedings, the Company is also involved in various legal proceedings arising in the normal course of its business. Based upon the advice of counsel, the Company does not believe that the ultimate resolution of these matters will have a material adverse effect on the Company's consolidated financial position, results of operations or cash flows. |
NET EARNINGS PER SHARE
NET EARNINGS PER SHARE | 12 Months Ended |
Dec. 31, 2015 | |
Earnings Per Share [Abstract] | |
Earnings Per Share [Text Block] | NOTE 17:- NET EARNINGS PER SHARE Year ended December 31, 2013 2014 2015 Numerator for basic and diluted earnings per share - net income available to Magic shareholders $ 15,880 $ 15,520 $ 16,198 Weighted average ordinary shares outstanding: Denominator for basic net earnings per share 36,835,163 43,287,523 44,247,556 Effect of dilutive securities 458,753 17,291 204,510 Denominator for diluted net earnings per share 37,293,916 43,304,814 44,452,066 Basic earnings per share $ 0.43 $ 0.36 $ 0.37 Diluted earnings per share $ 0.43 $ 0.36 $ 0.36 |
SEGMENT GEOGRAPHICAL INFORMATIO
SEGMENT GEOGRAPHICAL INFORMATION AND MAJOR CUSTOMERS | 12 Months Ended |
Dec. 31, 2015 | |
Segment Reporting [Abstract] | |
Segment Reporting Disclosure [Text Block] | NOTE 18:- SEGMENT GEOGRAPHICAL INFORMATION AND MAJOR CUSTOMERS a. The Company reports its results on the basis of two reportable business segments: software services (which include proprietary and none proprietary software technology) and IT professional services. The Company evaluates segment performance based on revenues and operating income of each segment. The accounting policies of the operating segments are the same as those described in the summary of significant accounting policies. This data is presented in accordance with ASC 280, "Segment Reporting." Headquarters' general and administrative costs have not been allocated between the different segments. Software services The Company develops markets, sells and supports a proprietary and none proprietary application platform, software applications, business and process integration solutions and related services. IT professional services The Company offers advanced and flexible IT services in the areas of infrastructure design and delivery, application development, technology planning and implementation services, communications services and solutions, as well as supplemental outsourcing services. There are no significant transactions between the two segments. b. The following is information about reported segment results of operation: Software services IT professional services Unallocated expense Total 2013 Total revenues $ 67,453 $ 77,505 $ - $ 144,958 Expenses 53,164 68,846 3,821 125,831 Segment operating income (loss) $ 14,289 $ 8,659 $ (3,821 ) $ 19,127 Depreciation and amortization $ 5,917 $ 2,210 $ 253 $ 8,380 Software services IT professional services Unallocated expense Total 2014 Total revenues $ 69,861 $ 94,443 $ - $ 164,304 Expenses 54,464 84,873 4,241 143,578 Segment operating income (loss) $ 15,397 $ 9,570 $ (4,241 ) $ 20,726 Depreciation and amortization $ 6,065 $ 2,263 $ 266 $ 8,594 2015 Total revenues $ 67,271 $ 108,759 $ - $ 176,030 Expenses 52,963 98,384 3,249 154,596 Segment operating income (loss) $ 14,308 $ 10,375 $ (3,249 ) $ 21,434 Depreciation and amortization $ 6,562 $ 3,042 $ 281 $ 9,885 c. The Company's business is divided into the following geographic areas: Israel, Europe, United States, Japan and other regions. Total revenues are attributed to geographic areas based on the location of the customers. The following table presents total revenues classified according to geographical destination for the years ended December 31, 2013, 2014 and 2015: Year ended December 31, 2013 2014 2015 Israel $ 24,006 $ 29,198 $ 36,401 Europe 31,386 37,409 29,084 United States 70,872 82,470 92,577 Japan 11,965 11,299 10,092 Other 6,729 3,928 7,876 $ 144,958 $ 164,304 $ 176,030 d. The Company's long-lived assets are located as follows: December 31, 2014 2015 Israel $ 58,263 $ 59,770 Europe 1,523 1,402 United States 22,174 29,990 Japan 4,786 4,765 Other 3,291 3,253 $ 90,039 $ 99,180 e. The Company does not allocate its assets to its reportable segments; accordingly, asset information by reportable segments is not presented. f. In 2013, 2014 and 2015, the Company had one customer, included in the IT professional services segment, which accounted for 13%, 10% and 11% of the group revenues, respectively. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Dec. 31, 2015 | |
Subsequent Events [Abstract] | |
Subsequent Events [Text Block] | NOTE 19:- SUBSEQUENT EVENTS a. On February 21, 2016, the Company declared a dividend distribution of $ 0.09 3,991 March 17, 2016 |
SIGNIFICANT ACCOUNTING POLICI27
SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2015 | |
Accounting Policies [Abstract] | |
Use of Estimates, Policy [Policy Text Block] | Use of estimates The preparation of the consolidated financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. The Company's management believes that the estimates, judgments and assumptions used are reasonable based upon information available at the time they are made. Actual results could differ from those estimates. The most significant assumptions are employed in estimates used in determining values of goodwill and identifiable intangible assets and their subsequent impairment analysis, revenue recognition, tax assets and tax positions, legal contingencies, research and development capitalization, contingent consideration related to acquisitions and stock-based compensation costs. |
Foreign Currency Transactions and Translations Policy [Policy Text Block] | Financial statements in United States dollars A substantial portion of the revenues and expenses of the Company and certain of its subsidiaries is generated in U.S. dollars ("dollar"). The Company's management believes that the dollar is the currency of the primary economic environment in which the Company and certain of its subsidiaries operate. Thus, the functional and reporting currency of the Company and certain of its subsidiaries is the dollar. Accordingly, monetary accounts maintained in currencies other than the dollar are remeasured into dollars in accordance with the Financial Accounting Standards Board ("FASB) Accounting Standards Codification ("ASC") 830, "Foreign Currency Matters". All transaction gains and losses of the remeasurement of monetary balance sheet items are reflected in the statements of income as financial income or expenses, as appropriate. For those foreign subsidiaries whose functional currency is not the dollar, all balance sheet amounts have been translated using the exchange rates in effect at each balance sheet date. Statement of income amounts have been translated using the average exchange rate prevailing during each year. Such translation adjustments are reported as a component of other comprehensive income (loss) in equity. |
Consolidation, Policy [Policy Text Block] | Principles of consolidation The consolidated financial statements include the accounts of the Company and its subsidiaries. Intercompany balances and transactions, including profit from intercompany sales not yet realized outside the Group, have been eliminated upon consolidation. Changes in the parent's ownership interest in a subsidiary with no change of control are treated as equity transactions, with any difference between the amount of consideration paid and the change in the carrying amount of the non-controlling interest, recognized in equity. Non-controlling interests of subsidiaries represent the non-controlling share of the total comprehensive income (loss) of the subsidiaries and fair value of the net assets upon the acquisition of the subsidiaries. The non-controlling interests are presented in equity separately from the equity attributable to the equity holders of the Company. Redeemable non-controlling interests are classified as mezzanine equity, separate from permanent equity, on the consolidated balance sheets and measured at each reporting period at the higher of their redemption amount or the Non controlling interest book value, in accordance with the requirements of ASC 810 "Consolidation" and ASC 480-10-S99-3A, "Distinguishing Liabilities from Equity". January 1, 2015 $ 2,930 Net income attributable to redeemable non-controlling interest 639 Increase in redeemable non-controlling interest as part of acquisitions 4,159 Decrease in redeemable non-controlling interest due to change in ownership in subsidiaries 378 Dividend in Redeemable Non-controlling interest (2,294) Foreign currency translation adjustments (67) December 31, 2015 $ 5,745 |
Cash and Cash Equivalents, Policy [Policy Text Block] | Cash and cash equivalents Cash and cash equivalents are short-term highly liquid investments that are readily convertible to cash with original maturities of three months or less, at the date acquired. Cash and cash equivalent includes amounts held primarily in NIS, U.S. dollars, Euro, Japanese Yen and British Pound. |
Short Term Deposits [Policy Text Block] | Short-term deposits and restricted deposits Short-term deposits include deposits with original maturities of more than three months and less than one year. Such deposits are presented at cost (including accrued interest) which approximates their fair value. Restricted deposits are used to secure certain Group's ongoing projects and are classified under other receivables. |
Marketable Securities, Policy [Policy Text Block] | Marketable securities The Company accounts for investments in marketable securities in accordance with ASC No. 320, “Investments Debt and Equity Securities”. Management determines the appropriate classification of its investments at the time of purchase and reevaluates such determinations at each balance sheet date. The Company classifies all of its marketable securities as available for sale. Available for sale securities are carried at fair value, with the unrealized gains and losses, net of tax, reported in “accumulated other comprehensive income (loss)” in equity. Realized gains and losses on sale of investments are included in “financial income, net” and are derived using the specific identification method for determining the cost of securities. The amortized cost of debt securities is adjusted for amortization of premiums and accretion of discounts to maturity. Such amortization together with interest on securities is included in “financial income, net”. The Company recognizes an impairment charge when a decline in the fair value of its investments in debt securities below the cost basis of such securities is judged to be other-than-temporary. Factors considered in making such a determination include the duration and severity of the impairment, the reason for the decline in value, the potential recovery period and the Company’s intent to sell, including whether it is more likely than not that the Company will be required to sell the investment before recovery of cost basis. For securities that are deemed other-than-temporarily impaired, the amount of impairment is recognized in “net gain (impairment net of gains) on sale of marketable securities previously impaired” in the statements of income and is limited to the amount related to credit losses, while impairment related to other factors is recognized in other comprehensive income. |
Property, Plant and Equipment, Policy [Policy Text Block] | Property and equipment, net Years Computers and peripheral equipment 3 Office furniture and equipment 7 - 15 (mainly 7) Motor vehicles 7 Software 3 5 (mainly 5) Leasehold improvements Over the shorter of the lease term or useful economic life |
Business Combinations Policy [Policy Text Block] | Business combinations The Company accounts for business combinations under ASC 805, "Business Combinations". ASC 805 requires recognition of assets acquired, liabilities assumed, contingent consideration, non-controlling interest and redeemable non-controlling interest in the acquiree at the acquisition date, measured at their fair values as of that date. As required by ASC 820, "Fair Value Measurements and disclosures" the Company applies assumptions that marketplace participants would consider in determining the fair value of assets acquired, liabilities assumed, non-controlling interest and redeemable non-controlling interest in the acquiree at the acquisition date. Any excess of the fair value of net assets acquired over purchase price and any subsequent changes in estimated contingencies are to be recorded in earnings. |
Research and Development Expense, Policy [Policy Text Block] | Research and development costs Research and development costs incurred in the process of software development before establishment of technological feasibility are charged to expenses as incurred. Costs incurred subsequent to the establishment of technological feasibility are capitalized according to the principles set forth in ASC 985-20, "Costs of Software to be Sold, Leased or Marketed". The Company and its subsidiaries establish technological feasibility upon completion of a detailed program design or working model. Research and development costs incurred in the process of developing product enhancements are generally charged to expenses as incurred. Capitalized software costs are amortized on a product by product basis by the straight-line method over the estimated useful life of the software product (between 4 5 |
Long Lived Assets [Policy Text Block] | Long-Lived Assets The Company long-lived, non-current assets are comprised mainly of goodwill, identifiable intangible assets and property, plants and equipment. |
Impairment or Disposal of Long-Lived Assets, Including Intangible Assets, Policy [Policy Text Block] | Impairment of long-lived assets and intangible assets subject to amortization The Company's long-lived assets are reviewed for impairment in accordance with ASC 360, "Property, Plant and Equipment" whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to the future undiscounted cash flows expected to be generated by the assets. If such assets are considered to be impaired, the impairment to be recognized is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets. As required by ASC 820, "Fair Value Measurements and disclosures" the Company applies assumptions that marketplace participants would consider in determining the fair value of long-lived assets (or asset groups). Intangible assets with finite lives are amortized over their economic useful life using a method of amortization that reflects the pattern in which the economic benefits of the intangible assets are consumed or otherwise used up. Distribution rights, acquired technology and non-compete were amortized on a straight line basis and customer relationships and backlog were amortized on an accelerated method basis over a period between 3.5 15 During the years ended December 31, 2013, 2014 and 2015, no impairment indicators were identified. |
Goodwill and Intangible Assets, Goodwill, Policy [Policy Text Block] | Goodwill Goodwill represents the excess of the purchase price in a business combination over the fair value of the net tangible and intangible assets acquired. Under ASC 350,"Intangibles - Goodwill and Other", goodwill is subject to an annual impairment test or more frequently if impairment indicators are present. Goodwill impairment is deemed to exist if the net book value of a reporting unit exceeds its estimated fair value. As of December 31, 2015, the Company operates in four reporting units within its operating segments. Goodwill reflects the excess of the consideration paid or transferred plus the fair value of contingent consideration and any non-controlling interest in the acquiree at the acquisition date over the fair values of the identifiable net assets acquired. The goodwill impairment test is performed according to the following principles: An initial qualitative assessment of the likelihood of impairment may be performed. If this step does not result in a more likely than not indication of impairment, no further impairment testing is required. If it does result in a more likely than not indication of impairment, the impairment test is performed. In step one of the impairment test, the Company compares the fair value of the reporting units to the carrying value of net assets allocated to the reporting units. If the fair value of the reporting unit exceeds the carrying value of the net assets allocated to that unit, goodwill is not impaired, and no further testing is required. Otherwise, the Company must perform the second step of the impairment test to measure the amount of the impairment. In the second step, the reporting unit’s fair value is allocated to all the assets and liabilities of the reporting unit, including any unrecognized intangible assets, in a hypothetical analysis that simulates the business combination principles to derive an implied goodwill value. If the implied fair value of the reporting unit’s goodwill is less than its carrying value, the difference is recorded as impairment. The Company performed an annual impairment tests as of December 31, of each of 2013, 2014 and 2015 and did not identify any impairment losses (see Note 9). |
Revenue Recognition, Policy [Policy Text Block] | Revenue recognition The Company derives its revenues from licensing the rights to use software (proprietary and non-proprietary), provision of related professional services, maintenance and technical support as well as from other IT professional services. The Company sells its products and services primarily through its direct sales force and indirectly through distributors and value added resellers. The Company accounts for its software sales in accordance with ASC 985-605, "Software Revenue Recognition". Software license revenue is recognized when persuasive evidence of an arrangement exists, delivery has occurred, the vendor's fee is fixed or determinable, no further obligation exists and collectability is probable. Maintenance and support includes annual maintenance contracts providing for unspecified upgrades for new versions and enhancements on a when-and-if-available basis for an annual fee. The right for an unspecified upgrade for new versions and enhancements on a when-and-if-available basis do not specify the features, functionality and release date of future product enhancements for the customer to know what will be made available and the general timeframe in which it will be delivered. Maintenance and support revenue included in multiple element arrangements is deferred and recognized on a straight-line basis over the term of the maintenance and support agreement. As required by ASC 985-605, the Company allocates revenues to the software component of its multiple-element arrangements using the residual method when vendor specific objective evidence ("VSOE") of fair value exists for the undelivered elements of the support and maintenance agreements. VSOE is based on the price charged when an element is sold separately or renewed. Under the residual method, the fair value of the undelivered elements is deferred and the remaining portion of the arrangement fee is allocated to the delivered elements and is recognized as revenue. The Company generally does not grant a right of return to its customers. When a right of return exists, the Company defers revenue until the right of return expires, at which time revenue is recognized provided that all other revenue recognition criteria are met. Revenue from professional services related to both software and the IT professional services businesses consists of billable hours for services provided and is recognized as the services are rendered. Arrangements that include professional services bundled with licensed software and other software related elements, are evaluated to determine whether those services are essential to the functionality of other elements of the arrangement. When services are considered essential to the software, revenues under the arrangement are recognized using contract accounting based on ASC 605-35, "Construction-Type and Production-Type Contracts", on a percentage of completion method based on inputs measures. Provisions for estimated losses on uncompleted contracts are made in the period in which such losses are first determined, in the amount of the estimated loss for the entire contract. During the years ended December 31, 2013, 2014 and 2015, no such estimated losses were identified. When professional services are not considered essential to the functionality of other elements of the arrangement, revenue allocable to the services is recognized as the services are performed, using VSOE of fair value. In most cases, the Company has determined that the services are not considered essential to the functionality of other elements of the arrangement. Deferred revenue includes unearned amounts received under maintenance, support and services contracts, and amounts received from customers but not yet recognized as revenues. Revenue from third-party sales is recorded at a gross or net amount according to certain indicators. The application of these indicators for gross and net reporting of revenue depends on the relative facts and circumstances of each sale and requires significant judgment. |
Severance Pay [Policy Text Block] | Severance pay The Company's and its Israeli subsidiary's obligation for severance pay with respect to their Israeli employees (for the period for which the employees were not included under Section 14 of the Severance Pay Law, 1963) is calculated pursuant to the Israeli Severance Pay Law based on the most recent salary of the employees multiplied by the number of years of employment as of the balance sheet date, and are presented on an undiscounted basis (referred to as the "Shut Down Method"). Employees are entitled to one month's salary for each year of employment or a portion thereof. The Company's obligation for all of its Israeli employees is fully provided for by monthly deposits with insurance policies and by an accrual. The Group has a number of savings plans in the United States that qualify under Section 401(k) of the Internal Revenue Code. U.S employees may contribute up to 100 3 The carrying value of deposited funds includes profits (losses) accumulated up to the balance sheet date. The deposited funds may be withdrawn only upon the fulfillment of the obligations pursuant to the Israeli Severance Pay Law or labor agreements and are recorded as an asset in the Company's consolidated balance sheet. The Company and its Israeli subsidiaries’ agreements with most of their Israeli employees are in accordance with Section 14 of the Severance Pay Law -1963, mandating that upon termination of such employees' employment; all the amounts accrued in their insurance policies shall be released to them instead of severance compensation. Upon release of deposited amounts to the employee, no additional liability exists between the parties regarding the matter of severance pay and no additional payments shall be made by the Company or its subsidiaries to the employee. Further, the related obligation and amounts deposited on behalf of such obligation are not stated on the balance sheet, as the Company and its subsidiaries are is legally released from their obligations to employees once the deposit amounts have been paid. Severance expenses for the years ended December 31, 2013, 2014 and 2015 amounted to approximately $ 1,371 1,673 1,626 |
Advertising Costs, Policy [Policy Text Block] | Advertising expenses Advertising expenses are charged to selling and marketing expenses, as incurred. Advertising expenses for the years ended December 31, 2013, 2014 and 2015 amounted to $ 306 466 377 |
Income Tax, Policy [Policy Text Block] | Income taxes The Company and its subsidiaries account for income taxes in accordance with ASC 740, "Income Taxes". The ASC prescribes the use of the liability method whereby deferred tax asset and liability account balances are determined based on differences between financial reporting and tax bases of assets and liabilities and are measured using the enacted tax rates and laws that will be in effect when the differences are expected to reverse. The Company and its subsidiaries provide a valuation allowance, if necessary, to reduce deferred tax assets to their estimated realizable value. Deferred tax assets and liabilities are classified as current or non-current according to the expected reversal dates. The Company utilizes a two-step approach for recognizing and measuring uncertain tax positions accounted for in accordance with an amendment of ASC 740 "Income Taxes." Under the first step the Company evaluates a tax position taken or expected to be taken in a tax return by determining if the weight of available evidence indicates that it is more likely than not that, based on its technical merits, the tax position will be sustained on audit, including resolution of any related appeals or litigation processes. The second step is to measure the tax benefit as the largest amount that is more than 50% likely to be realized upon ultimate settlement with the tax authorities. The Company accrued interest and penalties related to unrecognized tax benefits in its provisions for income taxes. |
Earnings Per Share, Policy [Policy Text Block] | Basic net earnings per share are computed based on the weighted average number of ordinary shares outstanding during each year. Diluted net earnings per share are computed based on the weighted average number of ordinary shares outstanding during each year, plus dilutive potential ordinary shares considered outstanding during the year, in accordance with ASC 260, "Earnings Per Share." A portion of the outstanding stock options have been excluded from the calculation of the diluted earnings per share because such securities are anti-dilutive. The total weighted average number of Ordinary shares related to the outstanding options excluded from the calculations of diluted earnings per share was 536,877 35,010 66,646 |
Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block] | Stock-based compensation The Company accounts for stock-based compensation in accordance with ASC 718, "Compensation - Stock Compensation" which requires companies to estimate the fair value of equity-based payment awards on the date of grant using an option-pricing model. The value of the portion of the award that is ultimately expected to vest is recognized as an expense over the requisite service periods in the Company's consolidated statement of income. The Company recognizes compensation expenses for the value of its awards, which have graded vesting based on the accelerated method over the requisite service period of each of the awards, net of estimated forfeitures. The Company measures and recognizes compensation expense for share-based awards based on estimated fair values on the date of grant using the Binomial option-pricing model ("the Binomial model"). The Binomial model for option pricing requires a number of assumptions, of which the most significant are the suboptimal exercise factor and expected stock price volatility. The suboptimal exercise factor is estimated based on employees' historical option exercise behavior. The suboptimal exercise factor is the ratio by which the stock price must increase over the exercise price before employees are expected to exercise their stock options. Expected volatility is based upon actual historical stock price movements and was calculated as of the grant dates for different periods, since the Binomial model can be used for different expected volatilities for different periods. The risk-free interest rate is based on the yield from U.S. Treasury zero-coupon bonds with an equivalent term to the contractual term of the options. Historically the Company did not hold any foreseeable plans to pay dividends and therefore used an expected dividend yield of zero in its past years option pricing models. In September 2012, the Company adopted a dividend distribution policy according to which it will distribute in each year a dividend of up to 50 The expected term of options granted is derived from the output of the option valuation model and represents the period of time that options granted are expected to be outstanding. Estimated forfeitures are based on actual historical pre-vesting forfeitures. For awards with performance conditions, compensation cost is recognized over the requisite service period if it is 'probable' that the performance conditions will be satisfied, as defined in ASC 450-20-20, "Loss Contingencies." 2014 Dividend yield 0 % Expected volatility 32% - 59 % Risk-free interest rate 0.1% - 2.6 % Expected forfeiture (employees) - Expected forfeiture (executives) - Contractual term of up to 10 years Suboptimal exercise multiple (employees) - Suboptimal exercise multiple (executives) 2 325 1,557 234 Year ended December 31, 2013 2014 2015 Cost of revenue $ 11 $ 30 $ 31 Research and development 67 29 48 Selling and marketing 85 220 137 General and administrative 162 1,278 18 Total stock-based compensation expense $ 325 $ 1,557 $ 234 |
Concentration Risk, Credit Risk, Policy [Policy Text Block] | Concentrations of credit risk Financial instruments that potentially subject the Company and its subsidiaries to concentration of credit risk consist principally of cash and cash equivalents, short-term deposits, marketable securities, trade receivables and foreign currency derivative contracts. The Company's cash and cash equivalents and short-term deposits are invested primarily in deposits with major banks worldwide, mainly in the United States and Israel, however, such cash and cash equivalents and short-term deposits in the United States may be in excess of insured limits and are not insured in other jurisdictions. The Company believes that such institutions are of high rating and therefore bear low risk. The Company's marketable securities include investments in commercial and government bonds and foreign banks. The Company's marketable securities are considered to be highly liquid and have a high credit standing. In addition, management considered its portfolios in foreign banks to be well-diversified (also refer to Note 4). Trade receivables of the Company and its subsidiaries are derived from sales to customers located primarily in the United States, Europe, Israel and Japan. The Company performs ongoing credit evaluations of its customers and excluding 2013 to date has not experienced any material losses. An allowance for doubtful accounts is determined with respect to those amounts that the Company has determined to be doubtful of collection. The expense related to doubtful accounts for the years ended December 31, 2013, 2014 and 2015 was $ 1,285 735 346 From time to time the Company enters into foreign exchange forward contracts intended to protect against the changes in value of forecasted non-dollar currency cash flows related to salary and related expenses. These derivative instruments are designed to offset the Company's non-dollar currency exposure (see "Derivative instruments" below). |
Fair Value Measurement, Policy [Policy Text Block] | Fair value measurements The Company accounts for certain assets and liabilities at fair value under ASC 820, "Fair Value Measurements and Disclosures". Fair value is an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or a liability. As a basis for considering such assumptions, ASC 820 establishes a three-tier value hierarchy, which prioritizes the inputs used in the valuation methodologies in measuring fair value: Level 1 - Observable inputs that reflect quoted prices (unadjusted) for identical assets or liabilities in active markets; Level 2 - Includes other inputs that are directly or indirectly observable in the marketplace, other than quoted prices included in Level 1, such as quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets with insufficient volume or infrequent transactions, or other inputs that are observable (model-derived valuations in which significant inputs are observable), or can be derived principally from or corroborated by observable market data; Level 3 - Unobservable inputs which are supported by little or no market activity; The fair value hierarchy also requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The Company categorized each of its fair value measurements in one of these three levels of hierarchy. Assets and liabilities measured at fair value on a recurring basis are comprised of marketable securities, foreign currency forward contracts and contingent consideration of acquisitions (see Note 5). The carrying amounts reported in the balance sheet for cash and cash equivalents, short term bank deposits, trade receivables, other accounts receivable, short-term bank credit, trade payables and other accounts payable approximate their fair values due to the short-term maturities of such instruments. |
Comprehensive Income, Policy [Policy Text Block] | Comprehensive income (loss) The Company accounts for comprehensive income (loss) in accordance with ASC 220, "Comprehensive Income." This Statement establishes standards for the reporting and display of comprehensive income and its components in a full set of general purpose financial statements. Comprehensive income (loss) generally represents all changes in equity during the period except those resulting from investments by, or distributions to, shareholders. The Company determined that its items of other comprehensive income (loss) relate to gain and loss on foreign currency translation adjustments, unrealized gain and loss on derivative instruments designated as hedges and unrealized gain and loss on available-for-sale marketable securities. |
Derivatives, Policy [Policy Text Block] | Derivative instruments A material portion of the Company's revenues, expenses and earnings is exposed to changes in foreign exchange rates. Depending on market conditions, foreign exchange risk is also managed through the use of derivative financial instruments. These financial instruments serve to protect net income against the impact of the translation into U.S. dollars of certain foreign exchange-denominated transactions. The derivative instruments hedge or offset exposures to Euro, Japanese Yen and NIS exchange rate fluctuations. ASC 815, "Derivatives and Hedging," requires companies to recognize all of their derivative instruments as either assets or liabilities in their balance sheet at fair value. Derivative instruments that are designated and qualify as hedges of forecasted transactions (i.e., cash flow hedges) are carried at fair value with the effective portion of a derivative's gain or loss recorded in other comprehensive income and subsequently recognized in earnings in the same period or periods in which the hedged forecasted transaction affects earnings. For derivative instruments that are not designated and qualified as hedging instruments, the gains or losses on the derivative instruments are recognized in current earnings during the period of the change in fair values. The derivative instruments used by the Company are designed to reduce the market risk associated with the exposure of its underlying transactions to fluctuations in currency exchange rates. The Company has instituted a foreign currency cash flow hedging program in order to hedge against the risk of overall changes in future cash flows. The Company hedges portions of its forecasted expenses denominated in NIS with currency forwards contracts and put and call options. These forward and option contracts are designated as cash flow hedges. For derivative instruments that are designated and qualify as a cash flow hedge (i.e., hedging the exposure to variability in expected future cash flows that is attributable to a particular risk), the effective portion of the gain or loss on the derivative instrument is reported as a component of other comprehensive income and reclassified into earnings in the same period or periods during which the hedged transaction affects earnings. The remaining gain or loss on the derivative instrument in excess of the cumulative change in the present value of future cash flows of the hedged item, if any, is recognized in current earnings during the period of change. For derivative instruments not designated as hedging instruments, the gain or loss is recognized in current earnings during the period of change. The notional principal of foreign exchange contracts to purchase NIS with U.S. dollars was $ 1,736 At December 31, 2015, the Company did not have any cash flow hedges. Fair values of derivative instruments Assets Balance December 31, sheet item 2014 2015 Assets Derivatives not designated as hedging "Other accounts receivable and prepaid expenses" $ 9 $ - Total derivatives $ 9 $ - Gain recognized in the Statements statements of income of Year ended December 31, income item 2013 2014 2015 Derivatives not designated as hedging: Foreign exchange forward contracts "Financial expenses, net" 139 24 69 Total derivatives $ 139 $ 24 $ 69 |
Reclassification, Policy [Policy Text Block] | Reclassification Certain amounts in prior years' financial statements have been reclassified to conform with the current year's presentation. The reclassification had no effect on previously reported net income, equity or cash flow. |
New Accounting Pronouncements, Policy [Policy Text Block] | In February 2016, the FASB issued ASU 2016-02, “Leases” (Topic 842), whereby, lessees will be required to recognize for all leases at the commencement date a lease liability, which is a lessee‘s obligation to make lease payments arising from a lease, measured on a discounted basis; and a right-of-use asset, which is an asset that represents the lessee’s right to use, or control the use of, a specified asset for the lease term. Under the new guidance, lessor accounting is largely unchanged. A modified retrospective transition approach for leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial statements must be applied. The modified retrospective approach would not require any transition accounting for leases that expired before the earliest comparative period presented. Companies may not apply a full retrospective transition approach. ASU 2016-02 is effective for annual and interim periods beginning after December 15, 2018. Early application is permitted. The company is evaluating the potential impact of this pronouncement. In November 2015, the FASB issued Accounting Standards Update 2015-17 (ASU 2015-17) Balance Sheet Classification of Deferred Taxes, which requires that deferred tax assets and deferred tax liabilities be classified as noncurrent in the balance sheet. ASU 2015-17 is effective for the interim and annual periods ending after December 15, 2016. Early adoption is permitted, and the Company adopted the provisions of ASU 2015-17 retrospectively as of December 31, 2015. As a result of the retrospective application, the Company reclassified on the consolidated balance sheets as of December 31, 2014 an amount of $ 554 760 On May 28, 2014, the FASB completed its Revenue Recognition project by issuing ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606). The new guidance establishes the principles to report useful information to users of financial statements about the nature, timing, and uncertainty of revenue from contracts with customers. The new Revenue Recognition guidance is effective for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period, though early adoption is permitted for annual reporting periods beginning after December 15, 2016. The Company is currently evaluating the method of adoption, as well as the effect that adoption of this ASU will have on its consolidated financial statements. |
SIGNIFICANT ACCOUNTING POLICI28
SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Accounting Policies [Abstract] | |
Redeemable Noncontrolling Interest [Table Text Block] | The following table provides a reconciliation of the redeemable non-controlling interests: January 1, 2015 $ 2,930 Net income attributable to redeemable non-controlling interest 639 Increase in redeemable non-controlling interest as part of acquisitions 4,159 Decrease in redeemable non-controlling interest due to change in ownership in subsidiaries 378 Dividend in Redeemable Non-controlling interest (2,294) Foreign currency translation adjustments (67) December 31, 2015 $ 5,745 |
Property, Plant and Equipment [Table Text Block] | Property and equipment are stated at cost, net of accumulated depreciation. Depreciation is calculated by the straight-line method over the estimated useful lives of the assets, at the following annual rates: Years Computers and peripheral equipment 3 Office furniture and equipment 7 - 15 (mainly 7) Motor vehicles 7 Software 3 5 (mainly 5) Leasehold improvements Over the shorter of the lease term or useful economic life |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block] | The fair value for the Company's stock options granted to employees and directors was estimated using the following assumptions: 2014 Dividend yield 0 % Expected volatility 32% - 59 % Risk-free interest rate 0.1% - 2.6 % Expected forfeiture (employees) - Expected forfeiture (executives) - Contractual term of up to 10 years Suboptimal exercise multiple (employees) - Suboptimal exercise multiple (executives) 2 |
Schedule Of Stock Based Compensation Expense [Table Text Block] | During the years ended December 31, 2013, 2014 and 2015, the Company recognized stock-based compensation expense related to employee stock options in the amount of $ 325 1,557 234 Year ended December 31, 2013 2014 2015 Cost of revenue $ 11 $ 30 $ 31 Research and development 67 29 48 Selling and marketing 85 220 137 General and administrative 162 1,278 18 Total stock-based compensation expense $ 325 $ 1,557 $ 234 |
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value [Table Text Block] | The following tables present fair value amounts and gains and losses of derivative instruments and related hedged items: Fair values of derivative instruments Assets Balance December 31, sheet item 2014 2015 Assets Derivatives not designated as hedging "Other accounts receivable and prepaid expenses" $ 9 $ - Total derivatives $ 9 $ - |
Schedule of Derivative Instruments, Gain (Loss) in Statement of Financial Performance [Table Text Block] | Gain recognized in the Statements statements of income of Year ended December 31, income item 2013 2014 2015 Derivatives not designated as hedging: Foreign exchange forward contracts "Financial expenses, net" 139 24 69 Total derivatives $ 139 $ 24 $ 69 |
BUSINESS COMBINATION, SIGNIFI29
BUSINESS COMBINATION, SIGNIFICANT TRANSACTION AND SALE OF BUSINESS (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Comm It Group [Member] | |
Business Acquisition [Line Items] | |
Schedule of Business Acquisitions, by Acquisition [Table Text Block] | The following table summarizes the fair value of the assets and liabilities acquired: As reported on December 31, 2012 Adjustment Modified Net assets $ 1,219 $ 14 $ 1,233 Non-controlling interest (1,880) 130 (1,750) Intangible assets 3,873 397 4,270 Goodwill 5,809 439 6,248 Deferred tax liability, net - (1,068) (1,068) Net assets acquired $ 9,021 $ (88) $ 8,933 |
Pilat Europe Limited Ltd and Pilat North America Inc [Member] | |
Business Acquisition [Line Items] | |
Schedule of Business Acquisitions, by Acquisition [Table Text Block] | The following table summarizes the estimated fair values of the assets acquired and liabilities at the date of acquisition: Net assets $ 490 Intangible assets 715 Total assets acquired $ 1,205 |
Valinor Ltd [Member] | |
Business Acquisition [Line Items] | |
Schedule of Business Acquisitions, by Acquisition [Table Text Block] | The following table summarizes the estimated fair values of the assets acquired and liabilities at the date of acquisition: Net assets $ 119 Intangible assets 464 Goodwill 1,035 Total assets acquired $ 1,618 |
Dario solutions IT Ltd [Member] | |
Business Acquisition [Line Items] | |
Schedule of Business Acquisitions, by Acquisition [Table Text Block] | The following table summarizes the estimated fair values of the assets acquired and liabilities at the date of acquisition: Net Assets $ 371 Intangible assets 707 Goodwill 2,645 Total assets acquired $ 3,723 |
Allstates Technical Services, LLC [Member] | |
Business Acquisition [Line Items] | |
Schedule of Business Acquisitions, by Acquisition [Table Text Block] | The following table summarizes the estimated fair values of the assets acquired and liabilities at the date of acquisition: Net Assets $ 3,063 Intangible assets 2,874 Goodwill 5,026 Total assets acquired $ 10,963 |
Formula Telecom Solutions Ltd [Member] | |
Business Acquisition [Line Items] | |
Schedule of Business Acquisitions, by Acquisition [Table Text Block] | The following table summarizes the estimated fair values of the assets acquired and liabilities at the date of acquisition: Net Assets $ (57) Intangible assets 2,951 Goodwill 2,906 Total assets acquired $ 5,800 |
Infinigy Solutions LLC [Member] | |
Business Acquisition [Line Items] | |
Schedule of Business Acquisitions, by Acquisition [Table Text Block] | The following table summarizes the estimated fair values of the assets acquired and liabilities at the date of acquisition: Net Assets, excluding cash acquired $ (405) Non-controlling interest (1,100) Intangible assets 1,305 Goodwill 2,012 Total assets acquired net of acquired cash $ 1,812 |
Comblack IT Ltd. [Member] | |
Business Acquisition [Line Items] | |
Schedule of Business Acquisitions, by Acquisition [Table Text Block] | The following table summarizes the estimated fair values of the assets acquired and liabilities at the date of acquisition: Net Assets, excluding cash acquired $ 1,182 Non-controlling interest (3,273) Intangible assets 3,652 Goodwill 4,799 Total assets acquired net of acquired cash $ 6,360 |
MARKETABLE SECURITIES (Tables)
MARKETABLE SECURITIES (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Marketable Securities [Abstract] | |
Schedule of Available-for-sale Securities Reconciliation [Table Text Block] | The Group invests in marketable debt and equity securities, which are classified as available-for-sale. The following is a summary of marketable securities: December 31, 2014 2015 Amortized Unrealized Unrealized Market Amortized Unrealized Unrealized Market cost losses gains value cost losses gains value Available-for-sale: Corporate bonds $ 11,916 $ (232) $ - $ 11,684 $ 11,666 $ (82) $ - $ 11,584 Equity funds 116 - 115 231 118 - 117 235 Total $ 12,032 $ (232) $ 115 $ 11,915 $ 11,784 $ (82) $ 117 $ 11,819 |
Investments Classified by Contractual Maturity Date [Table Text Block] | Marketable securities with contractual maturities from one to three years are as follows: Amortized Unrealized gains Market cost Gains Losses value Due between one to three years $ 9,201 $ - $ (44) $ 9,157 Marketable securities with contractual maturities from three to five years are as follows: Amortized Unrealized gains Market cost Gains Losses value Due between three to five years $ 2,465 $ - $ (38) $ 2,427 |
Schedule Of Changes In Other Comprehensive Income Of Available For Sale Securities [Table Text Block] | The following is the change in the other comprehensive income of available-for-sale securities during 2014: Other comprehensive income Other comprehensive income from available-for-sale securities as of January 1, 2014 $ 138 Unrealized loss from available-for-sale securities (259) Other comprehensive loss from available-for-sale securities as of December 31, 2014 $ (121) The following is the change in the other comprehensive income of available-for-sale securities during 2015: Other comprehensive income Other comprehensive loss from available-for-sale securities as of January 1, 2015 $ (121) Unrealized gains from available-for-sale securities 156 Other comprehensive income from available-for-sale securities as of December 31, 2015 $ 35 |
FAIR VALUE MEASUREMENTS (Tables
FAIR VALUE MEASUREMENTS (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | The Company's financial assets measured at fair value on a recurring basis, excluding accrued interest components, consisted of the following types of instruments as of the following dates: December 31, 2014 Fair value measurements using input type Level 1 Level 2 Level 3 Total Assets: Corporate bonds $ - $ 11,684 $ - $ 11,684 Equity fund 231 - - 231 Total financial assets $ 231 $ 11,684 $ - $ 11,915 Liabilities: Contingent consideration $ - $ - $ 382 $ 382 Total financials liabilities $ - $ - $ 382 $ 382 December 31, 2015 Fair value measurements using input type Level 1 Level 2 Level 3 Total Assets: Corporate bonds $ - $ 11,584 $ - $ 11,584 Equity fund 235 - - 235 Total financial assets $ 235 $ 11,584 $ - $ 11,819 Liabilities: Contingent consideration $ - $ - $ 1,220 $ 1,220 Total financials liabilities $ - $ - $ 1,220 $ 1,220 |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block] | Fair value measurements using significant unobservable inputs (Level 3): December 31, 2014 2015 Opening balance $ 3,981 $ 382 Increase in contingent consideration 250 1,048 Payment of contingent consideration (3,053) (166) Change in fair value of contingent consideration (948) 3 Amortization of interest and exchange rate 152 (47) Closing balance $ 382 $ 1,220 |
OTHER ACCOUNTS RECEIVABLE AND32
OTHER ACCOUNTS RECEIVABLE AND PREPAID EXPENSES (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Receivables [Abstract] | |
Schedule Of Accounts Receivable and Prepaid Expenses [Table Text Block] | December 31, 2014 2015 Prepaid expenses $ 1,159 $ 2,132 Government authorities 1,081 2,317 Restricted deposits 149 - Related parties 447 1,022 Other 583 773 $ 3,419 $ 6,244 |
PROPERTY AND EQUIPMENT (Tables)
PROPERTY AND EQUIPMENT (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Property, Plant and Equipment [Abstract] | |
Property Plant And Equipment And Intangible Assets [Table Text Block] | December 31, 2014 2015 Cost: Leasehold improvements $ 523 $ 816 Computers and peripheral equipment 12,942 13,505 Office furniture and equipment 2,620 2,917 Motor vehicles 177 255 Software 3,478 2,851 19,740 20,344 Accumulated depreciation: Leasehold improvements 175 379 Computers and peripheral equipment 12,426 13,040 Office furniture and equipment 1,985 2,063 Motor vehicles 133 140 Software 3,016 2,426 17,735 18,048 Depreciated cost $ 2,005 $ 2,296 |
INTANGIBLE ASSETS (Tables)
INTANGIBLE ASSETS (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Finite-Lived Intangible Assets [Table Text Block] | Intangible assets: December 31, 2014 2015 Original amounts: Capitalized software costs $ 63,260 $ 67,106 Customer relationships 26,618 31,936 Backlog and non-compete agreement 1,623 2,371 Acquired technology 4,862 5,075 96,363 106,488 Accumulated amortization: Capitalized software costs 49,072 53,096 Customer relationships 12,817 16,336 Backlog and non-compete agreement 1,142 2,039 Acquired technology 789 1,442 63,820 72,913 Intangible assets, net $ 32,543 $ 33,575 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block] | The estimated future amortization expense of intangible assets as of December 31, 2015 is as follows: 2016 $ 9,699 2017 7,820 2018 6,075 2019 4,405 2020 3,213 2021 and thereafter 2,363 $ 33,575 |
GOODWILL (Tables)
GOODWILL (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill [Table Text Block] | IT professional Software services services Total As of January 1, 2014 $ 28,495 $ 26,818 $ 55,313 Business combination - 3,664 3,664 Classifications - (496) (496) Foreign currency translation adjustments (1,906) (1,085) (2,991) As of December 31, 2014 26,589 28,901 55,490 Business combination 7,594 492 8,086 Classifications - (90) (90) Foreign currency translation adjustments (33) (145) (178) As of December 31, 2015 $ 34,150 $ 29,158 $ 63,308 |
ACCRUED EXPENSES AND OTHER AC36
ACCRUED EXPENSES AND OTHER ACCOUNTS PAYABLE (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Accounts Payable and Accrued Liabilities [Abstract] | |
Schedule of Accounts Payable and Accrued Liabilities [Table Text Block] | December 31, 2014 2015 Employees and payroll accruals $ 7,243 $ 8,105 Accrued expenses 5,191 4,204 Deferred and contingent payments related to acquisitions 170 1,211 Government authorities 1,395 2,978 Other 1,014 1,423 $ 15,013 $ 17,921 |
LONG TERM DEBT (Tables)
LONG TERM DEBT (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt Instruments [Table Text Block] | Interest rate as of December 31, December 31, 2015 2014 2015 % Loan from banks and other in NIS 5 % $ 481 $ 787 Dividend in Redeemable Non-controlling interest - 2,294 Other long term debt 8 176 $ 490 $ 3,257 (1) On November 2013, the Company entered into a credit line agreement with a U.S. bank, under which the bank provides the Company with a credit line of $ 3,000 2,853 |
TAXES ON INCOME (Tables)
TAXES ON INCOME (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | |
Schedule of Income before Income Tax, Domestic and Foreign [Table Text Block] | Income before taxes on income: Year ended December 31, 2013 2014 2015 Domestic $ 16,165 $ 14,690 $ 18,350 Foreign 2,266 4,183 2,407 $ 18,431 $ 18,873 $ 20,757 |
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | Taxes on income (tax benefit) consist of the following: Year ended December 31, 2013 2014 2015 Current: Domestic $ (1,277) $ 241 $ 3,466 Foreign 781 689 880 (496) 930 4,346 Deferred taxes: Domestic 2,673 2,575 (500) Foreign (602) (1,198) (165) 2,071 1,377 (665) Taxes on income (tax benefit) $ 1,575 $ 2,307 $ 3,681 |
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | Significant components of the Company and its subsidiaries deferred tax assets are as follows: December 31, 2014 2015 Net operating loss carryforwards $ 4,627 $ 5,104 Allowances, reserves and intangible assets 1,080 1,826 Deferred tax assets before valuation allowance 5,707 6,930 Less - valuation allowance (3,570) (4,107) Deferred tax assets, net $ 2,137 $ 2,823 |
Schedule Of Deferred Tax Liabilities [Table Text Block] | December 31, 2014 2015 Long-term tax assets $ 2,137 $ 2,823 Long-term tax liabilities (4,846) (5,726) Net deferred tax liabilities $ (2,709) $ (2,903) |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | Reconciling items between the 2013, 2014 and 2015 statutory tax rate ( 25 26.5 26.5 Year ended December 31, 2013 2014 2015 Income before taxes, as reported in the consolidated statements of income $ 18,431 $ 18,873 $ 20,757 Statutory tax rate 25 % 26.5 % 26.5 % Theoretical tax expenses on the above amount at the Israeli statutory tax rate $ 4,609 $ 5,001 $ 5,501 Tax adjustment in respect of different tax rates 484 80 (923) Deferred taxes on losses for which full valuation allowance was provided in the past (304) 236 131 Tax-deductible costs, not included in the accounting costs - - (733) Tax benefits in respect of prior years, net 203 (516) (133) Nondeductible expenses 95 82 177 Uncertain tax position and other differences (3,512) (2,576) (339) Income tax $ 1,575 $ 2,307 $ 3,681 |
Schedule of Unrecognized Tax Benefits Roll Forward [Table Text Block] | Gross unrecognized tax benefits at January 1, 2013 $ 3,309 Decrease in tax positions taken in prior years (2,811) Gross unrecognized tax benefits at December 31, 2013 498 Decrease in tax positions taken in prior years (156) Gross unrecognized tax benefits at December 31, 2014 342 Increase in tax positions taken in prior years 469 Decrease in tax positions taken in prior years (145) Gross unrecognized tax benefits at December 31, 2015 $ 666 |
EQUITY (Tables)
EQUITY (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Equity [Abstract] | |
Schedule Of Share Based Compensation, Employee Stock Option Plan, Activity [Table Text Block] | Weighted average Weighted remaining average contractual Aggregate Number exercise term intrinsic of options price (in years) value Outstanding at January 1, 2015 738,889 $ 4.26 6.42 $ 1,248 Granted - $ - Exercised (161,003) $ 2.60 Forfeited (83,969) $ 6.21 Outstanding at December 31, 2015 493,917 $ 4.47 5.99 $ 523 Exercisable at December 31, 2015 333,917 $ 3.37 4.95 $ 720 |
Schedule of Share-based Compensation, Shares Authorized under Stock Option Plans, by Exercise Price Range [Table Text Block] | Weighted Weighted average average remaining Weighted exercise price Options contractual life average Options of exercisable Exercise price outstanding (years) exercise price exercisable options In $ 0-1 4,000 3.24 $ - 4,000 $ - 1.01-2 20,000 2.99 $ 1.12 20,000 $ 1.12 2.01-3 123,667 3.64 $ 2.31 123,667 $ 2.31 3.01-4 166,250 5.77 $ 4.00 166,250 $ 4.00 4.01-5 - - $ - - $ - 5.01-6 75,000 7.61 $ 6.00 - $ - 6.01-7 50,000 8.87 $ 6.89 6,250 $ 6.89 7.01-8 - - $ - - $ - 8.01-9 55,000 8.36 $ 8.01 13,750 $ 8.01 493,917 5.99 $ 4.47 333,917 $ 3.37 |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | d. December 31, 2013 2014 2015 Accumulated realized and unrealized gain on available-for-sale securities, net $ 138 $ (121) $ 35 Accumulated foreign currency translation adjustments (327) (5,243) (6,756) Accumulated unrealized gain (loss) on derivative instruments, net 17 17 26 Total other comprehensive income (loss) $ (172) $ (5,347) $ (6,695) |
SELECTED STATEMENTS OF INCOME40
SELECTED STATEMENTS OF INCOME DATA (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Selected Statement Of Income Data [Abstract] | |
Schedule Of Research and Development Expense [Table Text Block] | Year ended December 31, 2013 2014 2015 Total costs $ 8,419 $ 9,017 $ 8,735 Less - capitalized software costs (4,713) (4,267) (3,847) Research and development, net $ 3,706 $ 4,750 $ 4,888 |
Schedule of Other Nonoperating Income (Expense) [Table Text Block] | Interest income net of bank charges $ (170) $ (156) $ 64 Interest expenses related to liabilities in connection with acquisitions (407) (152) - Interest income from marketable securities, net of amortization of premium on marketable securities 46 91 231 Loss arising from foreign currency translation and other (153) (1,569) (980) Financial income(expenses), net $ (684) $ (1,786) $ (685) |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] | 2016 $ 1,839 2017 1,131 2018 816 2019 and thereafter 769 $ 4,555 |
NET EARNINGS PER SHARE (Tables)
NET EARNINGS PER SHARE (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | The following table sets forth the computation of basic and diluted net earnings per share: Year ended December 31, 2013 2014 2015 Numerator for basic and diluted earnings per share - net income available to Magic shareholders $ 15,880 $ 15,520 $ 16,198 Weighted average ordinary shares outstanding: Denominator for basic net earnings per share 36,835,163 43,287,523 44,247,556 Effect of dilutive securities 458,753 17,291 204,510 Denominator for diluted net earnings per share 37,293,916 43,304,814 44,452,066 Basic earnings per share $ 0.43 $ 0.36 $ 0.37 Diluted earnings per share $ 0.43 $ 0.36 $ 0.36 |
SEGMENT GEOGRAPHICAL INFORMAT43
SEGMENT GEOGRAPHICAL INFORMATION AND MAJOR CUSTOMERS (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | IT Software professional Unallocated services services expense Total 2013 Total revenues $ 67,453 $ 77,505 $ - $ 144,958 Expenses 53,164 68,846 3,821 125,831 Segment operating income (loss) $ 14,289 $ 8,659 $ (3,821) $ 19,127 Depreciation and amortization $ 5,917 $ 2,210 $ 253 $ 8,380 IT Software professional Unallocated services services expense Total 2014 Total revenues $ 69,861 $ 94,443 $ - $ 164,304 Expenses 54,464 84,873 4,241 143,578 Segment operating income (loss) $ 15,397 $ 9,570 $ (4,241) $ 20,726 Depreciation and amortization $ 6,065 $ 2,263 $ 266 $ 8,594 2015 Total revenues $ 67,271 $ 108,759 $ - $ 176,030 Expenses 52,963 98,384 3,249 154,596 Segment operating income (loss) $ 14,308 $ 10,375 $ (3,249) $ 21,434 Depreciation and amortization $ 6,562 $ 3,042 $ 281 $ 9,885 |
Schedule Of Revenues From Geographical Segments [Table Text Block] | The following table presents total revenues classified according to geographical destination for the years ended December 31, 2013, 2014 and 2015: Year ended December 31, 2013 2014 2015 Israel $ 24,006 $ 29,198 $ 36,401 Europe 31,386 37,409 29,084 United States 70,872 82,470 92,577 Japan 11,965 11,299 10,092 Other 6,729 3,928 7,876 $ 144,958 $ 164,304 $ 176,030 |
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas [Table Text Block] | The Company's long-lived assets are located as follows: December 31, 2014 2015 Israel $ 58,263 $ 59,770 Europe 1,523 1,402 United States 22,174 29,990 Japan 4,786 4,765 Other 3,291 3,253 $ 90,039 $ 99,180 |
SIGNIFICANT ACCOUNTING POLICI44
SIGNIFICANT ACCOUNTING POLICIES (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Redeemable Noncontrolling Interest [Line Items] | |||
January 1, 2015 | $ 2,930 | ||
Net income attributable to redeemable non-controlling interest | 639 | $ 425 | $ 546 |
Increase in redeemable non-controlling interest as part of acquisitions | 4,159 | ||
Decrease in redeemable non-controlling interest due to change in ownership in subsidiaries | 378 | ||
Dividend in Redeemable Non-controlling interest | (2,294) | ||
Foreign currency translation adjustments | (67) | ||
December 31, 2015 | $ 5,745 | $ 2,930 |
SIGNIFICANT ACCOUNTING POLICI45
SIGNIFICANT ACCOUNTING POLICIES (Details 1) | 12 Months Ended |
Dec. 31, 2015 | |
Computers and Peripheral Equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 3 years |
Motor vehicles [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 7 years |
Leasehold Improvements [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Estimated Useful Lives | Over the shorter of the lease term or useful economic life |
Maximum [Member] | Office Furniture and Equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 15 years |
Maximum [Member] | Software [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 5 years |
Minimum [Member] | Office Furniture and Equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 7 years |
Minimum [Member] | Software [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 3 years |
SIGNIFICANT ACCOUNTING POLICI46
SIGNIFICANT ACCOUNTING POLICIES (Details 2) | 12 Months Ended |
Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Dividend yield | 0.00% |
Expected volatility, Minimum | 32.00% |
Expected volatility, Maximum | 59.00% |
Risk-free interest rate, Minimum | 0.10% |
Risk-free interest rate, Maximum | 2.60% |
Expected forfeiture (employees) | 0.00% |
Expected forfeiture (executives) | 0.00% |
Contractual term of up to | 10 years |
Suboptimal exercise multiple (employees) | 0 |
Suboptimal exercise multiple (executives) | 2 |
SIGNIFICANT ACCOUNTING POLICI47
SIGNIFICANT ACCOUNTING POLICIES (Details 3) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total stock-based compensation expense | $ 234 | $ 1,557 | $ 325 |
Cost Of Revenue [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total stock-based compensation expense | 31 | 30 | 11 |
Research and Development Expense [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total stock-based compensation expense | 48 | 29 | 67 |
Selling and Marketing Expense [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total stock-based compensation expense | 137 | 220 | 85 |
General and Administrative Expense [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total stock-based compensation expense | $ 18 | $ 1,278 | $ 162 |
SIGNIFICANT ACCOUNTING POLICI48
SIGNIFICANT ACCOUNTING POLICIES (Details 4) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Liabilities: | ||
Total derivatives | $ 0 | $ 9 |
Other Accounts Receivable and Prepaid Expenses [Member] | ||
ASSETS | ||
Derivatives not designated as hedging | $ 0 | $ 9 |
SIGNIFICANT ACCOUNTING POLICI49
SIGNIFICANT ACCOUNTING POLICIES (Details 5) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Derivatives not designated as hedging: | |||
Total derivatives | $ 69 | $ 24 | $ 139 |
Financial Expenses [Member] | |||
Derivatives not designated as hedging: | |||
Foreign exchange forward contracts | $ 69 | $ 24 | $ 139 |
SIGNIFICANT ACCOUNTING POLICI50
SIGNIFICANT ACCOUNTING POLICIES (Details Textual) - USD ($) $ in Thousands | Sep. 04, 2012 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Advertising Expense | $ 377 | $ 466 | $ 306 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 66,646 | 35,010 | 536,877 | |
Unrecognized Tax Benefits Income (Expenses) | $ 346 | $ 735 | $ 1,285 | |
Dividend Distribution Maximum Percentage | 50.00% | |||
Allocated Share-based Compensation Expense | 234 | 1,557 | 325 | |
Severance Costs | $ 1,626 | 1,673 | $ 1,371 | |
Defined Contribution Plan, Maximum Annual Contributions Per Employee, Percent | 100.00% | |||
Defined Contribution Plan, Employer Matching Contribution, Percent of Match | 3.00% | |||
Fresh-Start Adjustment, Increase (Decrease), Deferred Income Tax Assets, Current | 554 | |||
Fresh-Start Adjustment, Increase (Decrease), Deferred Income Tax Liabilities, Current | 760 | |||
Purchase Of NIS With US Dollars [Member] | ||||
Foreign Currency Derivatives Notional Amount | $ 1,736 | |||
Minimum [Member] | ||||
Finite-Lived Intangible Asset, Useful Life | 3 years 6 months | |||
Capitalized Computer Software Amortization Term | 4 years | |||
Maximum [Member] | ||||
Finite-Lived Intangible Asset, Useful Life | 15 years | |||
Capitalized Computer Software Amortization Term | 5 years |
BUSINESS COMBINATION, SIGNIFI51
BUSINESS COMBINATION, SIGNIFICANT TRANSACTION AND SALE OF BUSINESS (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Jun. 30, 2015 | Apr. 14, 2015 | Dec. 31, 2014 | Oct. 01, 2014 | Dec. 31, 2013 | Nov. 11, 2013 | May. 31, 2013 | May. 30, 2013 | May. 16, 2013 | Feb. 26, 2013 | Dec. 31, 2012 |
Business Acquisition [Line Items] | ||||||||||||
Goodwill | $ 63,308 | $ 55,490 | $ 55,313 | |||||||||
Scenario, Previously Reported [Member] | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Net assets | $ 1,219 | |||||||||||
Non-controlling interest | (1,880) | |||||||||||
Intangible assets | 3,873 | |||||||||||
Goodwill | 5,809 | |||||||||||
Deferred tax liability, net | 0 | |||||||||||
Total assets acquired | $ 9,021 | |||||||||||
Restatement Adjustment [Member] | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Net assets | $ 14 | |||||||||||
Non-controlling interest | 130 | |||||||||||
Intangible assets | 397 | |||||||||||
Goodwill | 439 | |||||||||||
Deferred tax liability, net | (1,068) | |||||||||||
Total assets acquired | (88) | |||||||||||
Modified [Member] | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Net assets | 1,233 | |||||||||||
Non-controlling interest | (1,750) | |||||||||||
Intangible assets | 4,270 | |||||||||||
Goodwill | 6,248 | |||||||||||
Deferred tax liability, net | (1,068) | |||||||||||
Total assets acquired | $ 8,933 | |||||||||||
Pilat Europe Limited Ltd and Pilat North America Inc [Member] | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Net assets | $ 490 | |||||||||||
Intangible assets | 715 | |||||||||||
Total assets acquired | $ 1,205 | |||||||||||
Valinor Ltd [Member] | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Net assets | $ 119 | |||||||||||
Intangible assets | 464 | |||||||||||
Goodwill | 1,035 | |||||||||||
Total assets acquired | $ 1,618 | |||||||||||
Dario solutions IT Ltd [Member] | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Net assets | $ 371 | |||||||||||
Intangible assets | 707 | |||||||||||
Goodwill | 2,645 | |||||||||||
Total assets acquired | $ 3,723 | |||||||||||
Allstates Technical Services [Member] | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Net assets | $ 3,063 | |||||||||||
Intangible assets | 2,874 | |||||||||||
Goodwill | 5,026 | |||||||||||
Total assets acquired | $ 10,963 | |||||||||||
Formula Telecom Solutions Ltd [Member] | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Net assets | $ (57) | |||||||||||
Intangible assets | 2,951 | |||||||||||
Goodwill | 2,906 | |||||||||||
Total assets acquired | $ 5,800 | |||||||||||
Infinigy Solutions LLC [Member] | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Net assets | $ 1,182 | |||||||||||
Non-controlling interest | (3,273) | |||||||||||
Intangible assets | 3,652 | |||||||||||
Goodwill | 4,799 | |||||||||||
Total assets acquired | $ 6,360 | |||||||||||
Comblack IT Ltd. [Member] | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Net assets | $ (405) | |||||||||||
Non-controlling interest | (1,100) | |||||||||||
Intangible assets | 1,305 | |||||||||||
Goodwill | 2,012 | |||||||||||
Total assets acquired | $ 1,812 |
BUSINESS COMBINATION, SIGNIFI52
BUSINESS COMBINATION, SIGNIFICANT TRANSACTION AND SALE OF BUSINESS (Details Textual) - USD ($) $ in Thousands | Apr. 14, 2015 | Nov. 11, 2013 | Feb. 26, 2013 | Jan. 31, 2016 | Jun. 30, 2015 | Oct. 01, 2014 | May. 31, 2013 | May. 30, 2013 | May. 16, 2013 | Jul. 31, 2012 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | May. 25, 2014 | Feb. 28, 2014 | Nov. 30, 2013 |
Business Acquisition [Line Items] | ||||||||||||||||
Net Income (Loss) Attributable To Redeemable Noncontrolling Interest | $ 639 | $ 425 | $ 546 | |||||||||||||
Subsequent Event [Member] | ||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||
Payments to Acquire Businesses, Gross | $ 356 | |||||||||||||||
Comm It Group [Member] | ||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||
Equity Method Investment, Ownership Percentage | 20.00% | |||||||||||||||
Business Combination, Step Acquisition, Equity Interest in Acquiree, Percentage | 80.00% | |||||||||||||||
Business Acquisition Contingent Consideration Deferred Payment | $ 2,751 | |||||||||||||||
Business Acquisitions Contingent Consideration At Fair Value | 3,943 | |||||||||||||||
Business Combination, Consideration Transferred, Total | 8,933 | |||||||||||||||
Business Acquisitions Contingent Consideration Potential Cash Payment | 1,192 | |||||||||||||||
Net Income (Loss) Attributable To Redeemable Noncontrolling Interest | 1,750 | |||||||||||||||
Payments to Acquire Businesses, Gross | $ 4,990 | |||||||||||||||
Complete Business Solutions Ltd [Member] | ||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||
Business Combination, Consideration Transferred, Total | $ 244 | |||||||||||||||
Increase Share Interest | 96.3% to 100% | |||||||||||||||
Pilat Europe Limited Ltd and Pilat North America Inc [Member] | ||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||
Payments to Acquire Businesses, Gross | $ 1,233 | |||||||||||||||
Valinor Ltd [Member] | ||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||
Business Combination, Consideration Transferred, Total | $ 1,618 | |||||||||||||||
Business Combination Consideration Contingent On Operational Target | $ 600 | $ 340 | $ 339 | |||||||||||||
Payments to Acquire Businesses, Gross | $ 339 | |||||||||||||||
Increase Decrease in Total Consideration Transferred | $ 230 | |||||||||||||||
Dario solutions IT Ltd [Member] | ||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||
Business Combination, Consideration Transferred, Total | $ 3,723 | $ 1,100 | 997 | |||||||||||||
Business Combination Consideration Contingent On Operational Target | 1,717 | $ 906 | ||||||||||||||
Allstates Technical Services, LLC [Member] | ||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||
Business Combination, Consideration Transferred, Total | $ 10,963 | |||||||||||||||
Formula Telecom Solutions Ltd [Member] | ||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||
Business Combination, Consideration Transferred, Total | $ 5,800 | |||||||||||||||
Infinigy Solutions LLC [Member] | ||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||
Business Combination Consideration Paid Transferred1 | $ 6,360 | |||||||||||||||
Payments to Acquire Businesses, Gross | 5,600 | |||||||||||||||
Contingent Payment Upon Operational Targets | $ 760 | |||||||||||||||
Business Acquisition, Remaining Ownership Percentage | 30.00% | |||||||||||||||
Business Acquisition, Percentage of Voting Interests Acquired | 70.00% | |||||||||||||||
Business Combination, Acquisition of Less than 100 Percent, Noncontrolling Interest, Fair Value | $ 3,273 | |||||||||||||||
Comblack IT Ltd. [Member] | ||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||
Business Combination Consideration Paid Transferred1 | $ 1,812 | |||||||||||||||
Payments to Acquire Businesses, Gross | 1,523 | |||||||||||||||
Contingent Payment Upon Operational Targets | $ 289 | |||||||||||||||
Business Acquisition, Remaining Ownership Percentage | 30.00% | |||||||||||||||
Business Acquisition, Percentage of Voting Interests Acquired | 70.00% | |||||||||||||||
Business Combination, Acquisition of Less than 100 Percent, Noncontrolling Interest, Fair Value | $ 1,100 | |||||||||||||||
Addition Acquisition [Member] | ||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||
Business Combination Consideration Paid Transferred1 | $ 1,892 | $ 700 | ||||||||||||||
Comm IT Embedded Ltd [Member] | ||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||
Business Combination, Consideration Transferred, Total | $ 1,412 | |||||||||||||||
Increase Share Interest | 50.1% to 75% |
MARKETABLE SECURITIES (Details)
MARKETABLE SECURITIES (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Available-for-sale: | ||
Amortized cost | $ 11,784 | $ 12,032 |
Unrealized losses | (82) | (232) |
Unrealized gains | 117 | 115 |
Market value | 11,819 | 11,915 |
Equity funds [Member] | ||
Available-for-sale: | ||
Amortized cost | 118 | 116 |
Unrealized losses | 0 | 0 |
Unrealized gains | 117 | 115 |
Market value | 235 | 231 |
Corporate bonds [Member] | ||
Available-for-sale: | ||
Amortized cost | 11,666 | 11,916 |
Unrealized losses | (82) | (232) |
Unrealized gains | 0 | 0 |
Market value | $ 11,584 | $ 11,684 |
MARKETABLE SECURITIES (Details
MARKETABLE SECURITIES (Details 1) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Unrealized gains (losses), Amortized cost | $ 11,784 | $ 12,032 |
Unrealized gains (losses), Gains | 117 | 115 |
Unrealized gains (losses), Losses | (82) | (232) |
Unrealized gains (losses), Market value | 11,819 | $ 11,915 |
Marketable Securities Due Between One To Three Years [Member] | ||
Unrealized gains (losses), Amortized cost | 9,201 | |
Unrealized gains (losses), Gains | 0 | |
Unrealized gains (losses), Losses | (44) | |
Unrealized gains (losses), Market value | 9,157 | |
Marketable Securities Due From Three To Five Years [Member] | ||
Unrealized gains (losses), Amortized cost | 2,465 | |
Unrealized gains (losses), Gains | 0 | |
Unrealized gains (losses), Losses | (38) | |
Unrealized gains (losses), Market value | $ 2,427 |
MARKETABLE SECURITIES (Detail55
MARKETABLE SECURITIES (Details 2) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Schedule of Available-for-sale Securities [Line Items] | ||
Other comprehensive income (loss) from available-for-sale securities | $ (121) | $ 138 |
Unrealized gains loss from available-for-sale securities | 156 | (259) |
Other comprehensive income (loss) from available-for-sale securities | $ 35 | $ (121) |
FAIR VALUE MEASUREMENTS (Detail
FAIR VALUE MEASUREMENTS (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Assets: | ||
Corporate bonds | $ 11,584 | $ 11,684 |
Equity fund | 235 | 231 |
Total financial assets | 11,819 | 11,915 |
Liabilities: | ||
Contingent consideration | 1,220 | 382 |
Total financials liabilities | 1,220 | 382 |
Fair Value, Inputs, Level 1 [Member] | ||
Assets: | ||
Corporate bonds | 0 | 0 |
Equity fund | 235 | 231 |
Total financial assets | 235 | 231 |
Liabilities: | ||
Contingent consideration | 0 | 0 |
Total financials liabilities | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | ||
Assets: | ||
Corporate bonds | 11,584 | 11,684 |
Equity fund | 0 | 0 |
Total financial assets | 11,584 | 11,684 |
Liabilities: | ||
Contingent consideration | 0 | 0 |
Total financials liabilities | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | ||
Assets: | ||
Corporate bonds | 0 | 0 |
Equity fund | 0 | 0 |
Total financial assets | 0 | 0 |
Liabilities: | ||
Contingent consideration | 1,220 | 382 |
Total financials liabilities | $ 1,220 | $ 382 |
FAIR VALUE MEASUREMENTS (Deta57
FAIR VALUE MEASUREMENTS (Details 1) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Opening balance | $ 382 | $ 3,981 |
Increase in contingent consideration | 1,048 | 250 |
Payment of contingent consideration | (166) | (3,053) |
Change in fair value of contingent consideration | 3 | (948) |
Amortization of interest and exchange rate | (47) | 152 |
Closing balance | $ 1,220 | $ 382 |
OTHER ACCOUNTS RECEIVABLE AND58
OTHER ACCOUNTS RECEIVABLE AND PREPAID EXPENSES (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Prepaid expenses | $ 2,132 | $ 1,159 |
Government authorities | 2,317 | 1,081 |
Restricted deposits | 0 | 149 |
Related parties | 1,022 | 447 |
Other | 773 | 583 |
Prepaid Expense and Other Assets, Current, Total | $ 6,244 | $ 3,419 |
PROPERTY AND EQUIPMENT (Details
PROPERTY AND EQUIPMENT (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | $ 20,344 | $ 19,740 |
Accumulated depreciation | 18,048 | 17,735 |
Depreciated cost | 2,296 | 2,005 |
Leasehold improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 816 | 523 |
Accumulated depreciation | 379 | 175 |
Computers and peripheral equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 13,505 | 12,942 |
Accumulated depreciation | 13,040 | 12,426 |
Office furniture and equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 2,917 | 2,620 |
Accumulated depreciation | 2,063 | 1,985 |
Motor vehicles [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 255 | 177 |
Accumulated depreciation | 140 | 133 |
Software [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 2,851 | 3,478 |
Accumulated depreciation | $ 2,426 | $ 3,016 |
PROPERTY AND EQUIPMENT (Detai60
PROPERTY AND EQUIPMENT (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Property, Plant and Equipment [Line Items] | |||
Depreciation | $ 792 | $ 675 | $ 656 |
INTANGIBLE ASSETS (Details)
INTANGIBLE ASSETS (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Gross | $ 106,488 | $ 96,363 |
Finite-Lived Intangible Assets, Accumulated Amortization | 72,913 | 63,820 |
Intangible assets, net | 33,575 | 32,543 |
Capitalized software costs [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Gross | 67,106 | 63,260 |
Finite-Lived Intangible Assets, Accumulated Amortization | 53,096 | 49,072 |
Customer relationships [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Gross | 31,936 | 26,618 |
Finite-Lived Intangible Assets, Accumulated Amortization | 16,336 | 12,817 |
Backlog and non-compete agreement [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Gross | 2,371 | 1,623 |
Finite-Lived Intangible Assets, Accumulated Amortization | 2,039 | 1,142 |
Acquired technology [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Gross | 5,075 | 4,862 |
Finite-Lived Intangible Assets, Accumulated Amortization | $ 1,442 | $ 789 |
INTANGIBLE ASSETS (Details 1)
INTANGIBLE ASSETS (Details 1) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Finite-Lived Intangible Assets [Line Items] | ||
2,016 | $ 9,699 | |
2,017 | 7,820 | |
2,018 | 6,075 | |
2,019 | 4,405 | |
2,020 | 3,213 | |
2021 and thereafter | 2,363 | |
Finite-Lived Intangible Assets, Net | $ 33,575 | $ 32,543 |
INTANGIBLE ASSETS (Details Text
INTANGIBLE ASSETS (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Finite-Lived Intangible Assets [Line Items] | |||
Amortization of Intangible Assets | $ 9,093 | $ 7,919 | $ 7,724 |
GOODWILL (Details)
GOODWILL (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Goodwill [Line Items] | ||
Goodwill, Beginning Balance | $ 55,490 | $ 55,313 |
Business combination | 8,086 | 3,664 |
Classifications | (90) | (496) |
Foreign currency translation adjustments | (178) | (2,991) |
Goodwill, Ending Balance | 63,308 | 55,490 |
IT Professional Services [Member] | ||
Goodwill [Line Items] | ||
Goodwill, Beginning Balance | 26,589 | 28,495 |
Business combination | 7,594 | 0 |
Classifications | 0 | 0 |
Foreign currency translation adjustments | (33) | (1,906) |
Goodwill, Ending Balance | 34,150 | 26,589 |
Software Services [Member] | ||
Goodwill [Line Items] | ||
Goodwill, Beginning Balance | 28,901 | 26,818 |
Business combination | 492 | 3,664 |
Classifications | (90) | (496) |
Foreign currency translation adjustments | (145) | (1,085) |
Goodwill, Ending Balance | $ 29,158 | $ 28,901 |
ACCRUED EXPENSES AND OTHER AC65
ACCRUED EXPENSES AND OTHER ACCOUNTS PAYABLE (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Schedule Of Accrued Expenses And Other Accounts Payable [Line Items] | ||
Employees and payroll accruals | $ 8,105 | $ 7,243 |
Accrued expenses | 4,204 | 5,191 |
Deferred and contingent payments related to acquisitions | 1,211 | 170 |
Government authorities | 2,978 | 1,395 |
Other | 1,423 | 1,014 |
Accrued Expenses And Other Accounts Payable | $ 17,921 | $ 15,013 |
LONG TERM DEBT (Details)
LONG TERM DEBT (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Debt Instrument [Line Items] | ||
Dividend in Redeemable Non-controlling interest | $ 2,294 | $ 0 |
Other long term debt | 176 | 8 |
Long-term Debt, Total | $ 3,257 | 490 |
Loans from banks in NIS, Interest rate | 5.00% | |
Israel, New Shekels [Member] | ||
Debt Instrument [Line Items] | ||
Loans from banks | $ 787 | $ 481 |
LONG TERM DEBT (Details Textual
LONG TERM DEBT (Details Textual) - US Bank [Member] - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended |
Nov. 30, 2013 | Dec. 31, 2014 | |
Debt Instrument [Line Items] | ||
Line of Credit Facility, Maximum Borrowing Capacity | $ 3,000 | |
Proceeds from Lines of Credit | $ 2,853 | |
Line of Credit Facility, Interest Rate Description | interest equal to the Prime Rate in effect from time to time, plus 3% per annum; provided that the interest rate in effect on any day shall not be less than 6.0% per annum |
TAXES ON INCOME (Details)
TAXES ON INCOME (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Taxes [Line Items] | |||
Domestic | $ 18,350 | $ 14,690 | $ 16,165 |
Foreign | 2,407 | 4,183 | 2,266 |
Income before taxes on income | $ 20,757 | $ 18,873 | $ 18,431 |
TAXES ON INCOME (Details 1)
TAXES ON INCOME (Details 1) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Current: | |||
Domestic | $ 3,466 | $ 241 | $ (1,277) |
Foreign | 880 | 689 | 781 |
Current Income Tax Expense (Benefit), Total | 4,346 | 930 | (496) |
Deferred taxes: | |||
Domestic | (500) | 2,575 | 2,673 |
Foreign | (165) | (1,198) | (602) |
Deferred Income Tax Expense (Benefit) | (665) | 1,377 | 2,071 |
Taxes on income (tax benefit) | $ 3,681 | $ 2,307 | $ 1,575 |
TAXES ON INCOME (Details 2)
TAXES ON INCOME (Details 2) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Deferred Tax Assets [Line Items] | ||
Net operating loss carryforwards | $ 5,104 | $ 4,627 |
Allowances, reserves and intangible assets | 1,826 | 1,080 |
Deferred tax assets before valuation allowance | 6,930 | 5,707 |
Less - valuation allowance | (4,107) | (3,570) |
Deferred tax assets, net | $ 2,823 | $ 2,137 |
TAXES ON INCOME (Details 3)
TAXES ON INCOME (Details 3) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Income Taxes [Line Items] | ||
Long-term tax assets | $ 2,823 | $ 2,137 |
Long-term tax liabilities | (5,726) | (4,846) |
Net deferred tax liabilities | $ (2,903) | $ (2,709) |
TAXES ON INCOME (Details 4)
TAXES ON INCOME (Details 4) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Taxes [Line Items] | |||
Income before taxes, as reported in the consolidated statements of income | $ 20,757 | $ 18,873 | $ 18,431 |
Statutory tax rate | 26.50% | 26.50% | 25.00% |
Theoretical tax expenses on the above amount at the Israeli statutory tax rate | $ 5,501 | $ 5,001 | $ 4,609 |
Tax adjustment in respect of different tax rates | (923) | 80 | 484 |
Deferred taxes on losses for which full valuation allowance was provided in the past | 131 | 236 | (304) |
Tax-deductible costs, not included in the accounting costs | (733) | 0 | 0 |
Tax benefits in respect of prior years, net | (133) | (516) | 203 |
Nondeductible expenses | 177 | 82 | 95 |
Uncertain tax position and other differences | (339) | (2,576) | (3,512) |
Income tax | $ 3,681 | $ 2,307 | $ 1,575 |
TAXES ON INCOME (Details 5)
TAXES ON INCOME (Details 5) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Tax Contingency [Line Items] | |||
Gross unrecognized tax benefits | $ 342 | $ 498 | $ 3,309 |
Increase in tax positions taken in prior years | 469 | ||
Decrease in tax positions taken in prior years | (145) | (156) | (2,811) |
Gross unrecognized tax benefits | $ 666 | $ 342 | $ 498 |
TAXES ON INCOME (Details Textua
TAXES ON INCOME (Details Textual) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | |||
Jan. 04, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Income Taxes [Line Items] | |||||
Effective Income Tax Rate Reconciliation, State and Local Income Taxes | 26.50% | 26.50% | 25.00% | ||
Operating Loss Carryforwards | $ 14,084 | ||||
Effective Income Tax Rate Reconciliation Tax Withholding Percent | 90.00% | ||||
Income Tax Expense Benefit Continue Operations | $ 324 | $ 156 | $ 2,811 | ||
Effective Income Tax Rate Reconciliation, At Federal Statutory Income Tax Rate | 26.50% | 26.50% | 25.00% | ||
Cash and Cash Equivalents, at Carrying Value | $ 62,188 | $ 72,515 | $ 35,134 | $ 37,744 | |
Maximum [Member] | |||||
Income Taxes [Line Items] | |||||
Effective Income Tax Rate Reconciliation, At Federal Statutory Income Tax Rate | 26.50% | ||||
Minimum [Member] | |||||
Income Taxes [Line Items] | |||||
Effective Income Tax Rate Reconciliation, At Federal Statutory Income Tax Rate | 25.00% | ||||
Tax Amendment [Member] | |||||
Income Taxes [Line Items] | |||||
Effective Income Tax Rate Reconciliation, State and Local Income Taxes | 16.00% | ||||
Non-Israel Subsidiaries [Member] | |||||
Income Taxes [Line Items] | |||||
Cash and Cash Equivalents, at Carrying Value | $ 17,521 | ||||
Industrial Companies [Member] | |||||
Income Taxes [Line Items] | |||||
Effective Income Tax Rate Reconciliation Tax Withholding Percent | 25.00% | ||||
Europe [Member] | |||||
Income Taxes [Line Items] | |||||
Operating Loss Carryforwards | $ 4,673 | ||||
UNITED STATES | |||||
Income Taxes [Line Items] | |||||
Operating Loss Carryforwards | $ 255 |
EQUITY (Details)
EQUITY (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Outstanding- Number of options | 738,889 | |
Granted - Number of options | 0 | |
Exercised - Number of options | (161,003) | |
Forfeited - Number of options | (83,969) | |
Outstanding- Number of options | 493,917 | 738,889 |
Exercisable - Number of options | 333,917 | |
Outstanding - Weighted average exercise price | $ 4.26 | |
Granted - Weighted average exercise price | 0 | |
Exercised - Weighted average exercise price | 2.60 | |
Forfeited - Weighted average exercise price | 6.21 | |
Outstanding - Weighted average exercise price | 4.47 | $ 4.26 |
Exercisable - Weighted average exercise price | $ 3.37 | |
Outstanding - Weighted average remaining contractual term (in years) | 5 years 11 months 26 days | 6 years 5 months 1 day |
Exercisable - Weighted average remaining contractual term (in years) | 4 years 11 months 12 days | |
Outstanding - Aggregate intrinsic value | $ 1,248 | |
Outstanding - Aggregate intrinsic value | 523 | $ 1,248 |
Exercisable - Aggregate intrinsic value | $ 720 |
EQUITY (Details 1)
EQUITY (Details 1) - $ / shares | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Options Outstanding | 493,917 | 738,889 |
Weighted average remaining contractual Life (years) | 5 years 11 months 26 days | 6 years 5 months 1 day |
Weighted average exercise price | $ 4.47 | $ 4.26 |
Options exercisable | 333,917 | |
Exercisable - Weighted average exercise price | $ 3.37 | |
Exercise Price One [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Options Outstanding | 4,000 | |
Weighted average remaining contractual Life (years) | 3 years 2 months 26 days | |
Weighted average exercise price | $ 0 | |
Options exercisable | 4,000 | |
Exercisable - Weighted average exercise price | $ 0 | |
Exercise Price Two [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Options Outstanding | 20,000 | |
Weighted average remaining contractual Life (years) | 2 years 11 months 26 days | |
Weighted average exercise price | $ 1.12 | |
Options exercisable | 20,000 | |
Exercisable - Weighted average exercise price | $ 1.12 | |
Exercise Price Three [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Options Outstanding | 123,667 | |
Weighted average remaining contractual Life (years) | 3 years 7 months 20 days | |
Weighted average exercise price | $ 2.31 | |
Options exercisable | 123,667 | |
Exercisable - Weighted average exercise price | $ 2.31 | |
Exercise Price Four [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Options Outstanding | 166,250 | |
Weighted average remaining contractual Life (years) | 5 years 9 months 7 days | |
Weighted average exercise price | $ 4 | |
Options exercisable | 166,250 | |
Exercisable - Weighted average exercise price | $ 4 | |
Exercise Price Five [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Options Outstanding | 0 | |
Weighted average remaining contractual Life (years) | 0 years | |
Weighted average exercise price | $ 0 | |
Options exercisable | 0 | |
Exercisable - Weighted average exercise price | $ 0 | |
Exercise Price Six [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Options Outstanding | 75,000 | |
Weighted average remaining contractual Life (years) | 7 years 7 months 10 days | |
Weighted average exercise price | $ 6 | |
Options exercisable | 0 | |
Exercisable - Weighted average exercise price | $ 0 | |
Exercise Price Seven [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Options Outstanding | 50,000 | |
Weighted average remaining contractual Life (years) | 8 years 10 months 13 days | |
Weighted average exercise price | $ 6.89 | |
Options exercisable | 6,250 | |
Exercisable - Weighted average exercise price | $ 6.89 | |
Exercise Price Eight [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Options Outstanding | 0 | |
Weighted average remaining contractual Life (years) | 0 years | |
Weighted average exercise price | $ 0 | |
Options exercisable | 0 | |
Exercisable - Weighted average exercise price | $ 0 | |
Exercise Price Nine [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Options Outstanding | 55,000 | |
Weighted average remaining contractual Life (years) | 8 years 4 months 10 days | |
Weighted average exercise price | $ 8.01 | |
Options exercisable | 13,750 | |
Exercisable - Weighted average exercise price | $ 8.01 |
EQUITY (Details 2)
EQUITY (Details 2) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Accumulated realized and unrealized gain on available-for-sale securities, net | $ 35 | $ (121) | $ 138 |
Accumulated foreign currency translation adjustments | (6,756) | (5,243) | (327) |
Accumulated unrealized gain (loss) on derivative instruments, net | 26 | 17 | 17 |
Total other comprehensive income (loss) | $ (6,695) | $ (5,347) | $ (172) |
EQUITY (Details Textual)
EQUITY (Details Textual) ₪ / shares in Units, $ / shares in Units, ₪ in Thousands | Sep. 04, 2012 | Feb. 21, 2016USD ($)$ / shares | Nov. 30, 2014ILS (₪)₪ / sharesshares | Mar. 31, 2014USD ($)$ / sharesshares | Dec. 31, 2015USD ($)shares | Dec. 31, 2014USD ($)$ / sharesshares | Dec. 31, 2013USD ($)$ / shares | Dec. 31, 2010USD ($)$ / sharesshares | Dec. 31, 2007shares | Oct. 31, 2015shares | Aug. 12, 2015USD ($)$ / shares | Mar. 11, 2015USD ($) | Feb. 05, 2015$ / shares | Aug. 19, 2014USD ($)$ / shares | Feb. 18, 2014USD ($)$ / shares | Aug. 12, 2013USD ($)$ / shares | Feb. 14, 2013USD ($)$ / shares | Sep. 10, 2012USD ($)$ / shares | Dec. 23, 2010$ / sharesshares |
Class of Stock [Line Items] | |||||||||||||||||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | shares | 1,134,231 | ||||||||||||||||||
Class Of Warrant Exercise Price Of Warrants Or Rights | $ / shares | $ 8.26 | ||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | shares | 1,000,000 | ||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | shares | 1,167 | 1,167 | |||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value | $ / shares | $ 3.76 | $ 6 | |||||||||||||||||
Exercised - Aggregate intrinsic value | $ | $ 210,000 | $ 741,000 | $ 529,000 | ||||||||||||||||
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized, Stock Options | $ | $ 163,000 | ||||||||||||||||||
Dividends Payable, Amount Per Share | $ / shares | $ 0.095 | $ 0.081 | $ 0.095 | $ 0.12 | $ 0.09 | $ 0.12 | $ 0.10 | ||||||||||||
Issuance of Ordinary shares | $ | $ 20,290,000 | ||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 10 years | ||||||||||||||||||
Dividends Payable | $ | $ 4,204,000 | $ 3,582,000 | $ 4,195,000 | $ 4,468,000 | $ 3,390,000 | $ 4,397,000 | $ 3,661,000 | ||||||||||||
Dividend Distribution Maximum Percentage | 50.00% | ||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Weighted Average Grant Date Fair Value | ₪ / shares | ₪ 5,000 | ||||||||||||||||||
Share-based Compensation Arrangement By Share-based Payment Award Options Nonvested Grant Date Fair Value | ₪ | ₪ 5,910 | ||||||||||||||||||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Exercisable Options, Weighted Average Exercise Price | ₪ / shares | ₪ 1 | ||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 10 years | ||||||||||||||||||
Subsequent Event [Member] | |||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||
Dividends Payable, Amount Per Share | $ / shares | $ 0.09 | ||||||||||||||||||
Dividends Payable | $ | $ 3,991,000 | ||||||||||||||||||
Dividends Payable, Date to be Paid | Mar. 17, 2016 | ||||||||||||||||||
Payment One [Member] | |||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||
Dividends Payable, Date to be Paid | Oct. 17, 2012 | ||||||||||||||||||
Payment Two [Member] | |||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||
Dividends Payable, Date to be Paid | Mar. 14, 2013 | ||||||||||||||||||
Payment Three [Member] | |||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||
Dividends Payable, Date to be Paid | Sep. 3, 2013 | ||||||||||||||||||
Payment Four [Member] | |||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||
Dividends Payable, Date to be Paid | Mar. 14, 2014 | ||||||||||||||||||
Payment Five [Member] | |||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||
Dividends Payable, Date to be Paid | Sep. 4, 2014 | ||||||||||||||||||
Payment Six [Member] | |||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||
Dividends Payable, Date to be Paid | Sep. 10, 2015 | ||||||||||||||||||
Payment Seven [Member] | |||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||
Dividends Payable, Date to be Paid | Mar. 11, 2015 | ||||||||||||||||||
2007 Plan [Member] | |||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | shares | 1,500,000 | ||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Additional Shares Authorized | shares | 1,000,000 | ||||||||||||||||||
2007 Plan [Member] | Minimum [Member] | |||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years | ||||||||||||||||||
2007 Plan [Member] | Maximum [Member] | |||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 4 years | ||||||||||||||||||
Common Stock [Member] | |||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||
Issuance of shares (in shares) | shares | 6,903,141 | 6,903,141 | 3,287,616 | ||||||||||||||||
Issuance of Ordinary shares | $ | $ 54,726 | ||||||||||||||||||
Shares Issued, Price Per Share | $ / shares | $ 8.5 | $ 6.5 |
RELATED PARTIES TRANSACTIONS (D
RELATED PARTIES TRANSACTIONS (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Related Party Transaction [Line Items] | |||
Revenue from Related Parties | $ 1,638 | $ 574 | $ 353 |
Related Party Transaction, Purchases from Related Party | $ 231 | $ 245 | $ 100 |
SELECTED STATEMENTS OF INCOME80
SELECTED STATEMENTS OF INCOME DATA (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Research and Development Expense [Line Items] | |||
Total costs | $ 8,735 | $ 9,017 | $ 8,419 |
Less - capitalized software costs | (3,847) | (4,267) | (4,713) |
Research and development, net | $ 4,888 | $ 4,750 | $ 3,706 |
SELECTED STATEMENTS OF INCOME81
SELECTED STATEMENTS OF INCOME DATA (Details1) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Other Nonoperating Income Expense [Line Items] | |||
Interest income net of bank charges | $ 64 | $ (156) | $ (170) |
Interest expenses related to liabilities in connection with acquisitions | 0 | (152) | (407) |
Interest income from marketable securities, net of amortization of premium on marketable securities | 231 | 91 | 46 |
Loss arising from foreign currency translation and other | (980) | (1,569) | (153) |
Financial income(expenses), net | $ (685) | $ (1,786) | $ (684) |
COMMITMENTS AND CONTINGENCIES82
COMMITMENTS AND CONTINGENCIES (Details) $ in Thousands | Dec. 31, 2015USD ($) |
Operating Leased Assets [Line Items] | |
2,016 | $ 1,839 |
2,017 | 1,131 |
2,018 | 816 |
2019 and thereafter | 769 |
Operating Leases, Future Minimum Payments Due | $ 4,555 |
COMMITMENTS AND CONTINGENCIES83
COMMITMENTS AND CONTINGENCIES (Details Textual) ₪ in Thousands, $ in Thousands | 1 Months Ended | 12 Months Ended | |||
Aug. 31, 2009USD ($) | Aug. 31, 2009ILS (₪) | Dec. 31, 2015USD ($)ft² | Dec. 31, 2014USD ($) | Dec. 31, 2012USD ($) | |
Loss Contingencies [Line Items] | |||||
Operating Leases, Rent Expense | $ 2,045 | $ 1,736 | $ 1,911 | ||
Lease Agreement Maximum Penalties Amount | $ 86 | ||||
Loss Contingency, Damages Sought, Value | $ 13,371 | ₪ 52,000 | |||
Lease Commitment Description | amount of lease commitment for the next 6 months in Israel and India mentioned above is approximately $ 246 | ||||
Area of Land | ft² | 129,213 | ||||
Net Impact On Results Of Operation | $ 1,553 | ||||
Restricted Cash and Cash Equivalents, Current | $ 128 | ||||
Guarantor Obligations, Current Carrying Value | 110 | ||||
Customer Contracts [Member] | |||||
Loss Contingencies [Line Items] | |||||
Guarantor Obligations, Current Carrying Value | $ 116 |
NET EARNINGS PER SHARE (Details
NET EARNINGS PER SHARE (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Earnings Per Share [Line Items] | |||
Numerator for basic and diluted earnings per share - net income available to Magic shareholders | $ 16,198 | $ 15,520 | $ 15,880 |
Weighted average ordinary shares outstanding: | |||
Denominator for basic net earnings per share | 44,247,556 | 43,287,523 | 36,835,163 |
Effect of dilutive securities | 204,510 | 17,291 | 458,753 |
Denominator for diluted net earnings per share | 44,452,066 | 43,304,814 | 37,293,916 |
Basic earnings per share | $ 0.37 | $ 0.36 | $ 0.43 |
Diluted earnings per share | $ 0.36 | $ 0.36 | $ 0.43 |
SEGMENT GEOGRAPHICAL INFORMAT85
SEGMENT GEOGRAPHICAL INFORMATION AND MAJOR CUSTOMERS (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Segment Reporting Information [Line Items] | |||
Total revenues | $ 176,030 | $ 164,304 | $ 144,958 |
Expenses | 154,596 | 143,578 | 125,831 |
Segment operating income (loss) | 21,434 | 20,726 | 19,127 |
Depreciation and amortization | 9,885 | 8,594 | 8,380 |
Software Services [Member] | |||
Segment Reporting Information [Line Items] | |||
Total revenues | 67,271 | 69,861 | 67,453 |
Expenses | 52,963 | 54,464 | 53,164 |
Segment operating income (loss) | 14,308 | 15,397 | 14,289 |
Depreciation and amortization | 6,562 | 6,065 | 5,917 |
IT Professional Services [Member] | |||
Segment Reporting Information [Line Items] | |||
Total revenues | 108,759 | 94,443 | 77,505 |
Expenses | 98,384 | 84,873 | 68,846 |
Segment operating income (loss) | 10,375 | 9,570 | 8,659 |
Depreciation and amortization | 3,042 | 2,263 | 2,210 |
Unallocated Expense [Member] | |||
Segment Reporting Information [Line Items] | |||
Total revenues | 0 | 0 | 0 |
Expenses | 3,249 | 4,241 | 3,821 |
Segment operating income (loss) | (3,249) | (4,241) | (3,821) |
Depreciation and amortization | $ 281 | $ 266 | $ 253 |
SEGMENT GEOGRAPHICAL INFORMAT86
SEGMENT GEOGRAPHICAL INFORMATION AND MAJOR CUSTOMERS (Details 1) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Revenue, Major Customer [Line Items] | |||
Total revenues | $ 176,030 | $ 164,304 | $ 144,958 |
ISRAEL | |||
Revenue, Major Customer [Line Items] | |||
Total revenues | 36,401 | 29,198 | 24,006 |
Europe [Member] | |||
Revenue, Major Customer [Line Items] | |||
Total revenues | 29,084 | 37,409 | 31,386 |
UNITED STATES | |||
Revenue, Major Customer [Line Items] | |||
Total revenues | 92,577 | 82,470 | 70,872 |
JAPAN | |||
Revenue, Major Customer [Line Items] | |||
Total revenues | 10,092 | 11,299 | 11,965 |
Other [Member] | |||
Revenue, Major Customer [Line Items] | |||
Total revenues | $ 7,876 | $ 3,928 | $ 6,729 |
SEGMENT GEOGRAPHICAL INFORMAT87
SEGMENT GEOGRAPHICAL INFORMATION AND MAJOR CUSTOMERS (Details 2) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Segment Reporting Information [Line Items] | ||
Long-Lived Assets | $ 99,180 | $ 90,039 |
ISRAEL | ||
Segment Reporting Information [Line Items] | ||
Long-Lived Assets | 59,770 | 58,263 |
Europe [Member] | ||
Segment Reporting Information [Line Items] | ||
Long-Lived Assets | 1,402 | 1,523 |
UNITED STATES | ||
Segment Reporting Information [Line Items] | ||
Long-Lived Assets | 29,990 | 22,174 |
JAPAN | ||
Segment Reporting Information [Line Items] | ||
Long-Lived Assets | 4,765 | 4,786 |
Others [Member] | ||
Segment Reporting Information [Line Items] | ||
Long-Lived Assets | $ 3,253 | $ 3,291 |
SEGMENT GEOGRAPHICAL INFORMAT88
SEGMENT GEOGRAPHICAL INFORMATION AND MAJOR CUSTOMERS (Details Textual) - Sales Revenue, Net [Member] | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Segment Reporting Information [Line Items] | |||
Concentration Risk, Percentage | 11.00% | ||
Customer Concentration Risk [Member] | |||
Segment Reporting Information [Line Items] | |||
Concentration Risk, Percentage | 10.00% | 13.00% |
SUBSEQUENT EVENTS (Details Text
SUBSEQUENT EVENTS (Details Textual) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | ||||||||
Feb. 21, 2016 | Aug. 12, 2015 | Mar. 11, 2015 | Feb. 05, 2015 | Aug. 19, 2014 | Feb. 18, 2014 | Aug. 12, 2013 | Feb. 14, 2013 | Sep. 10, 2012 | |
Subsequent Event [Line Items] | |||||||||
Dividends Payable, Amount Per Share | $ 0.095 | $ 0.081 | $ 0.095 | $ 0.12 | $ 0.09 | $ 0.12 | $ 0.10 | ||
Dividends Payable | $ 4,204 | $ 3,582 | $ 4,195 | $ 4,468 | $ 3,390 | $ 4,397 | $ 3,661 | ||
Subsequent Event [Member] | |||||||||
Subsequent Event [Line Items] | |||||||||
Dividends Payable, Amount Per Share | $ 0.09 | ||||||||
Dividends Payable | $ 3,991 | ||||||||
Dividends Payable, Date To Be Paid | Mar. 17, 2016 |