on Track Innovations (OTIVF) 10-K 25 Mar 19 2018 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($)	12 Months Ended
	Dec. 31, 2018	Mar. 04, 2019	Jun. 30, 2018
Document and Entity Information [Abstract]
Entity Registrant Name	ON TRACK INNOVATIONS LTD
Entity Central Index Key	0001021604
Trading Symbol	OTIV
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Document Type	10-K
Document Period End Date	Dec. 31, 2018
Document Fiscal Period Focus	FY
Document Fiscal Year Focus	2018
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Ex Transition Period	false
Entity Shell Company	false
Entity Public Float			$ 53,689,616
Entity Common Stock, Shares Outstanding		41,294,377

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Current assets
Cash and cash equivalents	$ 4,827	$ 6,742
Short-term investments	1,078	3,331
Trade receivables (net of allowance for doubtful accounts of $555 and $568 as of December 31, 2018 and December 31, 2017, respectively)	4,530	5,827
Other receivables and prepaid expenses	2,060	3,325
Inventories	3,527	3,009
Total current assets	16,022	22,234
Long-term restricted deposit for employees benefit	451	498
Severance pay deposits	375	405
Property, plant and equipment, net	5,033	5,859
Intangible assets, net	241	336
Total Assets	22,122	29,332
Current Liabilities
Short-term bank credit and current maturities of long-term bank loans	260	4,181
Trade payables	4,712	7,171
Other current liabilities	3,622	3,276
Total current liabilities	8,594	14,628
Long-Term Liabilities
Long-term loans, net of current maturities	39	814
Accrued severance pay	853	939
Deferred tax liability	445	500
Total long-term liabilities	1,337	2,253
Total Liabilities	9,931	16,881
Commitments and Contingencies
Shareholders' Equity
Ordinary shares of NIS 0.1 par value: Authorized - 50,000,000 shares as of December 31, 2018 and 2017; issued: 42,473,076 and 42,353,077 shares as of December 31, 2018 and 2017, respectively; outstanding: 41,294,377 and 41,174,378 shares as of December 31, 2018 and 2017, respectively	1,068	1,064
Additional paid-in capital	225,022	224,758
Treasury shares at cost - 1,178,699 shares as of December 31, 2018 and 2017	(2,000)	(2,000)
Accumulated other comprehensive loss	(956)	(691)
Accumulated deficit	(210,943)	(210,680)
Total Equity	12,191	12,451
Total Liabilities and Equity	$ 22,122	$ 29,332

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) $ in Thousands	Dec. 31, 2018USD ($)shares	Dec. 31, 2018₪ / shares	Dec. 31, 2017USD ($)shares	Dec. 31, 2017₪ / shares
Statement of Financial Position [Abstract]
Allowance for doubtful accounts, net | $	$ 555		$ 568
Ordinary shares, par value | ₪ / shares		₪ 0.1		₪ 0.1
Ordinary shares, shares authorized	50,000,000		50,000,000
Ordinary shares, shares issued	42,473,076		42,353,077
Ordinary shares, shares outstanding	41,294,377		41,174,378
Treasury shares ,at cost	1,178,699		1,178,699

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017		Dec. 31, 2016
Revenues
Sales	$ 16,725	$ 16,252	[1]	$ 13,357	[1]
Licensing and transaction fees	5,153	4,621	[1]	5,395	[1]
Total revenues	21,878	20,873	[1]	18,752	[1]
Cost of revenues
Cost of sales	10,710	10,456	[1]	9,276	[1]
Cost of licensing			[1]	250	[1]
Total cost of revenues	10,710	10,456	[1]	9,526	[1]
Gross profit	11,168	10,417	[1]	9,226	[1]
Operating expenses
Research and development	3,175	3,263	[1]	2,768	[1]
Selling and marketing	5,940	5,633	[1]	5,516	[1]
General and administrative	3,971	3,620	[1]	3,482	[1]
Patent litigation and maintenance	10	31	[1]	48	[1]
Other expenses, net	33	52	[1]	191	[1]
Total operating expenses	13,129	12,599	[1]	12,005	[1]
Operating loss from continuing operations	(1,961)	(2,182)	[1]	(2,779)	[1]
Financial expenses, net	(228)	(341)	[1]	(396)	[1]
Loss from continuing operations before taxes on income	(2,189)	(2,523)	[1]	(3,175)	[1]
Income tax benefit, net	301	138	[1]	131	[1]
Net loss from continuing operations	(1,888)	(2,385)	[1],[2]	(3,044)	[1],[2]
Net income from discontinued operations	1,625	1,787	[1]	2,184	[1]
Net loss	(263)	(598)		(860)
Net loss attributable to non-controlling interest			[1]	32	[1]
Net loss attributable to shareholders	$ (263)	$ (598)	[1]	$ (828)	[1]
Basic and diluted net (loss) income attributable to shareholders per ordinary share
From continuing operations	$ (0.05)	$ (0.06)	[1]	$ (0.07)	[1]
From discontinued operations	0.04	0.05	[1]	0.05	[1]
Total	$ (0.01)	$ (0.01)	[1]	$ (0.02)	[1]
Weighted average number of ordinary shares used in computing basic and diluted net (loss) income per ordinary share	41,268,984	41,109,875	[1]	40,914,558	[1]
[1]	Reclassified to conform with the current period presentation. See Note 1B(3).
[2]	Reclassified to conform with the current period presentation, see Notes 1B(3) and 2W(1).

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Loss - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Total comprehensive loss:
Net loss	$ (263)	$ (598)	$ (860)
Foreign currency translation adjustments	(265)	545	(152)
Total comprehensive loss	(528)	(53)	(1,012)
Comprehensive loss attributable to the non-controlling interest			32
Total comprehensive loss attributable to shareholders	$ (528)	$ (53)	$ (980)

Consolidated Statements of Chan

Consolidated Statements of Changes in Equity - USD ($) $ in Thousands		Total	Share capital		Additional paid-in capital	Treasury Shares	Accumulated other comprehensive (loss) income	Accumulated deficit	Non-controlling interest
Balance at Dec. 31, 2015		$ 12,823	$ 1,055		$ 225,925	$ (2,000)	$ (1,084)	$ (209,254)	$ (1,819)
Balance, Shares at Dec. 31, 2015			42,014,673
Changes during the year ended
Stock-based compensation		239		[1]	239
Stock-based compensation, Shares	[2]		15,000
Increase in the ownership rate in subsidiaries, see Note 10D		(69)			(1,920)				1,851
Exercise of options and warrants		177	$ 6		171
Exercise of options and warrants, Shares			213,402
Foreign currency translation adjustments		(152)					(152)
Net loss		(860)						(828)	(32)
Balance at Dec. 31, 2016		12,158	$ 1,061		224,415	(2,000)	(1,236)	(210,082)
Balance, Shares at Dec. 31, 2016			42,243,075
Changes during the year ended
Stock-based compensation		254	$ 1		253
Stock-based compensation, Shares	[2]		45,000
Exercise of options		92	$ 2		90
Exercise of options, Shares			65,002
Foreign currency translation adjustments		545					545
Net loss		(598)						(598)
Balance at Dec. 31, 2017		12,451	$ 1,064		224,758	(2,000)	(691)	(210,680)
Balance, Shares at Dec. 31, 2017			42,353,077
Changes during the year ended
Stock-based compensation		234	$ 3		231
Stock-based compensation, Shares	[2]		80,000
Exercise of options		34	$ 1		33
Exercise of options, Shares			39,999
Foreign currency translation adjustments		(265)					(265)
Net loss		(263)						(263)
Balance at Dec. 31, 2018		$ 12,191	$ 1,068		$ 225,022	$ (2,000)	$ (956)	$ (210,943)
Balance, Shares at Dec. 31, 2018			42,473,076
[1]	Less than $1.
[2]	See Note 10A.

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017		Dec. 31, 2016	[1]
Cash flows from continuing operating activities
Net loss from continuing operations	$ (1,888)	$ (2,385)	[1],[2]	$ (3,044)	[2]
Adjustments required to reconcile net loss to net cash used in continuing operating activities:
Stock-based compensation related to options and shares issued to employees and others	234	254	[1]	239
(Gain) loss on sale of property and equipment	(37)	52	[1]	83
Accrued interest and linkage differences, net	19	(6)	[1]	56
Depreciation and amortization	1,328	1,172	[1]	1,172
Deferred tax benefits, net	(477)	(165)	[1]	(155)
Changes in operating assets and liabilities:
Accrued severance pay, net	(57)	45	[1]	(183)
Decrease (increase) in trade receivables, net	1,118	(124)	[1]	(3,224)
Decrease (increase) in other receivables and prepaid expenses	350	(838)	[1]	349
(Increase) decrease in inventories	(573)	110	[1]	(106)
(Decrease) increase in trade payables	(2,089)	(644)	[1]	1,631
(Decrease) increase in other current liabilities	(110)	(597)	[1]	288
Net cash used in continuing operating activities	(2,182)	(3,126)	[1]	(2,894)
Cash flows from continuing investing activities
Purchase of property and equipment	(636)	(293)	[1]	(311)
Proceeds from sale of property, plant and equipment	68	17	[1]	1,779
Change in short-term investments, net	1,495	1,773	[1]	(822)
Investment in capitalized certification costs	(120)	(239)	[1]	(188)
Investment in restricted deposit for employee benefits			[1]	(44)
Proceeds from restricted deposit for employee benefits	8	44	[1]	142
Net cash provided by continuing investing activities	815	1,302	[1]	556
Cash flows from continuing financing activities
(Decrease) increase in short-term bank credit, net	(3,554)	(335)	[1]	1,018
Proceeds from long-term bank loans			[1]	27
Repayment of long-term bank loans	(1,064)	(632)	[1]	(1,581)
Proceeds from exercise of options and warrants	34	92	[1]	177
Net cash used in continuing financing activities	(4,584)	(875)	[1]	(359)
Cash flows from discontinued operations
Net cash provided by discontinued operating activities	750	2,311	[1]	469
Net cash provided by discontinued investing activities	2,750		[1]	2,292
Total net cash provided by discontinued operations	3,500	2,311	[1]	2,761
Effect of exchange rate changes on cash and cash equivalents	(243)	687	[1]	(268)
(Decrease) increase in cash, cash equivalents and restricted cash	(2,694)	299	[1]	(204)
Cash, cash equivalents and restricted cash - beginning of the year	7,799	7,500	[1]	7,704
Cash, cash equivalents and restricted cash at the end of the year	5,105	7,799		7,500
Cash paid during the period for:
Interest paid	121	176	[1]	220
Income taxes paid	$ 89	$ 61	[1]	$ 27
[1]	Reclassified to conform with the current period presentation, see Notes 1B(3) and 2W(1).
[2]	Reclassified to conform with the current period presentation. See Note 1B(3).

General

General	12 Months Ended
	Dec. 31, 2018
General [Abstract]
General	Note 1 - General A. Introduction On Track Innovations Ltd. (the “Company”) was founded in 1990, in Israel. The Company and its subsidiaries (together, the “Group”) are principally engaged in the field of design and development of cashless payment solutions. The Company’s ordinary shares are listed for trading on the Nasdaq Capital Market (formerly listed on the Nasdaq Global Market until April 13, 2016). At December 31, 2018, the Company operates in two operating segments: (a) Retail and Mass Transit Ticketing, and (b) Petroleum. See Note 14. During 2016 and 2018, the Company sold its parking operating segment and its medical smart cards operation, respectively - see Note 1B. As to the Company’s major customers, see Note 15. Certain definitions $ - United States Dollars NIS - New Israeli Shekel B. Divestiture of operations 1. In December 2013, the Company completed the sale of certain assets, subsidiaries and intellectual property (“IP”) relating to its Smart ID division, for a total purchase price of $10,000 in cash and an additional $12,500 subject to performance-based milestones. Accordingly, the results and the cash flows of this operation for all reporting periods are presented in the statements of operations and in the statements of cash flows, respectively, as discontinued operations separately from continuing operations. On April 20, 2016, the purchaser of the Smart ID division, SuperCom Ltd. (“SuperCom”), and the Company entered into a settlement agreement resolving certain litigation between SuperCom and the Company pursuant to which SuperCom paid the Company $2,050 and agreed to pay the Company up to $1,500 in accordance with and subject to a certain earn-out mechanism. In November 2017, the Company commenced an arbitration procedure with SuperCom, in which the Company claims that additional earn-out payments have not been paid to the Company. SuperCom raised issues against the Company during the arbitration for material damages. The evidence in the arbitration were heard on March 6, 2018, and an arbitration decision was issued on December 24, 2018 in the Company’s favor and denied SuperCom's claims. On February 7, 2019, SuperCom filed an application to the District Court in Tel Aviv to cancel the said arbitration decision and the Company submitted a response to the application on March 20, 2019. As mentioned in Note 2U, the Company records the earn-out payments only when the consideration is determined to be realizable. For details in connection with contingent considerations recorded and received during the year ended December 31, 2016, see Note 13. 2. In September 2016, the Company completed the sale of certain assets and IP related to its former parking segment to Atrinet Ltd. and its affiliated entities for a non-material amount. The Company has determined that the sale of the parking business qualifies as a discontinued operation. Accordingly, the results and the cash flows of these operations for all reporting periods are presented in the statements of operations and in the statements of cash flows, respectively, as discontinued operations separately from continuing operations (see also Note 13). 3. In December 2018, the Company completed the sale of its medical smart cards operation (“Medismart”) (formerly part of the Company’s “Other segment”) to Smart Applications International Limited (“Smart”) for a total price of $2,750. The Company has determined that the sale of the Medismart business qualifies as a discontinued operation. Accordingly, the results and the cash flows of this operation for all reporting periods are presented in the statements of operations and in the statements of cash flows, respectively, as discontinued operations separately from continuing operations (see also Note 13). All prior periods’ information has been reclassified to conform with the current period’s presentation.

Significant Accounting Policies

Significant Accounting Policies	12 Months Ended
	Dec. 31, 2018
Significant Accounting Policies [Abstract]
Significant Accounting Policies	Note 2 - Significant Accounting Policies The consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”). The significant accounting policies followed in the preparation of the financial statements, applied on a consistent basis, except as for the mentioned in Note 2W, are as follows: A. Financial statements in U.S. dollars Substantially all of the Company’s and certain of its subsidiaries’ revenues are in U.S. dollars. A significant portion of purchases of materials and components and most marketing costs are denominated in U.S. dollars. Therefore, both the functional and reporting currencies of the Company and certain of its subsidiaries are the U.S. dollar. Transactions and balances denominated in U.S. dollars are presented at their original amounts. For entities with a U.S. dollar functional currency, transactions and balances in other currencies are remeasured into U.S. dollars in accordance with the principles set forth in Accounting Standards Codification (“ASC”) Topic 830, Foreign Currency Matters The functional currency of the Company’s subsidiary in South Africa changed in October 2017 from the South African Rand to U.S. dollar. This change resulted from a change in relevant circumstances whereby sales transactions denominated in U.S. dollars became the primary source of sales revenue. The functional currency of the Polish subsidiary is its local currency. The financial statements of companies with a functional currency that is not the U.S. dollar are translated into U.S. dollars using the exchange rate at the balance sheet date for assets and liabilities, and weighted average exchange rates for revenues and expenses (which approximates the translation of each transaction). Translation adjustments resulting from the process of the aforesaid translation are included as a separate component of equity (accumulated other comprehensive gain or loss). B. Principles of consolidation The consolidated financial statements include the financial statements of the Company, its wholly-owned subsidiaries and its majority owned subsidiaries. Intercompany transactions and balances have been eliminated in consolidation. C. Estimates and assumptions The preparation of the consolidated financial statements requires management of the Company to make a number of estimates and assumptions relating to the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the year. Such estimates include the valuation of useful lives of long-lived assets, revenue recognition, valuation of accounts receivable and allowance for doubtful accounts, valuation of inventories, legal contingencies, the assumptions used in the calculation of stock-based compensation, income taxes and other contingencies. Estimates and assumptions are periodically reviewed by management and the effects of any material revisions are reflected in the period that they are determined to be necessary. Actual results, however, may vary from these estimates. D. Cash equivalents Cash equivalents are short-term highly liquid investments and debt instruments that are readily convertible to cash with original maturities of three months or less from the date of purchase. Bank deposits with original maturities of more than three months, or specific deposits that are intended to be held as bank deposits for more than three months, and which will mature within one year, are classified as short-term investments. E. Trade receivables Trade receivables are recorded at the invoiced amount and do not bear interest. Collections of trade receivables are included in net cash provided by operating activities in the consolidated statements of cash flows. The consolidated financial statements include an allowance for loss from receivables for which collection is in doubt. In determining the adequacy of the allowance consideration is given to each trade receivable historical experience, aging of the receivable, adjusted to take into account current market conditions and information available about specific debtors, including their financial condition, current payment patterns, the volume of their operations, and evaluation of the security received from them or their guarantors. F. Short-term investments Short-term investments consist of: (1) Bank deposits whose maturities are longer than three months from the date of purchase, but not longer than one year from the balance sheet date. (2) Bank deposits whose maturities are less than three months from the date of purchase, but are intended to be held as bank deposits for more than three months. (3) Restricted bank deposits whose maturities are not longer than one year from the balance sheet date (for further details, see Note 8C). G. Inventories Inventories are stated at the lower of cost or net realizable value. Cost is determined by calculating raw materials, work in process and finished products on a “moving average” basis. Net realizable value is defined as the “estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation.” Inventory write-offs are provided to cover risks arising from slow moving items or technological obsolescence. Such write-offs, which were not material for the reported years, have been included in cost of revenues. H. Property, plant and equipment, net Property, plant and equipment are stated at cost less accumulated depreciation. Depreciation is calculated using the straight-line method over the estimated useful lives of the assets as follows: Years Buildings 25 Computers, software and manufacturing equipment 3-5 Office furniture and equipment 5-16 (mainly - 10) I. Impairment of long-lived assets Long-lived assets, such as property, plant, and equipment, and intangible assets subject to amortization, are evaluated for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If circumstances require a long-lived asset to be tested for possible impairment, the Company first compares undiscounted cash flows expected to be generated by an asset to the carrying value of the asset. If the carrying value of the long-lived asset is not recoverable on an undiscounted cash flow basis, impairment is recognized to the extent that the carrying value exceeds its fair value. Fair value is determined through various valuation techniques including discounted cash flow models, quoted market values and third-party independent appraisals, as considered necessary. J. Revenue recognition Accounting policy applicable before January 1, 2018: The Group generates revenues from product sales manufactured based on the Company’s technology. In addition, the Company generates revenues from the technology it developed through transaction fee arrangements, licensing agreements and patent litigation settlements, as part of its patent activity. Revenues are also generated from non-recurring engineering, customer services and technical support. Revenues from product sales and non-recurring engineering are recognized when delivery has occurred provided there is persuasive evidence of an agreement, the fee is fixed or determinable, collection of the related receivable is probable and no further obligations exist. In the case of non-recurring engineering, revenue is recognized upon completion of testing and approval of the customization of the product by the customer, provided that no further obligation exists. Revenues are recognized net of value added tax. License and transaction fees are recognized as earned based on actual usage. Usage is determined by receiving confirmation from the users. Patent litigation revenues are recognized upon final settlement of the litigation (see Note 14). Revenues relating to customer services and technical support are recognized as the services are rendered ratably over the term of the related contract. Licensing and transaction fees are recognized based on the volume of transactions or monthly licensing fees from systems that contain the Company’s products and usually bear no cost to the Company. The cost to the Company of warranty that the product will perform according to certain specifications and that the Company will repair or replace the product if it ceases to work properly, is insignificant and is treated according to accounting guidance for contingencies. Regarding the accounting policy applicable after January 1, 2018 and the first-time adoption of ASC 606, Revenues from Contracts with Customers K. Research, development costs and certification costs Research and development costs, which consist mainly of labor costs, materials and subcontractors, are charged to operations as incurred. According to ASC Topic 350, “ Intangibles - Goodwill and Other L. Stock-based compensation The Company measures and recognizes compensation expense for all stock-based payment awards made to employees and directors based on estimated grant date fair values. The estimated fair value of awards is charged to income on a straight-line basis over the requisite service period, which is generally the vesting period. ASC Topic 718, Compensation – Stock Compensation The Company elected to recognize compensation cost for awards with only service conditions that have a graded vesting schedule using the straight-line method. M. Basic and diluted net loss per share Basic and diluted net loss per ordinary share is computed based on the weighted average number of ordinary shares outstanding during each year. Shares issuable for little or no cash consideration, are considered outstanding ordinary shares and included in the computation of basic net loss per ordinary share as of the date that all necessary conditions have been satisfied. In years that discontinued operations are presented, the Company uses income from continuing operations (attributable to the parent entity) as the benchmark to determine whether potential common shares are dilutive or antidilutive. Therefore, when the Company records a loss from continuing operations and the issuance of option shares would be antidilutive due to the loss, but the Company has net income from discontinued operations, potential shares are excluded from the diluted calculation even though the effect on net income from discontinued operations would be dilutive. Stock options and warrants in the amounts of 1,501,000, 1,535,000 and 1,644,836 outstanding as of the years ended December 31, 2018, 2017 and 2016, respectively, have been excluded from the calculation of the diluted net loss per ordinary share because all such securities have an anti-dilutive effect for all periods presented. N. Fair value of financial instruments The Company’s financial instruments consist mainly of cash and cash equivalents, short-term interest bearing investments, accounts receivable, restricted deposits for employee benefits, accounts payable and short-term and long-term loans. Fair value for the measurement of financial assets and liabilities is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. 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 liability. The Company utilizes a valuation hierarchy for disclosure of the inputs for fair value measurement. This hierarchy prioritizes the inputs into three broad levels as follows: ● Level 1 Inputs: Unadjusted quoted prices in active markets for identical assets or liabilities accessible to the reporting entity at the measurement date. ● Level 2 Inputs: Other than quoted prices included in Level 1 inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the asset or liability. ● Level 3 Inputs: Unobservable inputs for the asset or liability used to measure fair value to the extent that observable inputs are not available, thereby allowing for situations in which there is little, if any, market activity for the asset or liability at measurement date. By distinguishing between inputs that are observable in the market place, and therefore more objective, and those that are unobservable and therefore more subjective, the hierarchy is designed to indicate the relative reliability of the fair value measurements. A financial asset or liability’s classification within the hierarchy is determined based on the lowest level input that is significant to the fair value measurement. The Company, in estimating fair value for financial instruments, determined that the carrying amounts of cash and cash equivalents, trade receivables, short-term bank credit and trade payables are equivalent to, or approximate their fair value due to the short-term maturity of these instruments. The carrying amounts of variable interest rate long-term loans are equivalent or approximate to their fair value as they bear interest at approximate market rates. O. Income tax The Company accounts for taxes on income in accordance with ASC Topic 740, Income Taxes The Company recognizes the effect of income tax positions only if those positions are more likely than not to be sustained. Recognized income tax positions are measured at the largest amount that is greater than 50 percent likely of being realized. The Company accounts for interest and penalties as a component of income tax expense. P. Non-controlling interest The Company implements ASC Topic 810, Consolidation If a change in ownership of a consolidated subsidiary does not result in loss of control, or results in an increase of ownership interests, the Company accounts for such a change as an equity transaction. Therefore, no gain or loss is recognized in consolidated net earnings or comprehensive income. The carrying amount of the non-controlling interest is adjusted to reflect the change in its ownership interest in the subsidiary. Any difference between the fair value of the consideration received or paid and the amount by which the non-controlling interest is adjusted is recognized in equity attributable to the Company. Q. Severance pay The Company’s liability for severance pay for some of its Israeli employees is calculated pursuant to Israeli Severance Pay Law, 1963 (the “Israeli Severance Pay Law”) based on the most recent salary of the employee multiplied by the number of years of employment, as of the balance sheet date. Those employees are entitled to one month’s salary for each year of employment or a portion thereof. Certain senior executives were entitled to receive additional severance pay. The Company records the liability as if it were payable at each balance sheet date on an undiscounted basis. The liability is classified based on the expected date of settlement, and therefore is usually classified as a long-term liability, unless the cessation of the employees is expected during the upcoming year. The Company’s liability for those Israeli employees is partially provided for by monthly deposits for insurance policies and the remainder by an accrual. The value of these policies is recorded as an asset in the Company’s balance sheet. The deposited funds include profits and losses accumulated up to the balance sheet date. The deposited funds may be withdrawn only upon the fulfillment of the obligation pursuant to the Israeli Severance Pay Law or labor agreements. The value of the deposited funds is based on the cash redemption value of these policies. In addition, the Company has deposited certain amounts with a trustee, to compensate for any severance pay liability that is not covered by other funds. These deposits are restricted and may be withdrawn only for payment of severance pay liabilities. The severance pay funds and the restricted deposits for employee benefits are classified based on the classification of the corresponding liability. In respect of other Israeli employees, the Company acts pursuant to the general approval of the Israeli Ministry of Labor and Welfare, pursuant to the terms of Section 14 of the Israeli Severance Pay Law, according to which the current deposits with the pension fund and/or with the insurance company exempt the Company from any additional obligation to these employees for whom the said depository payments are made. These deposits are accounted as defined contribution payments. Severance pay expenses for the years ended December 31, 2018, 2017 and 2016 amounted to $212, $242 and $227, respectively. Defined contribution plan expenses were $232, $231 and $182 in the years ended December 31, 2018, 2017 and 2016, respectively. R. Advertising expenses Advertising expenses are charged to the statements of operations as incurred. Advertising expenses for the years ended December 31, 2018, 2017 and 2016 amounted to $1,367, $1,254 and $1,142, respectively. S. Concentrations of credit or business risk Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash equivalents, bank deposits and trade receivables. Cash equivalents are invested mainly in U.S. dollars with major banks in Israel and Europe. Management believes that the financial institutions that hold the Group’s investments are financially sound and, accordingly, minimal credit risk exists with respect to these investments. Most of the Company’s trade receivables are derived from sales to large and financially secure organizations. In determining the adequacy of the allowance, management bases its opinion, inter alia, on the estimated risks, current market conditions and in reliance on available information with respect to the debtor’s financial position. As for major customers, see Note 15. The Company acquires certain components of its products from single source manufacturers. The activity in the allowance for doubtful accounts for the years ended December 31, 2018, 2017 and 2016 is as follows: 2018 2017 2016 Allowance for doubtful accounts at beginning of year $ 568 $ 720 $ 778 Additions charged to allowance for doubtful accounts 52 73 147 Write-downs charged against the allowance (45 ) (225 ) (205 ) Other (20 ) - - Allowance for doubtful accounts at end of year $ 555 $ 568 $ 720 T. Commitments and contingencies Liabilities for loss contingencies arising from claims, assessments, litigations, fines and penalties and other sources are recognized when it is probable that a liability has been incurred and the amount of the assessment can be reasonably estimated. Loss recovery related to recovery of a loss when the recovery is less than or equal to the amount of the loss recognized in the financial statements is recognized if collection is probable and estimable. Gain contingencies are recognized only when resolved. U. Business divestures As described in Note 1B, the Company has sold certain operations. Upon reaching a definitive agreement with an acquirer, the Company recognizes the consideration received from the divesture, less all assets and liabilities sold, as a gain or loss. Discontinued operations Upon divesture of a business, the Company classifies such business as a discontinued operation, if the divested business represents a strategic shift that has (or will have) a major effect on an entity’s operations and financial results. For disposals other than by sale such as abandonment, the results of operations of a business would not be recorded as a discontinued operation until the period in which the business is actually abandoned. The SmartID Division divesture, the parking business divesture and the Medismart divesture qualify as discontinued operations and therefore have been presented as such. The results of businesses that have qualified as discontinued operations have been presented as such for all reporting periods. Results of discontinued operations include all revenues and expenses directly derived from such businesses; general corporate overhead is not allocated to discontinued operations. Any loss or gain that arose from the divesture of a business that qualifies as discontinued operations has been included within the results of the discontinued operations. The Company also presents cash flows from discontinued operations separately from cash flows of continuing operations. Contingent consideration The Company’s sale arrangements consist of contingent consideration based on the divested businesses’ future sales or profits. The Company records the contingent consideration portion of the arrangement when the consideration is determined to be realizable. V. Patent litigation and maintenance expenses Patent litigation and maintenance expenses, which consist mainly of salaries and consultants’ fees, are expensed as incurred. The Company presents such expenses (excluding expenses associated directly with revenues from a litigation settlement agreement that contains a license agreement) as a separate item within its operating expenses because it believes that such presentation improves the understandability of the statement of operations. Expenses associated directly with revenues from a litigation settlement agreement that contains a license agreement are presented within ‘cost of licensing’. W. Recently Adopted Accounting Pronouncements 1. Restricted Cash and Cash Equivalents in Statement of Cash Flows In December 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash The following table provides a reconciliation of cash, cash equivalents, and restricted cash and cash equivalents reported within the accompanying consolidated balance sheets that sum to the total of the same such amounts presented in the accompanying consolidated statements of cash flows: December 31 2018 2017 2016 2015 Cash and cash equivalents $ 4,827 $ 6,742 $ 5,952 $ 5,450 Restricted cash and cash equivalents (*) 278 1,057 1,548 2,254 Total cash, cash equivalents, and restricted cash and cash equivalents presented in the statements of cash flows $ 5,105 $ 7,799 $ 7,500 $ 7,704 (*) The restricted cash and cash equivalents are included in short-term investments in the accompanying consolidated balance sheets. 2. Revenue Recognition In May 2014, the FASB issued ASC Topic 606, Revenue from Contracts with Customers The Company has adopted Topic 606 commencing from January 1, 2018 on a modified retrospective basis. Results for reporting periods beginning after January 1, 2018 are presented under Topic 606, while prior period amounts are not adjusted and continue to be reported in accordance with historic accounting under Topic 605 (as described in Note 2 J). The Company utilized a comprehensive approach in order to assess the impact of the guidance on its contract portfolio by reviewing its current accounting policies and practices to identify potential differences that would result from applying the new requirements, including evaluation of the performance obligations and variable consideration. The Company did not have a cumulative adjustment to retained earnings or an impact on its revenue recognition policies or on its consolidated financial statements as a result of the adoption of the new standard. Topic 606 requires entities to follow a five step process: (1) Identify the contract(s) with a customer, (2) Identify the performance obligations in the contract, (3) Determine the transaction price, (4) Allocate the transaction price to the performance obligations in the contract, and (5) Recognize revenue when (or as) the entity satisfies a performance obligation. The Company accounts for a contract with customer when it has approval and commitment from both parties, the rights of the parties and payment terms are identified, the contract has commercial substance and collectability of consideration is probable. For each contract, the Company exercises judgement to identify separate performance obligations and to evaluate, at the inception of the contract, if each distinct performance obligation within the contract is satisfied at a point in time or over time. Revenue is measured based on a consideration specified in a contract with a customer, and excludes any sales incentives and amounts collected on behalf of third parties. In certain arrangements with variable consideration, the Company exercises judgement in order to estimate the amount of variable consideration to be included in the transaction price. In these arrangements, revenue is recognized over time as it is mainly attributed to ongoing services provided. An insignificant amount which is related to the product is not recognized upon delivery since it is not probable that a significant reversal in the amount of cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is subsequently resolved. Revenue is allocated among performance obligations in a manner that reflects the consideration that the Company expects to be entitled for the promised goods or services based on standalone selling prices (SSP). SSP are estimated for each distinct performance obligation and judgment may be required in their determination. The best evidence of SSP is the observable price of a product or service when the Company sells the goods separately in similar circumstances and to similar customers. The Company recognizes revenue when it satisfies a performance obligation by transferring control over a product or service to a customer. For an analysis of the performance obligations and the timing of revenue recognition, for each type of the contract, see also Note 9. The new standard requires the Company to provide more robust disclosures than required by previous guidance. Such disclosures have been provided in Note 9. In addition, when the Company has an unconditional right to receive proceeds before the performance obligation was fulfilled, it is now required to record receivables against contract liabilities. X. Recent accounting pronouncements 1. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) 2. In June 2016, the FASB issued ASU 2016-13, Financial Instruments — Credit Losses (Topic 326) Y. Immaterial error correction The consolidated balance Sheet as of December 31, 2017 includes the impact of an immaterial correction that is reflected by increasing other receivables and prepaid expenses and other current liabilities by $855 in order to reflect the Company’s exposure to a claim and the right to receive full indemnity for this exposure (see Note 8E1). In addition, the Company reclassified supplier advance that was previously presented net of the trade payables in the amount of $907 to other receivables and prepaid expenses. These corrections had no impact on the previously reported amounts of total equity, consolidated statements of operations, consolidated statements of comprehensive loss, consolidated statements of changes in equity and consolidated cash flows from operating, investing or financing activities. The Company evaluated these corrections and determined, based on quantitative and qualitative factors, that the corrections made were not material to the consolidated financial statements taken as a whole for any previously filed consolidated financial statement.

Short-Term Investments

Short-Term Investments	12 Months Ended
	Dec. 31, 2018
Short-Term Investments [Abstract]
Short-term investments	Note 3 - Short-term investments: Balances at December 31, 2018 and 2017 consist of bank deposits. The bank deposits bear weighted average annual interest of 2.29% as of December 31, 2018 (As of December 31, 2017 – 0.7%). See Note 8C as to restrictions on certain deposits.

Other Receivables and Prepaid E

Other Receivables and Prepaid Expenses	12 Months Ended
	Dec. 31, 2018
Other Receivables and Prepaid Expenses [Abstract]
Other Receivables and Prepaid Expenses	Note 4 - Other Receivables and Prepaid Expenses December 31 2018 2017 Government institutions $ 387 $ 263 Prepaid expenses 226 381 Receivables under contractual obligations to be transferred to others (*) 349 446 Suppliers advance 932 (**) 1,029 Other receivables 166 (**) 1,206 $ 2,060 $ 3,325 (*) The Company’s subsidiary in Poland is required to collect certain fees that are to be transferred to local authorities. (**) See Note 2Y.

Property, Plant and Equipment,

Property, Plant and Equipment, Net	12 Months Ended
	Dec. 31, 2018
Property, Plant and Equipment, Net [Abstract]
Property, Plant and Equipment, Net	Note 5 - Property, Plant and Equipment, Net A. Consist of: December 31 2018 2017 Cost Buildings $ 966 $ 917 Computers, software and manufacturing equipment 16,052 16,279 Office furniture and equipment 153 172 Motor vehicles 195 201 Total cost 17,366 17,569 Total accumulated depreciation 12,333 11,710 $ 5,033 $ 5,859 B. As to liens - See Note 8C. C. Depreciation expenses amounted to $1,113, $991 and $1,082 for the years ended December 31, 2018, 2017 and 2016, respectively.

Other Current Liabilities

Other Current Liabilities	12 Months Ended
	Dec. 31, 2018
Other Current Liabilities [Abstract]
Other Current Liabilities	Note 6 - Other Current Liabilities December 31 2018 2017 Employees and related expenses $ 1,042 $ 1,073 Accrued expenses 921 1,054 Customer advances 141 178 Other current liabilities * 1,518 * 971 $ 3,622 $ 3,276 * See Notes 8E(1) and 2Y.

Bank Loans

Bank Loans	12 Months Ended
	Dec. 31, 2018
Bank Loans [Abstract]
Bank Loans	Note 7 - Bank Loans A. Composition of long-term loans: December 31 2018 2017 Long-term loans (*) $ 299 $ 1,400 Less - current maturities 260 586 $ 39 $ 814 (*) As of December 31, 2018, the bank loans are denominated in the following currencies: Polish Zloty ($252; matures in 2019) and South African Rand ($47; matures in 2019-2020). As of December 31, 2018, these loans bear a weighted average interest rate of 4.66% per annum. B. Repayment dates of long-term loans subsequent to December 31, 2018: 2019 $ 260 2020 39 $ 299 C. Composition of short-term loans, bank credit and current maturities of long-term loans: December 31 December 31 2017 2018 2017 % Interest rate In U.S. Dollars 4.50 $ - $ 1,669 In Polish Zloty 3.63 - 1,147 In NIS 3.60 - 779 - 3,595 Current maturities of long-term loans 260 586 $ 260 $ 4,181 The weighted average interest rates of the short-term bank credit for the years ended December 31, 2018 and 2017 were 3.82% and 4.03%, respectively, per annum. D. Liens for short-term and long-term loans - see Note 8C. E. As of December 31, 2018, the Group has authorized unused credit lines of $2,565.

Commitments and Contingencies

Commitments and Contingencies	12 Months Ended
	Dec. 31, 2018
Commitments and Contingencies [Abstract]
Commitments and Contingencies	Note 8 - Commitments and Contingencies A. Commitments and Contingencies: The Company has entered into several research and development agreements, pursuant to which the Company received grants from the Government of Israel, and are therefore obligated to pay royalties to the Government of Israel at a rate of 3%-3.5% of its sales up to the amounts granted (linked to the U.S. dollar with annual interest at LIBOR as of the date of approval, for programs approved from January 1, 1999 and thereafter). The total amount of grants received as of December 31, 2018, net of royalties paid, was approximately $3,800 (including accrued interest). No grants from the Government of Israel were received during the three-year period ended December 31, 2018. During the year ended December 31, 2018, there were no royalty expenses. Royalty expenses amounted to $111 and $423 for the years ended December 31, 2017 and 2016, respectively, and were charged to cost of revenues. B. Leases The Group operates from leased facilities in the United States, Israel, Poland and South Africa, leased for periods expiring in years 2019 through 2023. Minimum future rentals of premises under non-cancelable operating lease agreements at rates in effect as of December 31, 2018 are as follows: 2019 $ 284 2020 184 2021 170 2022 175 2023 46 $ 859 Rent expenses amounted to $363, $399 and $313 for the years ended December 31, 2018, 2017 and 2016, respectively. See also Note 16. C. Liens The Company and certain subsidiaries have recorded floating charges on all of its tangible assets in favor of banks. The Company’s and certain subsidiaries’ manufacturing facilities and certain equipment have been pledged as security in respect of a loan received from a bank. The Company’s short-term deposits in the amount of $278 have been pledged as security in respect of guarantees granted and in respect of credit lines received from a bank . D. Guarantees As of December 31, 2018, the Company granted performance guarantees and guarantees to secure customer advances in the sum of $304. The expiration dates of the guarantees range from January 2019 to June 2019. E. Legal claims 1. In June 2013, prior to the Company’s divestiture of its SmartID division, Merwell Inc. (“Merwell”) filed a claim against the Company before an agreed-upon arbitrator alleging breach of contract in connection with certain commissions claimed to be owed to Merwell with respect to the division’s activities in Tanzania. These activities, along with all other activities of the SmartID division, were later assigned to and assumed by SuperCom in its purchase of the division. SuperCom undertook to indemnify the Company and hold it harmless against any liabilities the Company may incur in connection with Merwell’s consulting agreement and the arbitration. An arbitration decision was issued on February 21, 2016, awarding Merwell approximately $855 for outstanding commissions, plus expenses and legal fees. The arbitration decision had been appealed and the appeal was denied on June 17, 2018. In order to collect the award, Merwell filed a motion against the Company and the Nazareth District Court issued a judgment requiring the Company to pay Merwell an amount of NIS 5,080 (approximately $1,370) that was paid by the Company on January 8, 2019. As mentioned above, based on the agreement with SuperCom from April 2016 (which was granted an effect of a court judgment), SuperCom is liable for all the costs and liabilities arising out of this claim. Subsequent to the balance sheet date, the Company initiated an arbitration process to collect from SuperCom, the amount paid to Merwell, which SuperCom failed to pay as of the date hereof. As of December 31, 2018, the Company recorded a provision for the full amount paid. Despite the fact that, based on the assessment of the Company’s external legal counsel, the likelihood to succeed in the arbitration process (or other legal procedure in that matter) is high, the Company did not record an indemnification asset as of December 31, 2018, in accordance with accounting standard ASC 450. 2. In October 2013, a financial claim was filed against the Company and its then French subsidiary, Parx France (in this paragraph, together, the “Defendants”), in the Commercial Court of Paris, France (in this paragraph, the “Court”). The sum of the claim is €1,500 ($1,743) and is based on the allegation that the plaintiff sustained certain losses in connection with Defendants not granting the plaintiff exclusive marketing rights to distribute and operate the Defendants’ PIAF Parking System in Paris and the Ile of France. On October 25, 2017, the Court issued its ruling in this matter dismissing all claims against the Company but ordering Parx France to pay the plaintiff €50 ($58) plus interest in damages plus another approximately €5 ($6) in other fees and penalties. The Company offered to pay the amounts mentioned above to the plaintiff in consideration for not filing future appeals. The Plaintiff rejected this offer and filed an appeal against Parx France and the Company claiming the sum of €503 ($584) plus interest and expenses. The Company will submit its answer to the appeal by November 7, 2019, and the appeal hearing is scheduled for December 5, 2019. Based on the assessment of the Company’s external legal counsel, the Company’s management is of the opinion that the chances of the appeal being approved against the Company are low.

Revenues

Revenues	12 Months Ended
	Dec. 31, 2018
Revenue [Abstract]
Revenues	Note 9 - Revenues Disaggregation of revenue The following table disaggregates the Company’s revenue by major source based on categories that depict its nature and timing as reviewed by management for the year ended December 31, 2018: Year ended December 31 2018 Retail and Petroleum Total Cashless payment products (A) $ 8,751 $ - $ 8,751 Complete cashless payment solutions (B): Sales of products (B1) 2,986 3,794 6,780 Licensing fees, transaction fees and services (B2) 4,890 1,457 6,347 7,876 5,251 13,127 Total revenues $ 16,627 $ 5,251 $ 21,878 Performance obligations Below is a listing of performance obligations for the Company’s main revenue streams: A. Cashless payment products – The performance obligation is the selling of contactless payment products. Most of those products are Near Field Communication (NFC) readers. For such sales the performance obligation, transfer of control and revenue recognition occur when the products are delivered. B. Complete cashless payment solutions – The complete solution includes selling of products and complementary services, as follows: 1. Sales of products – ● Selling of contactless payment products (see A above) together with payment gateways and machine-to-machine controllers. ● Selling of petroleum payment solutions including site and vehicle equipment. For such sales, the performance obligation, transfer of control and revenue recognition occur when the products are delivered. 2. Licensing fees, transaction fees and services - The types of arrangements and their main performance obligations are as follows: ● To provide terminal management system licensing for software that is responsible for remote terminal management and cloud-based software licensing which provide data insights. For such services, the revenue recognition occurs as the services are rendered since the performance obligation is satisfied over time. ● To enable loading and sale of electronic contactless and paper cards. For such transaction fees the revenue recognition occurs on the transaction date. ● To provide technical and customer services for products. For such services, the performance obligation is satisfied over time and therefore revenue recognition occurs as the services are rendered. The Company includes a warranty in connection with certain contracts with customers, which are not considered to be separate performance obligations. The cost to the Company of this warranty is insignificant. Contract balances December 31 December 31 2018 2017 Trade receivables, net of allowance for doubtful accounts $ 4,530 $ 5,827 Customer advances $ 141 $ 178 Accounts receivable are recognized when the right to consideration becomes unconditional based upon contractual billing schedules. Transaction price and variable consideration The transaction price is the amount of consideration to which the Company expects to be entitled in exchange for transferring goods or services to a customer, excluding amounts collected on behalf of third parties. In certain arrangements with variable consideration, revenue is recognized over time as it is mainly attributed to ongoing services provided. An insignificant amount which is related to the product is not recognized upon delivery since it is not probable that a significant reversal in the amount of cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is subsequently resolved.

Equity

Equity	12 Months Ended
	Dec. 31, 2018
Equity [Abstract]
Equity	Note 10 - Equity A. Shares to non-employees During 2018, 2017 and 2016, the Company granted its consultants 80,000, 45,000 and 15,000 ordinary shares, respectively. The expenses that are recognized due to these grants are immaterial and are presented within ’stock-based compensation’ in the statement of changes in equity. B. Stock option plans In February 2001, the Company’s Board of Directors (the “Board”) approved an option plan, under which up to 75,000 share options are to be granted to the Company’s employees, directors and consultants and those of the Company’s subsidiaries and affiliates. During the years 2002 to 2012, the Board approved an increase of 13,125,000 options to be reserved under the Company’s share option plan. On October 22, 2013, the Board approved a further increase of 2,500,000 options to be reserved under the Company’s share option plan. On June 17, 2014, the Board approved a further increase of 750,000 options to be reserved under the Company’s share option plan. On November 21, 2017, following the approval of the compensation committee and the Board, the shareholders of the Company approved an amendment to the Company’s share option plan, so that securities may be issued under such plan from time to time until December 31, 2021. The vesting period for the options ranges from immediate vesting to ratable vesting over a four- year period. The exercise price of options under the plan is at varying prices. Those options expire up to five years after the date of the grant. Any options which are forfeited or cancelled before expiration become available for future grants. The fair value of each option granted to employees during 2018, 2017 and 2016 was estimated on the date of grant, using the Black-Scholes model and the following assumptions: Year ended December 31 2018 2017 2016 Expected dividend yield 0 % 0 % 0 % Expected volatility 69%-81 % 67%-74 % 71%-75 % Risk-free interest rate 1.92%-2.84 % 1.35%-1.83 % 0.97%-1.42 % Expected life - in years 2.33 2.45 2.45-3.5 1. Dividend yield of zero percent for all periods. 2. Expected average volatility represents a weighted average standard deviation rate for the price of the Company’s ordinary shares on Nasdaq. 3. Risk-free interest rate is based on the U.S. Treasury yield curve in effect at the time of grant. 4. For options granted during 2018 and 2017 - estimated expected lives are based on historical grants data. For 2016 - estimated expected lives are according to the simplified method. The Company’s options activity during 2018 (including options to non-employees) and information as to options outstanding and options exercisable as of December 31, 2018 and 2017 are summarized in the following table: Number of Weighted average exercise Aggregate options price intrinsic outstanding per share value Outstanding – December 31, 2017 1,495,000 $ 1.27 Options granted 224,000 1.06 Options expired or forfeited (218,001 ) 1.32 Options exercised (39,999 ) 0.86 Outstanding – December 31, 2018 1,461,000 $ 1.24 $ 6 Exercisable as of: December 31, 2018 855,642 $ 1.32 $ 4 The weighted average grant date fair value of options granted is $0.46, $0.66 and $0.95 per option during 2018, 2017 and 2016, respectively. The following table summarizes information about options outstanding and exercisable (including options to non-employees) as of December 31, 2018: Options outstanding Options Exercisable Number Weighted Number Weighted outstanding average Weighted Outstanding average Weighted as of remaining Average As of remaining Average Range of December 31, contractual Exercise December 31, contractual Exercise exercise price 2018 life (years) Price 2018 life (years) Price $ 0.44-0.90 544,000 2.65 $ 0.76 356,666 1.95 $ 0.74 1.07-1.68 707,000 3.44 1.23 288,976 3.19 1.18 2.32-2.36 170,000 0.37 2.35 170,000 0.37 2.35 $ 3.03 40,000 0.73 $ 3.03 40,000 0.73 $ 3.03 1,461,000 2.71 855,642 2.00 The total exercise date intrinsic value of options exercised during the years ended December 31, 2018, 2017 and 2016, was $16, $32 and $45, respectively. As of December 31, 2018, there was $251 of total unrecognized compensation cost related to non-vested stock-based compensation arrangements. That cost is expected to be recognized over a weighted-average period of 1.21 years. The total fair value of shares vested during the year ended December 31, 2018 was $180. During 2018, 2017 and 2016, the Company recorded stock-based compensation expenses in the amount of $234, $254 and $239, respectively, in accordance with ASC Topic 718. Stock-based compensation expenses are not deductible for tax purpose. C. Warrants 1. During 2018, no warrants expired or were exercised into ordinary shares. 2. As of December 31, 2018, there are remaining 40,000 outstanding warrants issued to one of the Company’s consultants during 2016 with a per share exercise price of $0.95. The warrants expire during 2019. D . Change in the ownership rate During 2016, the Company bought out the minority interest in its subsidiaries that operated the parking business, PARX Ltd. and Easy Park Ltd., in consideration of $69. In addition to the payment of $69, the Consolidated Statement of Changes in Equity for the year ended December 31, 2016 includes classification between Non-controlling interest and additional paid-in capital of $1,851 due to this increase in the ownership rate.

Supplemental Statement of Opera

Supplemental Statement of Operations Data	12 Months Ended
	Dec. 31, 2018
Supplemental Statement of Operations Data [Abstract]
Supplemental statement of operations data	Note 11 - Supplemental statement of operations data Other expenses, net Consists of: Year ended December 31. 2018 2017 2016 (Gain) loss on sale of property and equipment, net (1) (37 ) 52 83 Cessation of employment agreements (2) - - 108 Consulting fees 70 - - Other expenses, net $ 33 $ 52 $ 191 1 On May 7, 2016, the Company entered into an agreement pursuant to which the Company agreed to sell its headquarters building in Rosh Pina, Israel, to a third party for consideration of NIS 7,000 (approximately $1,848) and will lease back the portion of the building necessary for its current operations. The leaseback period is two years and the annual rent is $130. On September 4, 2016, the sale of the building was completed. As a result of the sale, the Company recorded a loss of $83. The Company has the right to extend the lease by two additional one year periods on the same terms and it has extended the lease by one year until July 31, 2019. 2 During 2016, the Company recorded compensation expenses related to the cessation of employment of the Company’s former Chief Financial Officer and former General Counsel and Secretary.

Income Taxes

Income Taxes	12 Months Ended
	Dec. 31, 2018
Income Tax [Abstract]
Income Taxes	Note 12 - Income Taxes A. The Company and its Israeli subsidiaries 1. Measurement of taxable income under the Income Tax (Inflationary Adjustments) Law, 1985 The Company and one of its Israeli subsidiaries are foreign invested companies, and have elected, commencing January 1, 2007, to maintain their books and records in U.S. dollars for income tax purposes, as permitted under the tax regulations. 2. The Law for the Encouragement of Industry (taxes), 1969 The Company believes that it qualifies as an “Industrial Company” under the Law for the Encouragement of Industry. The principal tax benefits for the Company are the deductibility of costs in connection with public offerings and amortization of certain intangibles. 3. Corporate tax rate Presented hereunder are the standard tax rates in Israel in the years 2016-2018: 2018 – 23% 2017 – 24% 2016 – 25% Current taxes for the reported periods are calculated according to the tax rates presented above. On January 4, 2016, the statutory tax rate was changed to 25% following a reduction of a corporate tax by the Israeli government. Furthermore, on December 22, 2016, the Israeli government passed a law under which the corporate tax rate was reduced from 25% to 23% in two steps. The first reduction was to a rate of 24% as from January 2017 and the second reduction was to a rate of 23% as from January 2018. The deferred tax balances as at December 31, 2018 and 2017 were calculated according to the new tax rates, at the tax rate expected to apply on the date of reversal. 4. Benefits under the Law for the Encouragement of Capital Investments According to the Law for the Encouragement of Capital Investments – 1959 (the “Law”), as amended, two new tax tracks exist, one of which may be relevant to the Company, the preferred enterprise track, which mainly provide a uniform and reduced tax rate for all the Company’s income entitled to benefits. According to the amended law, t he tax rates on income derived by preferred companies are as follows: 7.5% for Development Area A and 16% for the rest of the country. In addition to the aforesaid beneficial tax rates, preferred companies in Development Area A are entitled to grants track. The Law also provides that no tax will apply to a dividend distributed out of preferred income to a shareholder that is an Israeli resident company. A tax rate of 20% shall apply to a dividend distributed out of preferred income to an individual shareholder or foreign resident, subject to double taxation prevention treaties. The Company currently meets the conditions provided in the Law for inclusion in the scope of the preferred enterprise track. B. Non-Israeli subsidiaries are taxed based on the income tax laws in their country of residence. On December 22, 2017, the U.S. Tax Cuts and Jobs Act (the “US Tax Legislation”) was enacted in the United States. Except for certain provisions, the Tax Legislation is effective for tax years beginning on or after January 1, 2018. The Tax Legislation significantly revises several sections of the U.S. Internal Revenue Code including, among other things, lowering the corporate income tax rate from 35% to 21% effective January 1, 2018, limiting deductibility of interest expense and implementing a modified territorial tax system that imposes a repatriation tax on deemed repatriated earnings of foreign subsidiaries. The main effect on the Company’s U.S. subsidiary is the lowering the corporate income tax rate from 35% to 21%, which does not have a material effect on the Company’s financial statements. C. Deferred tax assets and liabilities: December 31 December 31 2018 2017 Deferred tax assets: Carryforward losses $ 44,926 $ 45,239 Other 763 785 Total gross deferred tax assets 45,689 46,024 Less – valuation allowance (45,689 ) (46,024 ) Net deferred tax assets $ - $ - Deferred tax liability - Other * (445 ) (500 ) Net deferred tax liability $ (445 ) $ (500 ) * Relates mainly to property, plant and equipment. The net changes in the total valuation allowance for each of the years ended December 31, 2018, 2017 and 2016, are comprised as follows: Year ended December 31 2018 2017 2016 Balance at beginning of year $ 46,024 $ 46,450 $ 52,431 Additions during the year from 122 413 764 Changes due to amendments to tax laws and applicable future tax rates, see Note 12A(3) - (518 ) (6,408 ) Discontinued operations - see Note 1B (5 ) (239 ) (382 ) Tax from previous years (310 ) (312 ) - Exchange rate differences on carryforward losses (20 ) 244 33 Adjustments to beginning-of-the-year balance due to utilization of carryforward losses in certain subsidiaries - (16 ) - Deferred intercompany transactions (122 ) - - Other changes - 2 12 Balance at end of year $ 45,689 $ 46,024 $ 46,450 In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some or all of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets depends on the generation of future taxable income during the periods in which those temporary differences or carry-forwards are deductible. Based on the level of historical taxable losses, management has reduced the deferred tax assets with a valuation allowance to the amount it believes is more likely than not to be realized. D. As of December 31, 2018, the operating loss carry-forwards and capital loss carryforwards relating to Israeli companies amounted to $155,341 and $36,741, respectively. Operating losses in Israel may be carried forward indefinitely to offset against future taxable operational income. Under the Income Tax (Inflationary Adjustments) Law, 1985, and based on the Company’s election (see Note 12A(1)), tax loss carry-forwards are denominated in U.S. dollars. Net operating carry-forward losses relating to non-Israeli companies aggregate $3,364, which will expire as follows: 2027 - $2,831 and 2028- $533. E. The Company has not recognized a deferred tax liability for the undistributed earnings of its foreign subsidiaries that arose in 2018 and prior years, because the Company considers these earnings to be indefinitely reinvested. These undistributed earnings will be taxed upon distribution, if at all. A deferred tax liability will be recognized when the Company can no longer demonstrate that it plans to indefinitely reinvest these undistributed earnings. As of December 31, 2018, the undistributed earnings of these foreign subsidiaries were $4,435. It is impracticable to determine the additional taxes payable when these earnings are remitted. F. Income tax expenses allocated to continuing operations are as follows: Year ended December 31 2018 *2017 *2016 Current income tax expenses $ (176 ) $ (27 ) $ (24 ) Deferred tax benefit 477 165 155 Income tax benefit, net $ 301 $ 138 $ 131 * Reclassified to conform with the current period presentation. See Note 1B(3). Income tax expenses included in discontinued operations expenses are $515, $212 and $213 for the years ended December 31, 2018, 2017 and 2016. Reported income tax expense for the years ended December 31, 2018, 2017 and 2016, differed from the amounts that would result from applying the Israeli statutory tax rates of 23%, 24% and 25%, respectively, to loss from continuing operations before taxes on income, as a result of the following: Year ended December 31 2018 *2017 *2016 Computed “expected” income tax benefit $ 503 $ 606 $ 794 Decrease in income tax benefit resulting from: Change in valuation allowance, net (122 ) (413 ) (764 ) Nondeductible stock-based compensation related to options issued to employees (53 ) (61 ) (60 ) Other nondeductible expenses (3 ) (22 ) (16 ) Tax from previous years (15 ) (13 ) 110 Other (9 ) 41 67 Reported income tax benefit $ 301 $ 138 $ 131 * Reclassified to conform with the current period presentation. See Note 1B(3). G. Loss from continuing operations before taxes on income consists of the following: Year ended December 31 2018 *2017 *2016 Israel $ (2,765 ) $ (2,906 ) $ (3,775 ) Non-Israel 576 383 600 $ (2,189 ) $ (2,523 ) $ (3,175 ) * Reclassified to conform with the current period presentation. See Note 1B(3). H. Unrecognized tax benefits As of December 31, 2018, 2017 and 2016, the Company did not have any unrecognized tax benefits. In addition, the Company does not expect that the amount of unrecognized tax benefits will change significantly within the next twelve months. For the years ended December 31, 2018, 2017 and 2016, no interest and penalties related to unrecognized tax benefits have been accrued. The Company and its major subsidiaries file income tax returns in Israel, Poland and South Africa. With few exceptions, the income tax returns of the Company and its major subsidiaries are open to examination by the Israeli and the respective foreign tax authorities for the tax years beginning in 2013, except the income tax returns of the subsidiary in South Africa that are open to examination for the tax years beginning in 2017

Discontinued Operations

Discontinued Operations	12 Months Ended
	Dec. 31, 2018
Discontinued Operations [Abstract]
Discontinued operations	Note 13 - Discontinued operations As described in Note 1B, the Company divested its interest in the SmartID division, its parking business and Medismart activity and presented these activities as discontinued operations. During the year ended December 31, 2018, the total gain from the Medismart operation divesture, net of transaction costs, amounted to $2,639. This gain is presented as ‘other income, net’ within the net income from discontinued operations. This gain together with the expense in the amount of $1,355 that derives from a loss contingency, as mentioned in Note 8E(1), are included in ‘other income, net’ within the net income from discontinued operations. During the year ended December 31, 2017, the Company recorded $1,346 as ‘other income, net’ within the net income from discontinued operations based on a judgment issued by the Israeli Central District Court regarding the Company’s lawsuit against Harel Insurance Company Ltd. (“Harel”) for damages incurred by the Company due to flooding in a subcontractor’s manufacturing site in 2011. The judgment determined that an amount of $1,600, net be awarded to cover the Company’s damages. On October 10, 2017, Harel submitted its appeal of the judgment to the Israeli Supreme Court as well as a request for stay of judgment. On October 30, 2017, the Court denied the requested stay. Based on the advice of counsel, the Company currently believes that there are sufficient grounds on which to uphold the District Court’s ruling and, as such, Harel’s appeal will be denied. The appeal hearing is scheduled for May 29, 2019. During the year ended December 31, 2016, the Company recorded and received profit from contingent consideration in the amount of $209, according to an earn out mechanism derived from the Smart ID division divesture. This profit is presented as ‘other income, net’ within income from discontinued operations for the year ended December 31, 2016. The profit for the year ended December 31, 2016, includes a one-time payment for the SmartID division divesture of $2,050 and loss in the amount of $111 which derives from the parking business divesture, including transaction costs. Set forth below are the results of the discontinued operations: Year ended December 31 2018 *2017 *2016 Revenues $ 1,722 $ 1,509 $ 2,580 Expenses (1,381 ) (1,068 ) (2,456 ) Other income, net 1,284 1,346 2,060 Net income from discontinued operations $ 1,625 $ 1,787 $ 2,184 * Reclassified to conform with the current period presentation. See Note 1B(3).

Operating Segments

Operating Segments	12 Months Ended
	Dec. 31, 2018
Operating segments\Geographic Information and Major Customers [Abstract]
Operating segments	Note 14 - Operating segments In view of how the Company’s chief operating decision maker (“CODM”) reviews operating results for the purposes of allocating resources and assessing performance, the Company currently reports two segments which are the Group’s strategic business units: (a) Retail and Mass Transit Ticketing, and (b) Petroleum. The following summary describes the operations in each of the Group’s operating segments: ● Retail and Mass Transit Ticketing - includes selling and marketing a variety of products for cashless payment solutions for the retail market and mass transit ticketing. ● Petroleum - includes manufacturing and selling of fuel payment and management solutions. The Group’s solution is a wireless, cashless, cardless and paperless refueling tracking and payment solution, providing customers with maximum flexibility and security. The strategic business unit’s allocation of resources and evaluation of performance are managed separately. The CODM does not examine assets or liabilities for those segments and therefore they are not presented. Information regarding the results of each reportable segment is included below based on the internal management reports that are reviewed by the CODM. Year ended December 31, 2018 Retail and Mass Transit Ticketing Petroleum Consolidated Revenues $ 16,627 $ 5,251 $ 21,878 Reportable segment gross profit * 9,441 2,557 11,998 Reconciliation of reportable segment gross profit to gross profit for the period Depreciation (826 ) Stock-based compensation (4 ) Gross profit for the period $ 11,168 Year ended December 31, 2017** Retail and Mass Transit Ticketing Petroleum Consolidated Revenues $ 15,755 $ 5,118 $ 20,873 Reportable segment gross profit * 8,623 2,552 11,175 Reconciliation of reportable segment gross profit to gross profit for the period Depreciation (757 ) Stock-based compensation (1 ) Gross profit for the period $ 10,417 Year ended December 31, 2016** Retail and Mass Transit Ticketing Petroleum Consolidated Revenues $ (***) 14,630 $ 4,122 $ 18,752 Reportable segment gross profit * 7,598 2,365 9,963 Reconciliation of reportable segment gross profit to gross profit for the period Depreciation (733 ) Stock-based compensation (4 ) Gross profit for the period $ 9,226 * Gross profit as reviewed by the CODM represents gross profit, adjusted to exclude depreciation and stock-based compensation. ** Reclassified to conform with the current period presentation. See Note 1B(3). *** The revenues from retail and mass transit ticketing segment for the years ended December 31, 2016 include revenues derived from litigation settlements with a perpetual license agreement. Those revenues are presented within revenues from ‘licensing and transaction fees’ in the statements of operations.

Geographic Information and Majo

Geographic Information and Major Customers	12 Months Ended
	Dec. 31, 2018
Operating segments\Geographic Information and Major Customers [Abstract]
Geographic Information and Major Customers	Note 15 - Geographic Information and Major Customers The data is presented in accordance with ASC Topic 280, “ Disclosures About Segments of an Enterprise and Related Information. Year ended December 31 2018 * 2017 * 2016 Revenues by geographical areas from external customers Americas $ 7,914 $ 7,167 $ 9,984 Asia 3,122 3,421 286 Africa 2,447 2,814 2,310 Europe 8,395 7,295 5,890 Total export 21,878 20,697 18,470 Domestic (Israel) - 176 282 $ 21,878 $ 20,873 $ 18,752 * Reclassified to conform with the current period presentation. See Note 1B(3). December 31 December 31 2018 2017 Long lived assets by geographical areas Domestic (Israel) $ 686 $ 740 Poland 3,704 4,555 South Africa 884 900 America - - $ 5,274 $ 6,195 Major Customers Year ended December 31 2018 * 2017 * 2016 % % % Major Customers by percentage from total revenues Customer A 15 % 16 % 17 % Customer B 9 % 12 % 9 % Customer C 11 % 11 % 0 % * Reclassified to conform with the current period presentation. See Note 1B(3). ** The revenues derived from those three customers are presented within the revenues from the Retail and Mass Transit Ticketing.

Subsequent Events

Subsequent Events	12 Months Ended
	Dec. 31, 2018
Subsequent Events [Abstract]
Subsequent events	Note 16 - Subsequent events In January 2019, the Company signed agreements pursuant to which the Company will lease offices in Yokne’am and in Rosh Pina, Israel (in lieu of the current leased headquarters building in Rosh Pina). The operating lease periods of those buildings in Yokne’am and in Rosh Pina are five years and three years, respectively (excluding the extension-periods, as mentioned in the agreements), and expected to commence during the second quarter of 2019. The total annual rent expenses of both offices, including management fees and excluding construction costs-reimbursement, are $150. The construction costs-reimbursement are expected to be approximately $1,000 that will be paid during the lease period.

Significant Accounting Polici_2

Significant Accounting Policies (Policies)	12 Months Ended
	Dec. 31, 2018
Significant Accounting Policies [Abstract]
Financial statements in U.S. dollars	A. Financial statements in U.S. dollars Substantially all of the Company’s and certain of its subsidiaries’ revenues are in U.S. dollars. A significant portion of purchases of materials and components and most marketing costs are denominated in U.S. dollars. Therefore, both the functional and reporting currencies of the Company and certain of its subsidiaries are the U.S. dollar. Transactions and balances denominated in U.S. dollars are presented at their original amounts. For entities with a U.S. dollar functional currency, transactions and balances in other currencies are remeasured into U.S. dollars in accordance with the principles set forth in Accounting Standards Codification (“ASC”) Topic 830, Foreign Currency Matters The functional currency of the Company’s subsidiary in South Africa changed in October 2017 from the South African Rand to U.S. dollar. This change resulted from a change in relevant circumstances whereby sales transactions denominated in U.S. dollars became the primary source of sales revenue. The functional currency of the Polish subsidiary is its local currency. The financial statements of companies with a functional currency that is not the U.S. dollar are translated into U.S. dollars using the exchange rate at the balance sheet date for assets and liabilities, and weighted average exchange rates for revenues and expenses (which approximates the translation of each transaction). Translation adjustments resulting from the process of the aforesaid translation are included as a separate component of equity (accumulated other comprehensive gain or loss).
Principles of consolidation	B. Principles of consolidation The consolidated financial statements include the financial statements of the Company, its wholly-owned subsidiaries and its majority owned subsidiaries. Intercompany transactions and balances have been eliminated in consolidation.
Estimates and assumptions	C. Estimates and assumptions The preparation of the consolidated financial statements requires management of the Company to make a number of estimates and assumptions relating to the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the year. Such estimates include the valuation of useful lives of long-lived assets, revenue recognition, valuation of accounts receivable and allowance for doubtful accounts, valuation of inventories, legal contingencies, the assumptions used in the calculation of stock-based compensation, income taxes and other contingencies. Estimates and assumptions are periodically reviewed by management and the effects of any material revisions are reflected in the period that they are determined to be necessary. Actual results, however, may vary from these estimates.
Cash equivalents	D. Cash equivalents Cash equivalents are short-term highly liquid investments and debt instruments that are readily convertible to cash with original maturities of three months or less from the date of purchase. Bank deposits with original maturities of more than three months, or specific deposits that are intended to be held as bank deposits for more than three months, and which will mature within one year, are classified as short-term investments.
Trade receivables	E. Trade receivables Trade receivables are recorded at the invoiced amount and do not bear interest. Collections of trade receivables are included in net cash provided by operating activities in the consolidated statements of cash flows. The consolidated financial statements include an allowance for loss from receivables for which collection is in doubt. In determining the adequacy of the allowance consideration is given to each trade receivable historical experience, aging of the receivable, adjusted to take into account current market conditions and information available about specific debtors, including their financial condition, current payment patterns, the volume of their operations, and evaluation of the security received from them or their guarantors.
Short-term investments	F. Short-term investments Short-term investments consist of: (1) Bank deposits whose maturities are longer than three months from the date of purchase, but not longer than one year from the balance sheet date. (2) Bank deposits whose maturities are less than three months from the date of purchase, but are intended to be held as bank deposits for more than three months. (3) Restricted bank deposits whose maturities are not longer than one year from the balance sheet date (for further details, see Note 8C).
Inventories	G. Inventories Inventories are stated at the lower of cost or net realizable value. Cost is determined by calculating raw materials, work in process and finished products on a “moving average” basis. Net realizable value is defined as the “estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation.” Inventory write-offs are provided to cover risks arising from slow moving items or technological obsolescence. Such write-offs, which were not material for the reported years, have been included in cost of revenues.
Property, plant and equipment, net	H. Property, plant and equipment, net Property, plant and equipment are stated at cost less accumulated depreciation. Depreciation is calculated using the straight-line method over the estimated useful lives of the assets as follows: Years Buildings 25 Computers, software and manufacturing equipment 3-5 Office furniture and equipment 5-16 (mainly - 10)
Impairment of long-lived assets	I. Impairment of long-lived assets Long-lived assets, such as property, plant, and equipment, and intangible assets subject to amortization, are evaluated for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If circumstances require a long-lived asset to be tested for possible impairment, the Company first compares undiscounted cash flows expected to be generated by an asset to the carrying value of the asset. If the carrying value of the long-lived asset is not recoverable on an undiscounted cash flow basis, impairment is recognized to the extent that the carrying value exceeds its fair value. Fair value is determined through various valuation techniques including discounted cash flow models, quoted market values and third-party independent appraisals, as considered necessary.
Revenue recognition	J. Revenue recognition Accounting policy applicable before January 1, 2018: The Group generates revenues from product sales manufactured based on the Company’s technology. In addition, the Company generates revenues from the technology it developed through transaction fee arrangements, licensing agreements and patent litigation settlements, as part of its patent activity. Revenues are also generated from non-recurring engineering, customer services and technical support. Revenues from product sales and non-recurring engineering are recognized when delivery has occurred provided there is persuasive evidence of an agreement, the fee is fixed or determinable, collection of the related receivable is probable and no further obligations exist. In the case of non-recurring engineering, revenue is recognized upon completion of testing and approval of the customization of the product by the customer, provided that no further obligation exists. Revenues are recognized net of value added tax. License and transaction fees are recognized as earned based on actual usage. Usage is determined by receiving confirmation from the users. Patent litigation revenues are recognized upon final settlement of the litigation (see Note 14). Revenues relating to customer services and technical support are recognized as the services are rendered ratably over the term of the related contract. Licensing and transaction fees are recognized based on the volume of transactions or monthly licensing fees from systems that contain the Company’s products and usually bear no cost to the Company. The cost to the Company of warranty that the product will perform according to certain specifications and that the Company will repair or replace the product if it ceases to work properly, is insignificant and is treated according to accounting guidance for contingencies. Regarding the accounting policy applicable after January 1, 2018 and the first-time adoption of ASC 606, Revenues from Contracts with Customers
Research, development costs and certification costs	K. Research, development costs and certification costs Research and development costs, which consist mainly of labor costs, materials and subcontractors, are charged to operations as incurred. According to ASC Topic 350, “ Intangibles - Goodwill and Other
Stock-based compensation	L. Stock-based compensation The Company measures and recognizes compensation expense for all stock-based payment awards made to employees and directors based on estimated grant date fair values. The estimated fair value of awards is charged to income on a straight-line basis over the requisite service period, which is generally the vesting period. ASC Topic 718, Compensation – Stock Compensation The Company elected to recognize compensation cost for awards with only service conditions that have a graded vesting schedule using the straight-line method.
Basic and diluted net loss per share	M. Basic and diluted net loss per share Basic and diluted net loss per ordinary share is computed based on the weighted average number of ordinary shares outstanding during each year. Shares issuable for little or no cash consideration, are considered outstanding ordinary shares and included in the computation of basic net loss per ordinary share as of the date that all necessary conditions have been satisfied. In years that discontinued operations are presented, the Company uses income from continuing operations (attributable to the parent entity) as the benchmark to determine whether potential common shares are dilutive or antidilutive. Therefore, when the Company records a loss from continuing operations and the issuance of option shares would be antidilutive due to the loss, but the Company has net income from discontinued operations, potential shares are excluded from the diluted calculation even though the effect on net income from discontinued operations would be dilutive. Stock options and warrants in the amounts of 1,501,000, 1,535,000 and 1,644,836 outstanding as of the years ended December 31, 2018, 2017 and 2016, respectively, have been excluded from the calculation of the diluted net loss per ordinary share because all such securities have an anti-dilutive effect for all periods presented.
Fair value of financial instruments	N. Fair value of financial instruments The Company’s financial instruments consist mainly of cash and cash equivalents, short-term interest bearing investments, accounts receivable, restricted deposits for employee benefits, accounts payable and short-term and long-term loans. Fair value for the measurement of financial assets and liabilities is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. 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 liability. The Company utilizes a valuation hierarchy for disclosure of the inputs for fair value measurement. This hierarchy prioritizes the inputs into three broad levels as follows: ● Level 1 Inputs: Unadjusted quoted prices in active markets for identical assets or liabilities accessible to the reporting entity at the measurement date. ● Level 2 Inputs: Other than quoted prices included in Level 1 inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the asset or liability. ● Level 3 Inputs: Unobservable inputs for the asset or liability used to measure fair value to the extent that observable inputs are not available, thereby allowing for situations in which there is little, if any, market activity for the asset or liability at measurement date. By distinguishing between inputs that are observable in the market place, and therefore more objective, and those that are unobservable and therefore more subjective, the hierarchy is designed to indicate the relative reliability of the fair value measurements. A financial asset or liability’s classification within the hierarchy is determined based on the lowest level input that is significant to the fair value measurement. The Company, in estimating fair value for financial instruments, determined that the carrying amounts of cash and cash equivalents, trade receivables, short-term bank credit and trade payables are equivalent to, or approximate their fair value due to the short-term maturity of these instruments. The carrying amounts of variable interest rate long-term loans are equivalent or approximate to their fair value as they bear interest at approximate market rates.
Income tax	O. Income tax The Company accounts for taxes on income in accordance with ASC Topic 740, Income Taxes The Company recognizes the effect of income tax positions only if those positions are more likely than not to be sustained. Recognized income tax positions are measured at the largest amount that is greater than 50 percent likely of being realized. The Company accounts for interest and penalties as a component of income tax expense.
Non-controlling interest	P. Non-controlling interest The Company implements ASC Topic 810, Consolidation If a change in ownership of a consolidated subsidiary does not result in loss of control, or results in an increase of ownership interests, the Company accounts for such a change as an equity transaction. Therefore, no gain or loss is recognized in consolidated net earnings or comprehensive income. The carrying amount of the non-controlling interest is adjusted to reflect the change in its ownership interest in the subsidiary. Any difference between the fair value of the consideration received or paid and the amount by which the non-controlling interest is adjusted is recognized in equity attributable to the Company.
Severance pay	Q. Severance pay The Company’s liability for severance pay for some of its Israeli employees is calculated pursuant to Israeli Severance Pay Law, 1963 (the “Israeli Severance Pay Law”) based on the most recent salary of the employee multiplied by the number of years of employment, as of the balance sheet date. Those employees are entitled to one month’s salary for each year of employment or a portion thereof. Certain senior executives were entitled to receive additional severance pay. The Company records the liability as if it were payable at each balance sheet date on an undiscounted basis. The liability is classified based on the expected date of settlement, and therefore is usually classified as a long-term liability, unless the cessation of the employees is expected during the upcoming year. The Company’s liability for those Israeli employees is partially provided for by monthly deposits for insurance policies and the remainder by an accrual. The value of these policies is recorded as an asset in the Company’s balance sheet. The deposited funds include profits and losses accumulated up to the balance sheet date. The deposited funds may be withdrawn only upon the fulfillment of the obligation pursuant to the Israeli Severance Pay Law or labor agreements. The value of the deposited funds is based on the cash redemption value of these policies. In addition, the Company has deposited certain amounts with a trustee, to compensate for any severance pay liability that is not covered by other funds. These deposits are restricted and may be withdrawn only for payment of severance pay liabilities. The severance pay funds and the restricted deposits for employee benefits are classified based on the classification of the corresponding liability. In respect of other Israeli employees, the Company acts pursuant to the general approval of the Israeli Ministry of Labor and Welfare, pursuant to the terms of Section 14 of the Israeli Severance Pay Law, according to which the current deposits with the pension fund and/or with the insurance company exempt the Company from any additional obligation to these employees for whom the said depository payments are made. These deposits are accounted as defined contribution payments. Severance pay expenses for the years ended December 31, 2018, 2017 and 2016 amounted to $212, $242 and $227, respectively. Defined contribution plan expenses were $232, $231 and $182 in the years ended December 31, 2018, 2017 and 2016, respectively.
Advertising expenses	R. Advertising expenses Advertising expenses are charged to the statements of operations as incurred. Advertising expenses for the years ended December 31, 2018, 2017 and 2016 amounted to $1,367, $1,254 and $1,142, respectively.
Concentrations of credit or business risk	S. Concentrations of credit or business risk Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash equivalents, bank deposits and trade receivables. Cash equivalents are invested mainly in U.S. dollars with major banks in Israel and Europe. Management believes that the financial institutions that hold the Group’s investments are financially sound and, accordingly, minimal credit risk exists with respect to these investments. Most of the Company’s trade receivables are derived from sales to large and financially secure organizations. In determining the adequacy of the allowance, management bases its opinion, inter alia, on the estimated risks, current market conditions and in reliance on available information with respect to the debtor’s financial position. As for major customers, see Note 15. The Company acquires certain components of its products from single source manufacturers. The activity in the allowance for doubtful accounts for the years ended December 31, 2018, 2017 and 2016 is as follows: 2018 2017 2016 Allowance for doubtful accounts at beginning of year $ 568 $ 720 $ 778 Additions charged to allowance for doubtful accounts 52 73 147 Write-downs charged against the allowance (45 ) (225 ) (205 ) Other (20 ) - - Allowance for doubtful accounts at end of year $ 555 $ 568 $ 720
Commitments and contingencies	T. Commitments and contingencies Liabilities for loss contingencies arising from claims, assessments, litigations, fines and penalties and other sources are recognized when it is probable that a liability has been incurred and the amount of the assessment can be reasonably estimated. Loss recovery related to recovery of a loss when the recovery is less than or equal to the amount of the loss recognized in the financial statements is recognized if collection is probable and estimable. Gain contingencies are recognized only when resolved.
Business divestures	U. Business divestures As described in Note 1B, the Company has sold certain operations. Upon reaching a definitive agreement with an acquirer, the Company recognizes the consideration received from the divesture, less all assets and liabilities sold, as a gain or loss. Discontinued operations Upon divesture of a business, the Company classifies such business as a discontinued operation, if the divested business represents a strategic shift that has (or will have) a major effect on an entity’s operations and financial results. For disposals other than by sale such as abandonment, the results of operations of a business would not be recorded as a discontinued operation until the period in which the business is actually abandoned. The SmartID Division divesture, the parking business divesture and the Medismart divesture qualify as discontinued operations and therefore have been presented as such. The results of businesses that have qualified as discontinued operations have been presented as such for all reporting periods. Results of discontinued operations include all revenues and expenses directly derived from such businesses; general corporate overhead is not allocated to discontinued operations. Any loss or gain that arose from the divesture of a business that qualifies as discontinued operations has been included within the results of the discontinued operations. The Company also presents cash flows from discontinued operations separately from cash flows of continuing operations. Contingent consideration The Company’s sale arrangements consist of contingent consideration based on the divested businesses’ future sales or profits. The Company records the contingent consideration portion of the arrangement when the consideration is determined to be realizable.
Patent litigation and maintenance expenses	V. Patent litigation and maintenance expenses Patent litigation and maintenance expenses, which consist mainly of salaries and consultants’ fees, are expensed as incurred. The Company presents such expenses (excluding expenses associated directly with revenues from a litigation settlement agreement that contains a license agreement) as a separate item within its operating expenses because it believes that such presentation improves the understandability of the statement of operations. Expenses associated directly with revenues from a litigation settlement agreement that contains a license agreement are presented within ‘cost of licensing’.
Recently Adopted Accounting Pronouncements	W. Recently Adopted Accounting Pronouncements 1. Restricted Cash and Cash Equivalents in Statement of Cash Flows In December 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash The following table provides a reconciliation of cash, cash equivalents, and restricted cash and cash equivalents reported within the accompanying consolidated balance sheets that sum to the total of the same such amounts presented in the accompanying consolidated statements of cash flows: December 31 2018 2017 2016 2015 Cash and cash equivalents $ 4,827 $ 6,742 $ 5,952 $ 5,450 Restricted cash and cash equivalents (*) 278 1,057 1,548 2,254 Total cash, cash equivalents, and restricted cash and cash equivalents presented in the statements of cash flows $ 5,105 $ 7,799 $ 7,500 $ 7,704 (*) The restricted cash and cash equivalents are included in short-term investments in the accompanying consolidated balance sheets. 2. Revenue Recognition In May 2014, the FASB issued ASC Topic 606, Revenue from Contracts with Customers The Company has adopted Topic 606 commencing from January 1, 2018 on a modified retrospective basis. Results for reporting periods beginning after January 1, 2018 are presented under Topic 606, while prior period amounts are not adjusted and continue to be reported in accordance with historic accounting under Topic 605 (as described in Note 2 J). The Company utilized a comprehensive approach in order to assess the impact of the guidance on its contract portfolio by reviewing its current accounting policies and practices to identify potential differences that would result from applying the new requirements, including evaluation of the performance obligations and variable consideration. The Company did not have a cumulative adjustment to retained earnings or an impact on its revenue recognition policies or on its consolidated financial statements as a result of the adoption of the new standard. Topic 606 requires entities to follow a five step process: (1) Identify the contract(s) with a customer, (2) Identify the performance obligations in the contract, (3) Determine the transaction price, (4) Allocate the transaction price to the performance obligations in the contract, and (5) Recognize revenue when (or as) the entity satisfies a performance obligation. The Company accounts for a contract with customer when it has approval and commitment from both parties, the rights of the parties and payment terms are identified, the contract has commercial substance and collectability of consideration is probable. For each contract, the Company exercises judgement to identify separate performance obligations and to evaluate, at the inception of the contract, if each distinct performance obligation within the contract is satisfied at a point in time or over time. Revenue is measured based on a consideration specified in a contract with a customer, and excludes any sales incentives and amounts collected on behalf of third parties. In certain arrangements with variable consideration, the Company exercises judgement in order to estimate the amount of variable consideration to be included in the transaction price. In these arrangements, revenue is recognized over time as it is mainly attributed to ongoing services provided. An insignificant amount which is related to the product is not recognized upon delivery since it is not probable that a significant reversal in the amount of cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is subsequently resolved. Revenue is allocated among performance obligations in a manner that reflects the consideration that the Company expects to be entitled for the promised goods or services based on standalone selling prices (SSP). SSP are estimated for each distinct performance obligation and judgment may be required in their determination. The best evidence of SSP is the observable price of a product or service when the Company sells the goods separately in similar circumstances and to similar customers. The Company recognizes revenue when it satisfies a performance obligation by transferring control over a product or service to a customer. For an analysis of the performance obligations and the timing of revenue recognition, for each type of the contract, see also Note 9. The new standard requires the Company to provide more robust disclosures than required by previous guidance. Such disclosures have been provided in Note 9. In addition, when the Company has an unconditional right to receive proceeds before the performance obligation was fulfilled, it is now required to record receivables against contract liabilities.
Recent accounting pronouncements	X. Recent accounting pronouncements 1. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) 2. In June 2016, the FASB issued ASU 2016-13, Financial Instruments — Credit Losses (Topic 326). The main objective of this ASU is to provide financial statement users with more decision-useful information about the expected credit losses on financial instruments and other commitments to extend credit held by a reporting entity at each reporting date. To achieve this objective, the amendments in this ASU replace the incurred loss impairment methodology in current GAAP with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. The amendments affect entities holding financial assets and net investment in leases that are not accounted for at fair value through net income. The amendments affect loans, debt securities, trade receivables, net investments in leases, off-balance-sheet credit exposures, reinsurance receivables, and any other financial assets not excluded from the scope that have the contractual right to receive cash. ASU 2016-13 is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. Early adoption is permitted for fiscal years beginning after December 15, 2018. The Company currently does not expect the adoption of this accounting standard to have a material impact on its consolidated financial statements.
Immaterial error correction	Y. Immaterial error correction The consolidated balance Sheet as of December 31, 2017 includes the impact of an immaterial correction that is reflected by increasing other receivables and prepaid expenses and other current liabilities by $855 in order to reflect the Company’s exposure to a claim and the right to receive full indemnity for this exposure (see Note 8E1). In addition, the Company reclassified supplier advance that was previously presented net of the trade payables in the amount of $907 to other receivables and prepaid expenses. These corrections had no impact on the previously reported amounts of total equity, consolidated statements of operations, consolidated statements of comprehensive loss, consolidated statements of changes in equity and consolidated cash flows from operating, investing or financing activities. The Company evaluated these corrections and determined, based on quantitative and qualitative factors, that the corrections made were not material to the consolidated financial statements taken as a whole for any previously filed consolidated financial statement.

Significant Accounting Polici_3

Significant Accounting Policies (Tables)	12 Months Ended
	Dec. 31, 2018
Significant Accounting Policies [Abstract]
Schedule of property, plant and equipment estimated useful lives of the assets	Years Buildings 25 Computers, software and manufacturing equipment 3-5 Office furniture and equipment 5-16 (mainly - 10)
Schedule of allowance for doubtful accounts	2018 2017 2016 Allowance for doubtful accounts at beginning of year $ 568 $ 720 $ 778 Additions charged to allowance for doubtful accounts 52 73 147 Write-downs charged against the allowance (45 ) (225 ) (205 ) Other (20 ) - - Allowance for doubtful accounts at end of year $ 555 $ 568 $ 720
Schedule of reconciliation of cash, cash equivalents, and restricted cash and cash equivalents	December 31 2018 2017 2016 2015 Cash and cash equivalents $ 4,827 $ 6,742 $ 5,952 $ 5,450 Restricted cash and cash equivalents (*) 278 1,057 1,548 2,254 Total cash, cash equivalents, and restricted cash and cash equivalents presented in the statements of cash flows $ 5,105 $ 7,799 $ 7,500 $ 7,704 (*) The restricted cash and cash equivalents are included in short-term investments in the accompanying consolidated balance sheets.

Other Receivables and Prepaid_2

Other Receivables and Prepaid Expenses (Tables)	12 Months Ended
	Dec. 31, 2018
Other Receivables and Prepaid Expenses [Abstract]
Schedule of other receivables and prepaid expenses	December 31 2018 2017 Government institutions $ 387 $ 263 Prepaid expenses 226 381 Receivables under contractual obligations to be transferred to others (*) 349 446 Suppliers advance 932 (**) 1,029 Other receivables 166 (**) 1,206 $ 2,060 $ 3,325 (*) The Company’s subsidiary in Poland is required to collect certain fees that are to be transferred to local authorities. (**) See Note 2Y.

Property, Plant and Equipment_2

Property, Plant and Equipment, Net (Tables)	12 Months Ended
	Dec. 31, 2018
Property, Plant and Equipment, Net [Abstract]
Summary of property, plant and equipment, net	December 31 2018 2017 Cost Buildings $ 966 $ 917 Computers, software and manufacturing equipment 16,052 16,279 Office furniture and equipment 153 172 Motor vehicles 195 201 Total cost 17,366 17,569 Total accumulated depreciation 12,333 11,710 $ 5,033 $ 5,859

Other Current Liabilities (Tabl

Other Current Liabilities (Tables)	12 Months Ended
	Dec. 31, 2018
Other Current Liabilities [Abstract]
Schedule of other current liabilities	December 31 2018 2017 Employees and related expenses $ 1,042 $ 1,073 Accrued expenses 921 1,054 Customer advances 141 178 Other current liabilities * 1,518 * 971 $ 3,622 $ 3,276 * See Notes 8E(1) and 2Y.

Bank Loans (Tables)

Bank Loans (Tables)	12 Months Ended
	Dec. 31, 2018
Bank Loans [Abstract]
Schedule of long-term loans	December 31 2018 2017 Long-term loans (*) $ 299 $ 1,400 Less - current maturities 260 586 $ 39 $ 814 (*) As of December 31, 2018, the bank loans are denominated in the following currencies: Polish Zloty ($252; matures in 2019) and South African Rand ($47; matures in 2019-2020). As of December 31, 2018, these loans bear a weighted average interest rate of 4.66% per annum.
Summary of repayment dates of long-term loans subsequent	2019 $ 260 2020 39 $ 299
Schedule of short-term loans, bank credit, and current maturities of long-term debt	December 31 December 31 2017 2018 2017 % Interest rate In U.S. Dollars 4.50 $ - $ 1,669 In Polish Zloty 3.63 - 1,147 In NIS 3.60 - 779 - 3,595 Current maturities of long-term loans 260 586 $ 260 $ 4,181

Commitments and Contingencies (

Commitments and Contingencies (Tables)	12 Months Ended
	Dec. 31, 2018
Commitments and Contingencies [Abstract]
Schedule of minimum future rentals of premises under non-cancelable operating lease agreements	2019 $ 284 2020 184 2021 170 2022 175 2023 46 $ 859

Revenues (Tables)

Revenues (Tables)	12 Months Ended
	Dec. 31, 2018
Revenue [Abstract]
Schedule of disaggregation of revenue	Year ended December 31 2018 Retail and Petroleum Total Cashless payment products (A) $ 8,751 $ - $ 8,751 Complete cashless payment solutions (B): Sales of products (B1) 2,986 3,794 6,780 Licensing fees, transaction fees and services (B2) 4,890 1,457 6,347 7,876 5,251 13,127 Total revenues $ 16,627 $ 5,251 $ 21,878
Schedule of contract balances	December 31 December 31 2018 2017 Trade receivables, net of allowance for doubtful accounts $ 4,530 $ 5,827 Customer advances $ 141 $ 178

Equity (Tables)

Equity (Tables)	12 Months Ended
	Dec. 31, 2018
Equity [Abstract]
Schedule of Black-Scholes model and assumptions	Year ended December 31 2018 2017 2016 Expected dividend yield 0 % 0 % 0 % Expected volatility 69%-81 % 67%-74 % 71%-75 % Risk-free interest rate 1.92%-2.84 % 1.35%-1.83 % 0.97%-1.42 % Expected life - in years 2.33 2.45 2.45-3.5
Schedule of stock options activity	Number of Weighted average exercise Aggregate options price intrinsic outstanding per share value Outstanding – December 31, 2017 1,495,000 $ 1.27 Options granted 224,000 1.06 Options expired or forfeited (218,001 ) 1.32 Options exercised (39,999 ) 0.86 Outstanding – December 31, 2018 1,461,000 $ 1.24 $ 6 Exercisable as of: December 31, 2018 855,642 $ 1.32 $ 4
Schedule of options outstanding and exercisable	Options outstanding Options Exercisable Number Weighted Number Weighted outstanding average Weighted Outstanding average Weighted as of remaining Average As of remaining Average Range of December 31, contractual Exercise December 31, contractual Exercise exercise price 2018 life (years) Price 2018 life (years) Price $ 0.44-0.90 544,000 2.65 $ 0.76 356,666 1.95 $ 0.74 1.07-1.68 707,000 3.44 1.23 288,976 3.19 1.18 2.32-2.36 170,000 0.37 2.35 170,000 0.37 2.35 $ 3.03 40,000 0.73 $ 3.03 40,000 0.73 $ 3.03 1,461,000 2.71 855,642 2.00

Supplemental Statement of Ope_2

Supplemental Statement of Operations Data (Tables)	12 Months Ended
	Dec. 31, 2018
Supplemental Statement of Operations Data [Abstract]
Schedule of other expenses (income), net	Year ended December 31. 2018 2017 2016 (Gain) loss on sale of property and equipment, net (1) (37 ) 52 83 Cessation of employment agreements (2) - - 108 Consulting fees 70 - - Other expenses, net $ 33 $ 52 $ 191 1 On May 7, 2016, the Company entered into an agreement pursuant to which the Company agreed to sell its headquarters building in Rosh Pina, Israel, to a third party for consideration of NIS 7,000 (approximately $1,848) and will lease back the portion of the building necessary for its current operations. The leaseback period is two years and the annual rent is $130. On September 4, 2016, the sale of the building was completed. As a result of the sale, the Company recorded a loss of $83. The Company has the right to extend the lease by two additional one year periods on the same terms and it has extended the lease by one year until July 31, 2019. 2 During 2016, the Company recorded compensation expenses related to the cessation of employment of the Company’s former Chief Financial Officer and former General Counsel and Secretary.

Income Taxes (Tables)

Income Taxes (Tables)	12 Months Ended
	Dec. 31, 2018
Income Tax [Abstract]
Schedule of deferred tax assets and liabilities	December 31 December 31 2018 2017 Deferred tax assets: Carryforward losses $ 44,926 $ 45,239 Other 763 785 Total gross deferred tax assets 45,689 46,024 Less – valuation allowance (45,689 ) (46,024 ) Net deferred tax assets $ - $ - Deferred tax liability - Other * (445 ) (500 ) Net deferred tax liability $ (445 ) $ (500 ) * Relates mainly to property, plant and equipment.
Summary of changes in valuation allowance	Year ended December 31 2018 2017 2016 Balance at beginning of year $ 46,024 $ 46,450 $ 52,431 Additions during the year from 122 413 764 Changes due to amendments to tax laws and applicable future tax rates, see Note 12A(3) - (518 ) (6,408 ) Discontinued operations - see Note 1B (5 ) (239 ) (382 ) Tax from previous years (310 ) (312 ) - Exchange rate differences on carryforward losses (20 ) 244 33 Adjustments to beginning-of-the-year balance due to utilization of carryforward losses in certain subsidiaries - (16 ) - Deferred intercompany transactions (122 ) - - Other changes - 2 12 Balance at end of year $ 45,689 $ 46,024 $ 46,450
Schedule of income tax (expense) benefit components	Year ended December 31 2018 *2017 *2016 Current income tax expenses $ (176 ) $ (27 ) $ (24 ) Deferred tax benefit 477 165 155 Income tax benefit, net $ 301 $ 138 $ 131 * Reclassified to conform with the current period presentation. See Note 1B(3).
Schedule of loss from continuing operations before taxes on income	Year ended December 31 2018 *2017 *2016 Computed “expected” income tax benefit $ 503 $ 606 $ 794 Decrease in income tax benefit resulting from: Change in valuation allowance, net (122 ) (413 ) (764 ) Nondeductible stock-based compensation related to options issued to employees (53 ) (61 ) (60 ) Other nondeductible expenses (3 ) (22 ) (16 ) Tax from previous years (15 ) (13 ) 110 Other (9 ) 41 67 Reported income tax benefit $ 301 $ 138 $ 131 * Reclassified to conform with the current period presentation. See Note 1B(3).
Schedule of income (loss) before taxes on income	Year ended December 31 2018 *2017 *2016 Israel $ (2,765 ) $ (2,906 ) $ (3,775 ) Non-Israel 576 383 600 $ (2,189 ) $ (2,523 ) $ (3,175 ) * Reclassified to conform with the current period presentation. See Note 1B(3).

Discontinued Operations (Tables

Discontinued Operations (Tables)	12 Months Ended
	Dec. 31, 2018
Discontinued Operations [Abstract]
Schedule of results of the discontinued operations	Year ended December 31 2018 *2017 *2016 Revenues $ 1,722 $ 1,509 $ 2,580 Expenses (1,381 ) (1,068 ) (2,456 ) Other income, net 1,284 1,346 2,060 Net income from discontinued operations $ 1,625 $ 1,787 $ 2,184 * Reclassified to conform with the current period presentation. See Note 1B(3).

Operating Segments (Tables)

Operating Segments (Tables)	12 Months Ended
	Dec. 31, 2018
Operating segments\Geographic Information and Major Customers [Abstract]
Schedule of information regarding results of each reportable segment	Year ended December 31, 2018 Retail and Mass Transit Ticketing Petroleum Consolidated Revenues $ 16,627 $ 5,251 $ 21,878 Reportable segment gross profit * 9,441 2,557 11,998 Reconciliation of reportable segment gross profit to gross profit for the period Depreciation (826 ) Stock-based compensation (4 ) Gross profit for the period $ 11,168 Year ended December 31, 2017** Retail and Mass Transit Ticketing Petroleum Consolidated Revenues $ 15,755 $ 5,118 $ 20,873 Reportable segment gross profit * 8,623 2,552 11,175 Reconciliation of reportable segment gross profit to gross profit for the period Depreciation (757 ) Stock-based compensation (1 ) Gross profit for the period $ 10,417 Year ended December 31, 2016** Retail and Mass Transit Ticketing Petroleum Consolidated Revenues $ (***) 14,630 $ 4,122 $ 18,752 Reportable segment gross profit * 7,598 2,365 9,963 Reconciliation of reportable segment gross profit to gross profit for the period Depreciation (733 ) Stock-based compensation (4 ) Gross profit for the period $ 9,226 * Gross profit as reviewed by the CODM represents gross profit, adjusted to exclude depreciation and stock-based compensation. ** Reclassified to conform with the current period presentation. See Note 1B(3). *** The revenues from retail and mass transit ticketing segment for the years ended December 31, 2016 include revenues derived from litigation settlements with a perpetual license agreement. Those revenues are presented within revenues from ‘licensing and transaction fees’ in the statements of operations.

Geographic Information and Ma_2

Geographic Information and Major Customers (Tables)	12 Months Ended
	Dec. 31, 2018
Operating segments\Geographic Information and Major Customers [Abstract]
Schedule of revenues by geographical areas from external customers	Year ended December 31 2018 * 2017 * 2016 Revenues by geographical areas from external customers Americas $ 7,914 $ 7,167 $ 9,984 Asia 3,122 3,421 286 Africa 2,447 2,814 2,310 Europe 8,395 7,295 5,890 Total export 21,878 20,697 18,470 Domestic (Israel) - 176 282 $ 21,878 $ 20,873 $ 18,752 * Reclassified to conform with the current period presentation. See Note 1B(3).
Schedule of long lived assets by geographical areas	December 31 December 31 2018 2017 Long lived assets by geographical areas Domestic (Israel) $ 686 $ 740 Poland 3,704 4,555 South Africa 884 900 America - - $ 5,274 $ 6,195
Schedule of major customers by percentage from total revenues	Year ended December 31 2018 * 2017 * 2016 % % % Major Customers by percentage from total revenues Customer A 15 % 16 % 17 % Customer B 9 % 12 % 9 % Customer C 11 % 11 % 0 % * Reclassified to conform with the current period presentation. See Note 1B(3).

General (Details)

General (Details) $ in Thousands	1 Months Ended		12 Months Ended
	Apr. 20, 2016	Dec. 31, 2013USD ($)	Dec. 31, 2018USD ($)Segments	Dec. 31, 2017USD ($)	[1]	Dec. 31, 2016USD ($)	[1]
General (Textual)
Total purchase price in cash		$ 10,000
Additional purchase price		$ 12,500
Settlement agreement resolving, description	The purchaser of the Smart ID division, SuperCom Ltd. ("SuperCom"), and the Company entered into a settlement agreement resolving certain litigation between SuperCom and the Company pursuant to which SuperCom paid the Company $2,050 and agreed to pay the Company up to $1,500 in accordance with and subject to a certain earn-out mechanism.
Number of operating segments | Segments			2
Total price			$ 2,750			$ 2,292
[1]	Reclassified to conform with the current period presentation, see Notes 1B(3) and 2W(1).

Significant Accounting Polici_4

Significant Accounting Policies (Details)	12 Months Ended
	Dec. 31, 2018
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Estimated Useful Lives	(mainly - 10)
Buildings [Member]
Property, Plant and Equipment [Line Items]
Estimated useful life	25 years
Minimum [Member] | Computers, software and manufacturing equipment [Member]
Property, Plant and Equipment [Line Items]
Estimated useful life	3 years
Minimum [Member] | Office furniture and equipment [Member]
Property, Plant and Equipment [Line Items]
Estimated useful life	5 years
Maximum [Member] | Computers, software and manufacturing equipment [Member]
Property, Plant and Equipment [Line Items]
Estimated useful life	5 years
Maximum [Member] | Office furniture and equipment [Member]
Property, Plant and Equipment [Line Items]
Estimated useful life	16 years

Significant Accounting Polici_5

Significant Accounting Policies (Details 1) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Significant Accounting Policies [Abstract]
Allowance for doubtful accounts at beginning of year	$ 568	$ 720	$ 778
Additions charged to allowance for doubtful accounts	52	73	147
Write-downs charged against the allowance	(45)	(225)	(205)
Other	(20)
Allowance for doubtful accounts at end of year	$ 555	$ 568	$ 720

Significant Accounting Polici_6

Significant Accounting Policies (Details 2) - USD ($) $ in Thousands		Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016		Dec. 31, 2015
Significant Accounting Policies [Abstract]
Cash and cash equivalents		$ 4,827	$ 6,742	$ 5,952		$ 5,450
Restricted cash and cash equivalents	[1]	278	1,057	1,548		2,254
Total cash, cash equivalents, and restricted cash and cash equivalents presented in the statements of cash flows		$ 5,105	$ 7,799	$ 7,500	[2]	$ 7,704	[2]
[1]	The restricted cash and cash equivalents are included in short-term investments in the accompanying consolidated balance sheets.
[2]	Reclassified to conform with the current period presentation, see Notes 1B(3) and 2W(1).

Significant Accounting Polici_7

Significant Accounting Policies (Details Textual) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Significant Accounting Policies (Textual)
Amortization expenses	$ 215	$ 181	$ 90
Amortization over a period	3 years
Stock options and warrants	1,501,000	1,535,000	1,644,836
Severance pay expenses	$ 212	$ 242	$ 227
Defined contribution plan expenses	232	231	182
Advertising expense	$ 1,367	$ 1,254	$ 1,142

Short-Term Investments (Details

Short-Term Investments (Details)	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Short-Term Investments (Textual)
Weighted average annual interest	2.29%	0.70%

Other Receivables and Prepaid_3

Other Receivables and Prepaid Expenses (Details) - USD ($) $ in Thousands		Dec. 31, 2018	Dec. 31, 2017
Other Receivables and Prepaid Expenses [Abstract]
Government institutions		$ 387	$ 263
Prepaid expenses		226	381
Receivables under contractual obligations to be transferred to others	[1]	349	446
Suppliers advance		932	1,029	[2]
Other receivables		166	1,206	[2]
Total other receivables and prepaid expenses		$ 2,060	$ 3,325
[1]	The Company's subsidiary in Poland is required to collect certain fees that are to be transferred to local authorities.
[2]	See Note 2Y.

Property, Plant and Equipment_3

Property, Plant and Equipment, Net (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Property, Plant and Equipment [Line Items]
Total cost	$ 17,366	$ 17,569
Total accumulated depreciation	12,333	11,710
Net cost	5,033	5,859
Buildings [Member]
Property, Plant and Equipment [Line Items]
Total cost	966	917
Computers, software and manufacturing equipment [Member]
Property, Plant and Equipment [Line Items]
Total cost	16,052	16,279
Office furniture and equipment [Member]
Property, Plant and Equipment [Line Items]
Total cost	153	172
Motor vehicles [Member]
Property, Plant and Equipment [Line Items]
Total cost	$ 195	$ 201

Property, Plant and Equipment_4

Property, Plant and Equipment, Net (Details Textual) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Property, Plant and Equipment, Net (Textual)
Depreciation expenses	$ 1,113	$ 991	$ 1,082

Other Current Liabilities (Deta

Other Current Liabilities (Details) - USD ($) $ in Thousands		Dec. 31, 2018	Dec. 31, 2017
Other Current Liabilities [Abstract]
Employees and related expenses		$ 1,042	$ 1,073
Accrued expenses		921	1,054
Customer advances		141	178
Other current liabilities	[1]	1,518	971
Total other current liabilities		$ 3,622	$ 3,276
[1]	See Notes 8E(1) and 2Y.

Bank Loans (Details)

Bank Loans (Details) - USD ($) $ in Thousands		Dec. 31, 2018	Dec. 31, 2017
Bank Loans [Abstract]
Long-term loans	[1]	$ 299	$ 1,400
Less - current maturities		260	586
Long-term loans, net of current maturities		$ 39	$ 814
[1]	As of December 31, 2018, the bank loans are denominated in the following currencies: Polish Zloty ($252; matures in 2019) and South African Rand ($47; matures in 2019-2020). As of December 31, 2018, these loans bear a weighted average interest rate of 4.66% per annum.

Bank Loans (Details 1)

Bank Loans (Details 1) - USD ($) $ in Thousands		Dec. 31, 2018	Dec. 31, 2017
Bank Loans [Abstract]
2019		$ 260
2020		39
Long-term loans	[1]	$ 299	$ 1,400
[1]	As of December 31, 2018, the bank loans are denominated in the following currencies: Polish Zloty ($252; matures in 2019) and South African Rand ($47; matures in 2019-2020). As of December 31, 2018, these loans bear a weighted average interest rate of 4.66% per annum.

Bank Loans (Details 2)

Bank Loans (Details 2) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Short-term Debt [Line Items]
Short-term loans and bank credit		$ 3,595
Less - current maturities	260	586
Total short-term loans, bank credit and current maturities of long-term loans	260	$ 4,181
In U.S. Dollars [Member]
Short-term Debt [Line Items]
Interest rate		4.50%
Short-term loans and bank credit		$ 1,669
In Polish Zloty [Member]
Short-term Debt [Line Items]
Interest rate		3.63%
Short-term loans and bank credit		$ 1,147
In NIS [Member]
Short-term Debt [Line Items]
Interest rate		3.60%
Short-term loans and bank credit		$ 779

Bank Loans (Details Textual)

Bank Loans (Details Textual) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Bank Loans (Textual)
Loans bear interest rate	4.66%
Weighted average interest rate	3.82%	4.03%
Credit lines authorized	$ 2,565
In Polish Zloty [Member]
Bank Loans (Textual)
Bank loans	$ 252
Maturity range	Dec. 31, 2019
South African Rand [Member]
Bank Loans (Textual)
Bank loans	$ 47
Beginning maturity range	Dec. 31, 2019
Ending maturity range	Dec. 31, 2020

Commitments and Contingencies_2

Commitments and Contingencies (Details) $ in Thousands	Dec. 31, 2018USD ($)
Minimum future rentals:
2019	$ 284
2020	184
2021	170
2022	175
2023	46
Total	$ 859

Commitments and Contingencies_3

Commitments and Contingencies (Details Textual) € in Thousands, ₪ in Thousands, $ in Thousands	Jan. 31, 2019USD ($)	Jan. 08, 2019USD ($)	Jan. 08, 2019ILS (₪)	Oct. 25, 2017USD ($)	Oct. 25, 2017EUR (€)	Feb. 21, 2016USD ($)	Oct. 31, 2013USD ($)	Oct. 31, 2013EUR (€)	Dec. 31, 2018USD ($)	Dec. 31, 2017USD ($)	Dec. 31, 2016USD ($)
Commitments and Contingencies (Textual)
Guarantees to secure customer advances									$ 304
Guarantees expiration dates description									The expiration dates of the guarantees range from January 2019 to June 2019.
Payment of interest plus and cost				$ 58	€ 50
Other fees and penalties				6	5
Grants received, net of royalties paid									$ 3,800
Grants in period									3 years
Royalty expenses										$ 111	$ 423
Lease expiration dates, description									Expiring in years 2019 through 2023.
Royalty expenses									$ 363	$ 399	$ 313
Short-term deposits respect of guarantees granted									$ 278
Minimum [Member]
Commitments and Contingencies (Textual)
Percentage of sales paid as royalties									3.00%
Maximum [Member]
Commitments and Contingencies (Textual)
Percentage of sales paid as royalties									3.50%
Subsequent Event [Member]
Commitments and Contingencies (Textual)
Royalty expenses	$ 150
Merwell Inc. [Member]
Commitments and Contingencies (Textual)
Outstanding commissions arbitration						$ 855
Merwell Inc. [Member] | Subsequent Event [Member]
Commitments and Contingencies (Textual)
Payment of interest plus and cost		$ 1,370	₪ 5,080
French subsidiary [Member]
Commitments and Contingencies (Textual)
Financial claim field							$ 1,743	€ 1,500
Parx France [Member]
Commitments and Contingencies (Textual)
Financial claim field							$ 584	€ 503
Payment of interest plus and cost				$ 584	€ 503

Revenues (Details)

Revenues (Details) - USD ($) $ in Thousands		12 Months Ended
		Dec. 31, 2018	Dec. 31, 2017	[4]	Dec. 31, 2016	[4]
Disaggregation of Revenue [Line Items]
Cashless payment products	[1]	$ 8,751
Complete cashless payment solutions:
Sales of products	[2]	6,780
Licensing fees, transaction fees and services	[3]	6,347
Total		13,127
Total revenues		21,878	$ 20,873		$ 18,752
Petroleum [Member]
Disaggregation of Revenue [Line Items]
Cashless payment products	[1]
Complete cashless payment solutions:
Sales of products	[2]	3,794
Licensing fees, transaction fees and services	[3]	1,457
Total		5,251
Total revenues		5,251
Retail and Mass Transit Ticketing [Member]
Disaggregation of Revenue [Line Items]
Cashless payment products	[1]	8,751
Complete cashless payment solutions:
Sales of products	[2]	2,986
Licensing fees, transaction fees and services	[3]	4,890
Total		7,876
Total revenues		$ 16,627
[1]	Cashless payment products - The performance obligation is the selling of contactless payment products. Most of those products are Near Field Communication (NFC) readers. For such sales the performance obligation, transfer of control and revenue recognition occur when the products are delivered.
[2]	Sales of products - Selling of contactless payment products (see A above) together with payment gateways and machine-to-machine controllers. Selling of petroleum payment solutions including site and vehicle equipment. For such sales, the performance obligation, transfer of control and revenue recognition occur when the products are delivered.
[3]	Licensing fees, transaction fees and services - The types of arrangements and their main performance obligations are as follows: To provide terminal management system licensing for software that is responsible for remote terminal management and cloud-based software licensing which provide data insights. For such services, the revenue recognition occurs as the services are rendered since the performance obligation is satisfied over time. To enable loading and sale of electronic contactless and paper cards. For such transaction fees the revenue recognition occurs on the transaction date. To provide technical and customer services for products. For such services, the performance obligation is satisfied over time and therefore revenue recognition occurs as the services are rendered.
[4]	Reclassified to conform with the current period presentation. See Note 1B(3).

Revenues (Details 1)

Revenues (Details 1) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Revenue [Abstract]
Trade receivables, net of allowance for doubtful accounts	$ 4,530	$ 5,827
Customer advances	$ 141	$ 178

Equity (Details)

Equity (Details)	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Expected dividend yield	0.00%	0.00%	0.00%
Expected life - in years	2 years 3 months 29 days	2 years 5 months 12 days
Minimum [Member]
Expected volatility	69.00%	67.00%	71.00%
Risk-free interest rate	1.92%	1.35%	0.97%
Expected life - in years			2 years 5 months 12 days
Maximum [Member]
Expected volatility	81.00%	74.00%	75.00%
Risk-free interest rate	2.84%	1.83%	1.42%
Expected life - in years			3 years 6 months

Equity (Details 1)

Equity (Details 1) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Aggregate intrinsic value
Exercisable	$ 16	$ 32	$ 45
Stock option plans [Member]
Number of options outstanding
Outstanding - Beginning Balance	1,495,000
Options granted	224,000
Options expired or forfeited	(218,001)
Options exercised	(39,999)
Outstanding - Ending Balance	1,461,000	1,495,000
Exercisable	855,642
Weighted average exercise price per share
Outstanding - Beginning Balance	$ 1.27
Options granted	1.06
Options expired or forfeited	1.32
Options exercised	0.86
Outstanding - Ending Balance	1.24	$ 1.27
Exercisable	$ 1.32
Aggregate intrinsic value
Outstanding	$ 6
Exercisable	$ 4

Equity (Details 2)

Equity (Details 2)	12 Months Ended
	Dec. 31, 2018$ / sharesshares
Options outstanding
Number Outstanding | shares	1,461,000
Weighted average remaining contractual life (years)	2 years 8 months 16 days
Options exercisable
Number outstanding | shares	855,642
Weighted average remaining contractual life (years)	2 years
0.44-0.90 [Member]
Range of exercise price
Exercise price, lower limit	$ 0.44
Exercise price, upper limit	$ 0.90
Options outstanding
Number Outstanding | shares	544,000
Weighted average remaining contractual life (years)	2 years 7 months 24 days
Weighted Average Exercise Price	$ 0.76
Options exercisable
Number outstanding | shares	356,666
Weighted average remaining contractual life (years)	1 year 11 months 12 days
Weighted Average Exercise Price	$ 0.74
1.07-1.68 [Member]
Range of exercise price
Exercise price, lower limit	1.07
Exercise price, upper limit	$ 1.68
Options outstanding
Number Outstanding | shares	707,000
Weighted average remaining contractual life (years)	3 years 5 months 9 days
Weighted Average Exercise Price	$ 1.23
Options exercisable
Number outstanding | shares	288,976
Weighted average remaining contractual life (years)	3 years 2 months 8 days
Weighted Average Exercise Price	$ 1.18
2.32-2.36 [Member]
Range of exercise price
Exercise price, lower limit	2.32
Exercise price, upper limit	$ 2.36
Options outstanding
Number Outstanding | shares	170,000
Weighted average remaining contractual life (years)	4 months 13 days
Weighted Average Exercise Price	$ 2.35
Options exercisable
Number outstanding | shares	170,000
Weighted average remaining contractual life (years)	4 months 13 days
Weighted Average Exercise Price	$ 2.35
3.03 [Member]
Range of exercise price
Exercise price	$ 3.03
Options outstanding
Number Outstanding | shares	40,000
Weighted average remaining contractual life (years)	8 months 23 days
Weighted Average Exercise Price	$ 3.03
Options exercisable
Number outstanding | shares	40,000
Weighted average remaining contractual life (years)	8 months 23 days
Weighted Average Exercise Price	$ 3.03

Equity (Details Textual)

Equity (Details Textual) - USD ($) $ / shares in Units, $ in Thousands	1 Months Ended			12 Months Ended					132 Months Ended
	Jun. 17, 2014	Oct. 22, 2013	Feb. 28, 2001	Dec. 31, 2018	Dec. 31, 2017		Dec. 31, 2016		Dec. 31, 2012
Equity (Textual)
Aggregate intrinsic value of exercisable options				$ 16	$ 32		$ 45
Warrants expires terms				2019
Outstanding warrants				40,000
Share exercise price							$ 0.95
Stock-based compensation expenses				$ 234	$ 254	[1]	$ 239	[1]
Fair value of shares vested				$ 180
Date of warrants expire				Dec. 31, 2019
Non-controlling interest and additional paid-in capital, increase							(69)
Noncontrolling Interest [Member]
Equity (Textual)
Non-controlling interest and additional paid-in capital, increase							$ 1,851
Consultants [Member]
Equity (Textual)
Options granted			75,000
Granted ordinary shares to non-employees				80,000	45,000		15,000
Employees [Member]
Equity (Textual)
Options granted			75,000
Directors [Member]
Equity (Textual)
Options granted			75,000
PARX Ltd. [Member]
Equity (Textual)
Minority interest, consideration							$ 69
Easy Park Ltd. [Member]
Equity (Textual)
Minority interest, consideration							$ 69
Stock Option Plans [Member]
Equity (Textual)
Vesting period, description				The vesting period for the options ranges from immediate vesting to ratable vesting over a four- year period. The exercise price of options under the plan is at varying prices. Those options expire up to five years after the date of the grant.
Options granted				100,000	100,000
Weighted average fair value of options granted				$ 0.46	$ 0.66		$ 0.95
Unrecognized compensation cost				$ 251
Unrecognized compensation cost, weighted-average period				1 year 2 months 16 days
Vesting period for the options terms				3 years
Exercise prices				$ 1.33
Options expires terms				5 years
Increased shares issued to share options	750,000	2,500,000							13,125,000
[1]	Reclassified to conform with the current period presentation, see Notes 1B(3) and 2W(1).

Supplemental Statement of Ope_3

Supplemental Statement of Operations Data (Details) - USD ($) $ in Thousands		12 Months Ended
		Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Condensed Income Statements, Captions [Line Items]
(Gain) loss on sale of property and equipment	[1]	$ (37)	$ 52	$ 83
Cessation of employment agreements	[2]			108
Consulting fees		70
Other expenses, net		$ 33	$ 52	$ 191
[1]	On May 7, 2016, the Company entered into an agreement pursuant to which the Company agreed to sell its headquarters building in Rosh Pina, Israel, to a third party for consideration of NIS 7,000 (approximately $1,848) and will lease back the portion of the building necessary for its current operations. The leaseback period is two years and the annual rent is $130. On September 4, 2016, the sale of the building was completed. As a result of the sale, the Company recorded a loss of $83. The Company has the right to extend the lease by two additional one year periods on the same terms and it has extended the lease by one year until July 31, 2019.
[2]	During 2016, the Company recorded compensation expenses related to the cessation of employment of the Company's former Chief Financial Officer and former General Counsel and Secretary.

Supplemental Statement of Ope_4

Supplemental Statement of Operations Data (Details Textual) ₪ in Thousands, $ in Thousands	1 Months Ended		12 Months Ended
	May 07, 2016USD ($)	May 07, 2016ILS (₪)	Dec. 31, 2018USD ($)	Dec. 31, 2017USD ($)	[1]	Dec. 31, 2016USD ($)	[1]
Supplemental Statement of Operations Data (Textual)
Consideration received from sale of building	$ 1,848	₪ 7,000
Lease agreement terms extend	1 year
Annual rent	$ 130
Leaseback period of agreement	2 years
Other operating loss	$ 83		$ 33	$ 52		$ 191
[1]	Reclassified to conform with the current period presentation. See Note 1B(3).

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Thousands		Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Deferred tax assets:
Carryforward losses		$ 44,926	$ 45,239
Other		763	785
Total gross deferred tax assets		45,689	46,024
Less - valuation allowance		45,689	46,024	$ 46,450	$ 52,431
Net deferred tax assets
Deferred tax liability -
Other	[1]	(445)	(500)
Net deferred tax liability		$ (445)	$ (500)
[1]	Relates mainly to property, plant and equipment.

Income Taxes (Details 1)

Income Taxes (Details 1) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Valuation Allowance [Line Items]
Balance at beginning of year	$ 46,024	$ 46,450	$ 52,431
Balance at end of year	45,689	46,024	46,450
Additions during the year from Continuing operations [Member]
Valuation Allowance [Line Items]
Change in valuation allowance	122	413	764
Changes due to amendments to tax laws and applicable future tax rates, see Note 12A(3) [Member]
Valuation Allowance [Line Items]
Change in valuation allowance		(518)	(6,408)
Discontinued operations - see Note 1B [Member]
Valuation Allowance [Line Items]
Change in valuation allowance	(5)	(239)	(382)
Tax from previous years [Member]
Valuation Allowance [Line Items]
Change in valuation allowance	(310)	(312)
Exchange rate differences on carryforward losses [Member]
Valuation Allowance [Line Items]
Change in valuation allowance	(20)	244	33
Adjustments to beginning-of-the-year balance due to utilization of carryforward losses in certain subsidiaries [Member]
Valuation Allowance [Line Items]
Change in valuation allowance		(16)
Deferred intercompany transactions [Member]
Valuation Allowance [Line Items]
Change in valuation allowance	(122)
Other changes [Member]
Valuation Allowance [Line Items]
Change in valuation allowance		$ 2	$ 12

Income Taxes (Details 2)

Income Taxes (Details 2) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017		Dec. 31, 2016
Income Tax [Abstract]
Current income tax expenses	$ (176)	$ (27)	[1]	$ (24)	[1]
Deferred tax benefit	477	165	[2]	155	[2]
Income tax benefit, net	$ 301	$ 138	[1]	$ 131	[1]
[1]	Reclassified to conform with the current period presentation. See Note 1B(3).
[2]	Reclassified to conform with the current period presentation, see Notes 1B(3) and 2W(1).

Income Taxes (Details 3)

Income Taxes (Details 3) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	[1]	Dec. 31, 2016	[1]
Income Tax [Abstract]
Computed "expected" income tax benefit	$ 503	$ 606		$ 794
Decrease in income tax benefit resulting from:
Change in valuation allowance, net	(122)	(413)		(764)
Nondeductible stock-based compensation related to options issued to employees	(53)	(61)		(60)
Other nondeductible expenses	(3)	(22)		(16)
Tax from previous years	(15)	(13)		110
Other	(9)	41		67
Reported income tax benefit	$ (301)	$ (138)		$ (131)
[1]	Reclassified to conform with the current period presentation. See Note 1B(3).

Income Taxes (Details 4)

Income Taxes (Details 4) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	[1]	Dec. 31, 2016	[1]
Income Tax [Abstract]
Israel	$ (2,765)	$ (2,906)		$ (3,775)
Non-Israel	576	383		600
Total	$ (2,189)	$ (2,523)		$ (3,175)
[1]	Reclassified to conform with the current period presentation. See Note 1B(3).

Income Taxes (Details Textual)

Income Taxes (Details Textual) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Income Taxes (Textual)
Corporate income tax rate	23.00%	24.00%	25.00%
Description income tax rate	Except for certain provisions, the Tax Legislation is effective for tax years beginning on or after January 1, 2018. The Tax Legislation significantly revises several sections of the U.S. Internal Revenue Code including, among other things, lowering the corporate income tax rate from 35% to 21% effective January 1, 2018, limiting deductibility of interest expense and implementing a modified territorial tax system that imposes a repatriation tax on deemed repatriated earnings of foreign subsidiaries. The main effect on the Company's U.S. subsidiary is the lowering the corporate income tax rate from 35% to 21%, which does not have a material effect on the Company's financial statements.
Statutory tax rates	23.00%	24.00%	25.00%
Description of interest rate	7.5% for Development Area A and 16% for the rest of the country. Additional amendments to the Law became effective in January 2017 (the "2017 Amendment"), according to which, subject to certain conditions, income derived by preferred companies which will meet the definition of Preferred Technological Enterprises' or "PTE" (as defined in the 2017 Amendment), would be subject to reduced corporate tax rates of 7.5% in Development Area A and 12% for the rest of the country.
Undistributed earnings of foreign subsidiaries	$ 4,435
Income tax expenses included in discontinued operations	515	$ 212	$ 213
Tax expire in year 2027 [Member]
Income Taxes (Textual)
Operating loss carryforwards	2,831
Tax expire in year 2028 [Member]
Income Taxes (Textual)
Operating loss carryforwards	$ 533
Israeli [Member]
Income Taxes (Textual)
Corporate income tax rate	20.00%
Description income tax rate	On January 4, 2016, the statutory tax rate was changed to 25% following a reduction of a corporate tax by the Israeli government. Furthermore, on December 22, 2016, the Israeli government passed a law under which the corporate tax rate was reduced from 25% to 23% in two steps. The first reduction was to a rate of 24% as from January 2017 and the second reduction was to a rate of 23% as from January 2018.
Operating loss carryforwards	$ 155,341
Capital loss carry forwards	36,741
Non-Israeli [Member]
Income Taxes (Textual)
Operating loss carryforwards	$ 3,364

Discontinued Operations (Detail

Discontinued Operations (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	[1]	Dec. 31, 2016	[1]
Discontinued Operations [Abstract]
Revenues	$ 1,722	$ 1,509		$ 2,580
Expenses	(1,381)	(1,068)		(2,456)
Other income, net	1,284	1,346		2,060
Net profit (loss) from discontinued operations	$ 1,625	$ 1,787		$ 2,184
[1]	Reclassified to conform with the current period presentation. See Note 1B(3).

Discontinued Operations (Deta_2

Discontinued Operations (Details Textual) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017		Dec. 31, 2016
Discontinued Operations (Textual)
Other income, net	$ 1,284	$ 1,346	[1]	$ 2,060	[1]
[1]	Reclassified to conform with the current period presentation. See Note 1B(3).

Operating Segments (Details)

Operating Segments (Details) - USD ($) $ in Thousands		12 Months Ended
		Dec. 31, 2018	Dec. 31, 2017		Dec. 31, 2016
Segment Reporting Information [Line Items]
Revenues		$ 21,878	$ 20,873	[1]	$ 18,752	[1]
Reconciliation of reportable segment gross profit to gross profit for the period
Depreciation	[1]	(826)	(757)		(733)
Stock-based compensation	[1]	(4)	(1)		(4)
Gross profit for the period		11,168	10,417	[1]	9,226	[1]
Retail and Mass Transit Ticketing [Member]
Segment Reporting Information [Line Items]
Revenues	[1]	16,627	15,755		14,630	[2]
Reportable segment gross profit	[1],[3]	9,441	8,623		7,598
Petroleum [Member]
Segment Reporting Information [Line Items]
Revenues		5,251	5,118	[1]	4,122
Reportable segment gross profit	[3]	2,557	2,552	[1]	2,365
Consolidated [Member]
Segment Reporting Information [Line Items]
Revenues		21,878	20,873	[1]	18,752	[1]
Reportable segment gross profit	[3]	$ 11,998	$ 11,175	[1]	$ 9,963	[1]
[1]	Reclassified to conform with the current period presentation. See Note 1B(3).
[2]	The revenues from retail and mass transit ticketing segment for the years ended December 31, 2016 include revenues derived from litigation settlements with a perpetual license agreement. Those revenues are presented within revenues from licensing and transaction fees' in the statements of operations.
[3]	Gross profit as reviewed by the CODM represents gross profit, adjusted to exclude depreciation and stock-based compensation.

Operating Segments (Details Tex

Operating Segments (Details Textual)	12 Months Ended
	Dec. 31, 2018Segments
Operating Segments (Textual)
Number of reportable segments	2

Geographic Information and Ma_3

Geographic Information and Major Customers (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	[1]	Dec. 31, 2016	[1]
Revenues from External Customers and Long-Lived Assets [Line Items]
Total export	$ 21,878	$ 20,697		$ 18,470
Domestic (Israel)		176		282
Revenues by geographical areas from external customers	21,878	20,873		18,752
Americas [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Total export	7,914	7,167		9,984
Asia [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Total export	3,122	3,421		286
Africa [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Total export	2,447	2,814		2,310
Europe [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Total export	$ 8,395	$ 7,295		$ 5,890
[1]	Reclassified to conform with the current period presentation. See Note 1B(3).

Geographic Information and Ma_4

Geographic Information and Major Customers (Details 1) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Revenues from External Customers and Long-Lived Assets [Line Items]
Long lived assets by geographical areas	$ 5,274	$ 6,195
Domestic (Israel) [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Long lived assets by geographical areas	686	740
Poland [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Long lived assets by geographical areas	3,704	4,555
South Africa [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Long lived assets by geographical areas	884	900
America [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Long lived assets by geographical areas

Geographic Information and Ma_5

Geographic Information and Major Customers (Details 2)	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	[1]	Dec. 31, 2016	[1]
Customer A [Member]
Revenue, Major Customer [Line Items]
Major Customers by percentage from total revenues	15.00%	16.00%		17.00%
Customer B [Member]
Revenue, Major Customer [Line Items]
Major Customers by percentage from total revenues	9.00%	12.00%		9.00%
Customer C [Member]
Revenue, Major Customer [Line Items]
Major Customers by percentage from total revenues	11.00%	11.00%		0.00%
[1]	Reclassified to conform with the current period presentation. See Note 1B(3).

Subsequent Events (Details)

Subsequent Events (Details) - USD ($) $ in Thousands	Jan. 31, 2019	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Subsequent Events (Textual)
Annual rent expenses		$ 363	$ 399	$ 313
Subsequent Event [Member]
Subsequent Events (Textual)
Description of operating lease periods	The operating lease periods of those buildings in Yokne'am and in Rosh Pina are five years and three years, respectively (excluding the extension-periods, as mentioned in the agreements), and expected to commence during the second quarter of 2019.
Annual rent expenses	$ 150
Reimbursement of construction costs	$ 1,000