Document and Entity Information
Document and Entity Information | 12 Months Ended |
Dec. 31, 2017shares | |
Document And Entity Information | |
Entity Registrant Name | KAMADA LTD |
Entity Central Index Key | 1,567,529 |
Document Type | 20-F |
Document Period End Date | Dec. 31, 2017 |
Amendment Flag | false |
Current Fiscal Year End Date | --12-31 |
Is Entity a Well-known Seasoned Issuer? | No |
Is Entity a Voluntary Filer? | No |
Is Entity's Reporting Status Current? | Yes |
Entity Filer Category | Non-accelerated Filer |
Entity Common Stock, Shares Outstanding | 40,254,740 |
Document Fiscal Period Focus | FY |
Document Fiscal Year Focus | 2,017 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Current Assets | ||
Cash and cash equivalents | $ 12,681 | $ 9,968 |
Short-term investments | 30,338 | 18,664 |
Trade receivables, net | 30,662 | 19,788 |
Other accounts receivables | 2,132 | 3,063 |
Inventories | 21,070 | 25,594 |
Current Assets | 96,883 | 77,077 |
Property, plant and equipment, net | 25,178 | 22,579 |
Other long term assets | 49 | 40 |
Non-Current Assets | 25,227 | 22,619 |
Assets | 122,110 | 99,696 |
Current Liabilities | ||
Current maturities of loans and capital leases | 614 | 412 |
Trade payables | 18,036 | 16,277 |
Other accounts payables | 5,820 | 5,614 |
Deferred revenues | 4,927 | 4,903 |
Current Liabilities | 29,397 | 27,206 |
Non-Current Liabilities | ||
Loans and capital leases | 1,370 | 1,364 |
Employee benefit liabilities, net | 1,144 | 722 |
Deferred revenues | 707 | 3,661 |
Non-Current Liabilities | 3,221 | 5,747 |
Shareholders' Equity | ||
Ordinary shares | 10,400 | 9,320 |
Additional paid in capital | 177,874 | 162,671 |
Capital reserve due to translation to presentation currency | (3,490) | (3,490) |
Capital reserve from hedges | 46 | (27) |
Capital reserve from available for sale financial assets | (4) | 19 |
Capital reserve from share-based payments | 9,566 | 9,795 |
Capital reserve from employee benefits | (337) | (81) |
Accumulated deficit | (104,563) | (111,464) |
Shareholder's Equity | 89,492 | 66,743 |
Shareholder's Equity and Liabilities | $ 122,110 | $ 99,696 |
Consolidated Statements of Prof
Consolidated Statements of Profit or Loss and Other Comprehensive Income (Loss) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Profit or loss [abstract] | |||
Revenues from proprietary products | $ 79,559 | $ 55,958 | $ 42,952 |
Revenues from distribution | 23,266 | 21,536 | 26,954 |
Total revenues | 102,825 | 77,494 | 69,906 |
Cost of revenues from proprietary products | 51,335 | 37,723 | 30,901 |
Cost of revenues from distribution | 19,402 | 18,411 | 23,640 |
Total cost of revenues | 70,737 | 56,134 | 54,541 |
Gross profit | 32,088 | 21,360 | 15,365 |
Research and development expenses | 11,973 | 16,245 | 16,530 |
Selling and marketing expenses | 4,398 | 3,243 | 3,652 |
General and administrative expenses | 8,273 | 7,353 | 6,607 |
Operating income (loss) | 7,444 | (5,481) | (11,424) |
Financial income | 500 | 469 | 463 |
Income (expense) in respect of currency exchange differences and derivatives instruments, net | (612) | 127 | 625 |
Financial expense | (162) | (126) | (934) |
Gain (loss) before taxes on income | 7,170 | (5,011) | (11,270) |
Taxes on income | 269 | 1,722 | |
Net income (loss) | 6,901 | (6,733) | (11,270) |
Items that may be reclassified to profit or loss in subsequent periods: | |||
Gain (loss) on available for sale financial assets | (23) | (54) | 63 |
Gain (loss) on cash flow hedges | 329 | 47 | 71 |
Net amounts transferred to the statement of profit or loss for cash flow hedges | (256) | (73) | 44 |
Items that will not be reclassified to profit or loss in subsequent periods: | |||
Actuarial gain (loss) from defined benefit plans | (256) | (22) | 22 |
Total comprehensive income (loss) | $ 6,695 | $ (6,835) | $ (11,070) |
Income (loss) per share attributable to equity holders of the Company: | |||
Basic income (loss) per share | $ 0.18 | $ (0.18) | $ (0.31) |
Diluted income (loss) per share | $ 0.18 | $ (0.18) | $ (0.31) |
Consolidated Statements of Chan
Consolidated Statements of Changes in Equity - USD ($) $ in Thousands | Share capital [Member] | Additional paid in capital [Member] | Conversion option in convertible debentures [Member] | Capital reserve from Available for sale financial assets [Member] | Capital reserve due to translation to presentation currency [Member] | Capital reserve from hedges [Member] | Capital reserve from share-based payments [Member] | Capital reserve from employee benefits [Member] | Accumulated deficit [Member] | Total | ||
Balance at Dec. 31, 2014 | $ 9,208 | $ 158,417 | $ 1,147 | $ 10 | $ (3,490) | $ (116) | $ 8,783 | $ (81) | $ (93,461) | $ 80,417 | ||
Net income (loss) | (11,270) | (11,270) | ||||||||||
Other comprehensive income (loss) | 63 | 115 | 22 | 200 | ||||||||
Total comprehensive income (loss) | 63 | 115 | 22 | (11,270) | (11,070) | |||||||
Exercise of options into shares | 112 | 2,674 | (1,533) | 1,253 | ||||||||
Expiration of conversion option on convertible debentures | 1,147 | (1,147) | ||||||||||
Cost of share-based payment | 1,907 | 1,907 | ||||||||||
Balance at Dec. 31, 2015 | 9,320 | 162,238 | 73 | (3,490) | (1) | 9,157 | (59) | (104,731) | 72,507 | |||
Net income (loss) | (6,733) | (6,733) | ||||||||||
Other comprehensive income (loss) | (54) | (26) | (22) | (102) | ||||||||
Total comprehensive income (loss) | (54) | (26) | (22) | (6,733) | (6,835) | |||||||
Exercise of options into shares | [1] | 433 | (433) | [1] | ||||||||
Cost of share-based payment | 1,071 | 1,071 | ||||||||||
Balance at Dec. 31, 2016 | 9,320 | 162,671 | 19 | (3,490) | (27) | 9,795 | (81) | (111,464) | 66,743 | |||
Net income (loss) | 6,901 | 6,901 | ||||||||||
Other comprehensive income (loss) | (23) | 73 | (256) | (206) | ||||||||
Total comprehensive income (loss) | (23) | 73 | (256) | 6,901 | 6,695 | |||||||
Exercise and forfeiture of share-based payment into shares | 3 | 712 | (712) | 3 | ||||||||
Issuance of ordinary shares, net of issuance costs | 1,077 | 14,491 | 15,568 | |||||||||
Cost of share-based payment | 483 | 483 | ||||||||||
Balance at Dec. 31, 2017 | $ 10,400 | $ 177,874 | $ (4) | $ (3,490) | $ 46 | $ 9,566 | $ (337) | $ (104,563) | $ 89,492 | |||
[1] | Represent an amount lower than $1. |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Cash Flows from Operating Activities | ||||
Net income (loss) | $ 6,901 | $ (6,733) | $ (11,270) | |
Adjustments to the profit or loss items: | ||||
Depreciation and impairment | 3,523 | 3,501 | 3,227 | |
Financial expenses (income), net | 274 | (470) | (154) | |
Cost of share-based payment | 483 | 1,071 | 1,907 | |
Income tax expense | 269 | 1,722 | ||
Gain from sale of property and equipment | (52) | (18) | ||
Change in employee benefit liabilities, net | 166 | (87) | 87 | |
Adjustments to the profit or loss items | 4,663 | 5,719 | 5,067 | |
Changes in asset and liability items: | ||||
Decrease (increase) in trade receivables, net | (9,967) | 3,489 | (5,604) | |
Decrease in other accounts receivables | 328 | 211 | 118 | |
Decrease (increase) in inventories | 4,524 | 742 | (913) | |
Decrease (increase) in deferred expenses | 594 | (433) | (565) | |
Increase (decrease) in trade payables | (838) | (2,650) | 887 | |
Increase in other accounts payables | 71 | 1,520 | 94 | |
Increase (decrease) in deferred revenues | (2,930) | 1,035 | (2,405) | |
Changes in asset and liability items | (8,218) | 3,914 | (8,388) | |
Cash received (paid) during the year for: | ||||
Interest paid | (21) | (60) | (484) | |
Interest received | 399 | 842 | 1,143 | |
Taxes paid | (116) | (1,785) | (47) | |
Cash received (paid) during the year | 262 | (1,003) | 612 | |
Net cash provided by (used in) operating activities | 3,608 | 1,897 | (13,979) | |
Cash Flows from Investing Activities | ||||
Proceeds from sale of (investment in) short term investments, net | (11,501) | 4,236 | 13,971 | |
Purchase of property and equipment and intangible assets | (4,167) | (2,641) | (2,718) | |
Proceeds from sale of property and equipment | 60 | 42 | ||
Net cash provided by (used in) investing activities | (15,608) | 1,637 | 11,253 | |
Cash Flows from Financing Activities | ||||
Proceeds from exercise of warrants and options | 3 | [1] | 1,254 | |
Receipt of long-term loans | 279 | 1,701 | 197 | |
Repayment of long-term loans | (530) | (211) | (9) | |
Repayment of convertible debentures | (7,797) | |||
Proceeds from issuance of ordinary shares, net | 15,568 | |||
Net cash provided by (used in) financing activities | 15,320 | 1,490 | (6,355) | |
Exchange differences on balances of cash and cash equivalent | (607) | (103) | (418) | |
Increase (decrease) in cash and cash equivalents | 2,713 | 4,921 | (9,499) | |
Cash and cash equivalents at the beginning of the year | 9,968 | 5,047 | 14,546 | |
Cash and cash equivalents at the end of the year | 12,681 | 9,968 | 5,047 | |
Significant non-cash transactions | ||||
Purchase of property and equipment through capital lease | 282 | 132 | ||
Purchase of property and equipment | $ 1,681 | $ 1,968 | ||
[1] | Represent an amount of less than 1 thousands |
GENERAL
GENERAL | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of general [Abstract] | |
GENERAL | Note 1: - General a. General description of the Company and its activity Kamada Ltd. ("the Company") is a plasma-derived protein therapeutics company with an existing marketed product portfolio and a late-stage product pipeline. The Company uses its proprietary platform technology and know-how for the extraction and purification of proteins from human plasma to produce Alpha-1 Antitrypsin (AAT) in a high purity, liquid form, as well as other plasma-derived proteins. The Company's flagship product is "Glassia". In addition to Glassia, Kamada has a product line consisting of six other products which are marketed in more than fifteen countries, including Israel, Russia, Brazil, India and other countries in Latin America and Asia. The Company's activity is divided into two operating segments: Proprietary Products Develop and manufacture plasma-derived therapeutics and market them in more than 15 countries. Distribution Distribute imported drugs in Israel, which are manufactured by third parties, most of which are produced from plasma or its derivative products. The Company's securities are listed for trading on the Tel Aviv stock exchange and on the NASDAQ. b. The Company has three wholly-owned subsidiaries – Kamada Inc and Bio-Kam Ltd which are not active and Kamada Biopharma Limited. In addition the Company owns 74% of Kamada Assets Ltd ("Kamada Assets"). c. Definitions In these Financial Statements – The Company - Kamada Ltd. The Group - The Company and its subsidiaries. Subsidiary - A company which the Company has a control over (as defined in IFRS 10) and whose financial statements are consolidated with the Company's Financial Statements. Related parties - As defined in IAS 24. USD/$ - U.S. dollar. NIS - New Israeli Shekel |
SIGNIFICANT ACCOUNTING POLICIES
SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of significant accounting policies [Abstract] | |
SIGNIFICANT ACCOUNTING POLICIES | Note 2: - Significant Accounting Policies a. Basis of presentation of financial statements 1. These financial statements have been prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standard Board. 2. Measurement basis: The Company's consolidated Financial Statements are prepared on a cost basis, except for financial instruments (including derivatives) at fair value through profit or loss and other comprehensive income such as available for sales financial assets, employee benefit assets and employee benefit liabilities. The Company has elected to present profit or loss items using the "function of expense" method. b . The Company's operating cycle is one year. c. The consolidated financial statements comprise the financial statements of companies that are controlled by the Company (subsidiaries). Control is achieved when the Company is exposed, or has rights, to variable returns from its involvement with the investee and has the ability to affect those returns through its power over the investee. The consolidation of the financial statements commences on the date on which control is obtained and ends when such control ceases. The financial statements of the Company and of the subsidiaries are prepared as of the same dates and periods. The consolidated financial statements are prepared using uniform accounting policies by all companies in the Group. Significant intercompany balances and transactions and gains or losses resulting from intercompany transactions are eliminated in full in the consolidated financial statements. d. Functional currency, presentation currency and foreign currency 1. Functional currency and presentation currency The consolidated financial statements are presented in U.S. dollars, which is the Company's functional and presentation currency. 2. Transactions, assets and liabilities in foreign currency Transactions denominated in foreign currency are recorded on initial recognition at the exchange rate at the date of the transaction. After initial recognition, monetary assets and liabilities denominated in foreign currency are translated at the end of each reporting period into the functional currency at the exchange rate at that date. Exchange differences are recognized in profit or loss. Non-monetary assets and liabilities measured at cost in a foreign currency are translated at the exchange rate at the date of the transaction. e. Cash equivalents Cash equivalents are considered as highly liquid investments, including unrestricted short-term bank deposits with an original maturity of three months or less from the date of purchase. f. Short-term investments: Short-term bank deposits with a maturity of more than three months from the deposit date but less than one year, available for sale financial investments (debentures) and financial assets held for trading at fair value through profit or loss (debentures and stocks). g. Allowance for doubtful accounts The allowance for doubtful accounts is determined in respect of specific debts whose collection, in the opinion of the Company's management, is doubtful. Impaired debts are derecognized when they are assessed as uncollectible. As of December 31, 2017 there was no allowance for doubtful accounts and as of December 31, 2016, the balance of allowance for doubtful accounts was $399 thousands. h. Inventories Inventories are measured at the lower of cost and net realizable value. The cost of inventories comprises costs of purchase of raw and other materials and costs incurred in bringing the inventories to their present location and condition. Net realizable value is the estimated selling price in the ordinary course of business. Cost of inventories is determined as follows: Raw materials - At cost using the first-in, first-out method. Work in process - Direct costs and indirect costs calculated at average costs for the quarter of manufacturing including materials, labor and other direct and indirect manufacturing costs on the basis of each batch. Finished products - Direct costs and indirect costs calculated at average costs for quarter of manufacturing including materials, labor and other direct and indirect manufacturing costs on the basis of each batch. Purchased products - At cost on a "first in – first out" basis. The Company periodically evaluates the condition and age of inventories and accounts for impairment of inventories with a lower market value or which are slow moving. Research and development costs Research expenditures are recognized in profit or loss when incurred. An intangible asset arising from a development project or from the development phase of an internal project is recognized if the Company can demonstrate the technical feasibility of completing the intangible asset so that it will be available for use or sale; the Company's intention to complete the intangible asset and use or sell it; the Company's ability to use or sell the intangible asset; how the intangible asset will generate future economic benefits; the availability of adequate technical, financial and other resources to complete the intangible asset; and the Company's ability to measure reliably the expenditure attributable to the intangible asset during its development. Since the Company development projects are often subject to regulatory approval procedures and other uncertainties, the conditions for the capitalization of costs incurred before receipt of approvals are not normally satisfied and therefore, development expenditures are recognized in profit or loss when incurred i . Revenue recognition Revenues are recognized in profit or loss when the revenues can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the Company and the costs incurred or to be incurred in respect of the transaction can be measured reliably. In cases where the Company operates as a principal supplier and it exposed to the risks and rewards associated with the transaction, revenues are presented on a gross basis. Revenues are measured at the fair value of the consideration received less any trade discounts, volume rebates and returns. The specific criteria for revenue recognition for the following types of revenues are: - Revenues from the sale of goods are recognized when all the significant risks and rewards of ownership of the goods have passed to the buyer and the seller no longer retains continuing managerial involvement. The delivery date is usually the date on which ownership passes. - Agreements with multiple elements provide for varying consideration terms, such as upfront payments and milestone payments. Revenues from such agreements that do not contain a general right of return and that are composed of multiple elements such as distribution exclusivity, license and services are allocated to the different elements and are recognized in respect of each element separately. An element constitutes a separate accounting unit if and only if it has a separate value to the customer. Revenue from the different element is recognized when the criteria for revenue recognition have been met and only to the extent of the consideration that is not contingent upon completion or performance of future services in the contract. Revenue from milestone and upfront events stipulated in the agreements is recognized upon the occurrence of a substantive element specified in the agreement or as a measure of substantive progress towards completion. In events that the Company receives at no charge raw material, that is required for manufacturing one of the Company's products, the Company recorded the fair value of the raw material used and sold as revenue and charged the same fair value to cost of revenue. Deferred revenues Deferred revenues include unearned amounts received from customers not yet recognized as revenues. j. Taxes on income Taxes on income in profit or loss comprise current and deferred taxes. Current or deferred taxes are recognized in profit or loss, except to the extent that the tax arises from items which are recognized directly in other comprehensive income or in equity. 1. Current taxes: The current tax liability is measured using the tax rates and tax laws that have been enacted or substantively enacted by the end of reporting period as well as adjustments required in connection with the tax liability in respect of previous years. 2. Deferred taxes: Deferred taxes are computed in respect of temporary differences between the carrying amounts in the financial statements and the amounts attributed for tax purposes. Deferred taxes are measured at the tax rates that are expected to apply when the asset is realized or the liability is settled, based on tax laws that have been enacted or substantively enacted by the end of the reporting period. Deferred tax assets are reviewed at the end of each reporting period and reduced to the extent that it is not probable that they will be utilized. Temporary differences for which deferred tax assets had not been recognized are reviewed at the end of each reporting period and a respective deferred tax asset is recognized to the extent that their utilization is probable. Deferred taxes are offset in the statement of financial position if there is a legally enforceable right to offset a current tax asset against a current tax liability and the deferred taxes relate to the same taxpayer and the same taxation authority. k. Leases The Group as lessee: 1. Finance lease Finance leases transfer to the Company substantially all the risks and benefits incidental to ownership of the leased asset. At the commencement of the lease term, the leased assets are measured at the fair value of the leased asset or, if lower, at the present value of the minimum lease payments. The leased asset is depreciated over the shorter of the lease term and the expected life of the leased asset. 2. Operating lease Lease agreements are classified as an operating lease if they do not transfer substantially all the risks and benefits incidental to ownership of the leased asset. Lease payments are recognized as an expense in profit or loss on a straight-line basis over the lease term. l. Property, plant and equipment Property, plant and equipment are measured at cost, including directly attributable costs and financing costs, less accumulated depreciation, accumulated impairment losses and any related investment grants and excluding day-to-day servicing expenses. Cost includes spare parts and auxiliary equipment that can be used only in connection with the plant and equipment. The Company's assets include computer systems comprising hardware and software. Software forming an integral part of the hardware to the extent that the hardware cannot function without the programs installed on it is classified as property, plant and equipment. In contrast, software that adds functionality to the hardware is classified as an intangible asset. The cost of assets includes the cost of materials, direct labor costs, as well as any costs directly attributable to bringing the asset to the location and condition necessary for it to operate in the manner intended by management. Depreciation is calculated on a straight-line basis over the useful life of the assets at annual rates as follows: % Mainly Buildings 2.5-4 4 Machinery and equipment 10-20 15 Vehicles 15 15 Computers, software, equipment and office furniture 6-33 33 Leasehold improvements (* ) 10 (*) Leasehold improvements are depreciated on a straight-line basis over the shorter of the lease term (including the extension option held by the Company and intended to be exercised) and the expected life of the improvement. The useful life, depreciation method and residual value of an asset are reviewed at the year-end and any changes are accounted for prospectively as a change in accounting estimate. Depreciation of an asset ceases at the earlier of the date that the asset is classified as held for sale and the date that the asset is derecognized. m. Impairment of non-financial assets The Company evaluates the need to record an impairment of the carrying amount of non-financial assets whenever events or changes in circumstances indicate that the carrying amount is not recoverable. If the carrying amount of non-financial assets exceeds their recoverable amount, the assets are reduced to their recoverable amount. The recoverable amount is the higher of fair value less costs of sale and value in use. In measuring value in use, the expected future cash flows are discounted using a pre-tax discount rate that reflects the risks specific to the asset. The recoverable amount of an asset that does not generate independent cash flows is determined for the cash-generating unit to which the asset belongs. An impairment loss of an asset, is reversed only if there have been changes in the estimates used to determine the asset's recoverable amount since the last impairment loss was recognized. Reversal of an impairment loss, as above, shall not be increased above the lower of the carrying amount that would have been determined (net of depreciation or amortization) had no impairment loss been recognized for the asset in prior years and its recoverable amount. n. Financial instruments 1. Financial assets Financial assets within the scope of IAS 39 are initially recognized at fair value plus directly attributable transaction costs, except for financial assets measured at fair value through profit or loss. After initial recognition, the accounting treatment of financial assets is based on their classification as follows: a. Financial assets at fair value through profit or loss Financial assets held for trading and derivative instruments that do not qualify for hedge accounting. Financial assets are classified as held for trading if they are acquired for the purpose of selling or repurchasing in the near term. b. Receivables The Company has receivables that are financial assets with fixed or determinable payments that are not quoted in an active market. c. Available for sale ("AFS") financial investments AFS financial investments include debt securities. Debt securities in this category are those that are intended to be held for an indefinite period of time and that may be sold in response to needs for liquidity or in response to changes in the market conditions. The Company has classified all marketable securities as short-term, even though the stated maturity date may be one year or more beyond the current balance sheet date, because it may sell these securities prior to maturity to meet liquidity needs or as part of risk versus reward objectives. After initial measurement, AFS financial investments are subsequently measured at fair value with unrealized gains and losses recognized in other comprehensive income ("OCI") until the investment is derecognized For AFS financial investments, the Company assesses at each reporting date whether there is objective evidence that an investment is impaired. For debt instruments classified as AFS financial assets, objective evidence of impairment may arise as a result of one or more events that have a negative impact on the estimated future cash flows of the asset since the recognition of the asset. Where there is evidence of impairment, the cumulative loss - measured as the difference between the acquisition cost and the fair value - is reclassified from other comprehensive income and recognized as an impairment loss in profit or loss. In a subsequent period, the amount of the impairment loss is reversed if the increase in fair value can be related objectively to an event occurring after the impairment was recognized. The amount of the reversal, up to the amount of any previous impairment, is recorded in profit or loss. 2. Financial liabilities Financial liabilities within the scope of IAS 39 are initially measured at fair value. After initial recognition, the accounting treatment of financial liabilities is based on their classification as follows: a. Financial liabilities measured at amortized cost Loans, including capital leases, are measured based on their terms at amortized cost using the effective interest method taking into account directly attributable transaction costs. b. Financial liabilities measured at fair value Derivatives, including separated embedded derivatives, are classified as held for trading unless they are designated as effective hedging instruments. 3. Fair value Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. A fair value measurement of a non-financial asset takes into account a market participant's ability to generate economic benefits by using the asset in its highest and best use or by selling it to another market participant that would use the asset in its highest and best use. The Company uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value, maximizing the use of relevant observable inputs and minimizing the use of unobservable inputs. All assets and liabilities for which fair value is measured or disclosed in the financial statements are categorized within the fair value hierarchy, described as follows, based on the lowest level input that is significant to the fair value measurement as a whole: - Level 1 - quoted prices (unadjusted) in active markets for identical assets or liabilities. - Level 2 - inputs other than quoted prices included within Level 1 that are observable either directly or indirectly. - Level 3 - inputs that are not based on observable market data (valuation techniques which use inputs that are not based on observable market data). 4. Offsetting financial instruments Financial assets and financial liabilities are offset and the net amount is presented in the statement of financial position if there is a legally enforceable right to set off the recognized amounts and there is an intention either to settle on a net basis or to realize the asset and settle the liability simultaneously. The right of set-off must be legally enforceable not only during the ordinary course of business of the parties to the contract but also in the event of bankruptcy or insolvency of one of the parties. In order for the right of set-off to be currently available, it must not be contingent on a future event, there may not be periods during which the right is not available, or there may not be any events that will cause the right to expire. 5. De-recognition of financial instruments a. Financial assets A financial asset is derecognized when the contractual rights to the cash flows from the financial asset expire or the Company has transferred its contractual rights to receive cash flows from the financial asset or assumes an obligation to pay the cash flows in full without material delay to a third party and has transferred substantially all the risks and rewards of the asset, or has neither transferred nor retained substantially all the risks and rewards of the asset, but has transferred control of the asset. b. Financial liabilities A financial liability is derecognized when it is extinguished, that is when the obligation is discharged or cancelled or expires. A financial liability is extinguished when the debtor (the Company) discharges the liability by paying in cash, other financial assets, goods or services or is legally released from the liability. o. Derivative financial instruments designated as hedges The Company enters into contracts for derivative financial instruments such as forward currency contracts and cylinder strategy in respect of foreign currency to hedge risks associated with foreign exchange rates fluctuations. Such derivative financial instruments are carried as financial assets when the fair value is positive and as financial liabilities when the fair value is negative. At the inception of a hedge relationship, the Company formally designates and documents the hedge relationship to which the Company wishes to apply hedge accounting and the risk management objective and strategy for undertaking the hedge. The hedge effectiveness is assessed at the end of each reporting period. Cash flow hedges The effective portion of the gain or loss on the hedging instrument is recognized as other comprehensive income (loss), while any ineffective portion is recognized immediately in profit or loss. Amounts recognized as other comprehensive income (loss) are reclassified to profit or loss when the hedged transaction affects profit or loss, such as when the hedged income or expense is recognized or when a forecast payment occurs. If the forecast transaction or firm commitment is no longer expected to occur, amounts previously recognized in equity are reclassified to profit or loss. If the hedging instrument expires or is sold, terminated or exercised, or if its designation as a hedge is revoked, amounts previously recognized in equity remain in equity until the forecast transaction or firm commitment occurs. p . Accrued expenses A provision in accordance with IAS 37 is recognized when the Group has a present (legal or constructive) obligation as a result of a past event, it is expected to require the use of economic resources to clear the obligation and a reliable estimate can be made of it. r. Employee benefit liabilities The Company has several employee benefit plans: 1. Short-term employee benefits Short-term employee benefits include salaries, paid annual leave, paid sick leave, recreation and social security contributions and are recognized as expenses as the services are rendered. A liability in respect of a cash bonus is recognized when the Company has a legal or constructive obligation to make such payment as a result of past service rendered by an employee and a reliable estimate of the amount can be made. 2. Post-employment benefits The post-employment benefits plans are normally financed by contributions to insurance companies and classified as defined contribution plans or as defined benefit plans. The Company has defined contribution plans pursuant to Section 14 to the Israeli Severance Pay Law under which the Company pays fixed contributions to certain employees under section 14 and will have no legal or constructive obligation to pay further contributions. Contributions to the defined contribution plan in respect of severance or retirement pay are recognized as an expense when contributed concurrently with performance of the employee's services. In addition the Company operates a defined benefit plan in respect of severance pay pursuant to the Israeli Severance Pay Law. According to the Law, employees are entitled to severance pay upon dismissal or retirement. The liability for termination of employment is measured using the projected unit credit method. The amounts are presented based on discounted expected future cash flows using a discount rate determined by reference to market yields at the reporting date on high quality corporate bonds that are linked to the Consumer Price Index with a term that is consistent with the estimated term of the severance pay obligation. In respect of its severance pay obligation to certain of its employees, the Company makes current deposits in pension funds and insurance companies ("the plan assets"). Plan assets comprise assets held by a long-term employee benefit fund or qualifying insurance policies. Plan assets are not available to the Company's own creditors and cannot be returned directly to the Company. The liability for employee benefits shown in the statement of financial position reflects the present value of the defined benefit obligation less the fair value of the plan assets. Re-measurements of the net liability are recognized in other comprehensive income in the period in which they occur. q. Share-based payment transactions The Company's employees and other service providers are entitled to remuneration in the form of equity-settled share-based payment transactions. Equity-settled transactions The cost of equity-settled transactions (options and restricted shares) with employees is measured at the fair value of the equity instruments granted at grant date. The fair value of options is determined using a standard option pricing model. The fair value of restricted shares is determined using the share price at the grant date. As for other service providers, the cost of the transactions is measured at the fair value of the goods or services received as consideration for equity instruments. In cases where the fair value of the goods or services received as consideration of equity instruments cannot be measured, they are measured by reference to the fair value of the equity instruments granted. The cost of equity-settled transactions is recognized in profit or loss together with a corresponding increase in shareholder's equity during the period which the performance and/or service conditions are to be satisfied ending on the date on which the relevant employees become entitled to the award ("the vesting period"). The cumulative expense recognized for equity-settled transactions at the end of each reporting period until the vesting date reflects the extent to which the vesting period has expired and the Company’s best estimate of the number of equity instruments that will ultimately vest. No expense is recognized for awards that do not ultimately vest. If the Company modifies the conditions on which equity-instruments were granted, an additional expense is recognized for any modification that increases the total fair value of the share-based payment arrangement or is otherwise beneficial to the employee/other service provider at the modification date. r. Income (loss) per Share Income (loss) per share is calculated by dividing the income (loss) attributable to Company shareholders by the weighted number of outstanding ordinary shares during the period. Ordinary shares underlying shares options or restricted Shares are only included in the calculation of diluted income (loss) per share when their impact dilutes the income (loss) per share. Furthermore, potential ordinary shares converted during the period are included under diluted income (loss) per share only until the conversion date, and from that date on are included under basic income (loss) per share. s. Reclassification of prior years' amounts Certain amounts in prior years' financial statements have been reclassified to conform to the current year's presentation. The reclassification had no effect on previously reported net loss or shareholders' equity. |
SIGNIFICANT ACCOUNTING JUDGMENT
SIGNIFICANT ACCOUNTING JUDGMENTS, ESTIMATES AND ASSUMPTIONS USED IN THE PREPARATION OF THE FINANCIAL STATEMENTS | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of significant accounting judgments, estimates and assumptions used in the preparation of the financial statements [Abstract] | |
SIGNIFICANT ACCOUNTING JUDGMENTS, ESTIMATES AND ASSUMPTIONS USED IN THE PREPARATION OF THE FINANCIAL STATEMENTS | Note 3: - Significant accounting judgments, estimates and assumptions used in the preparation of the financial statements Judgments Revenue The Company assesses the criteria for recognition of revenue related to up-front payments and multiple components as outlined by IAS 18, Revenue. Judgment is necessary to determine over which period the Company will satisfy its obligations related to up-front payments and when components can be recognized separately and the allocation of the related consideration to each component. For additional information, refer to Note 17a. Estimates and assumptions The key assumptions made in the financial statements concerning uncertainties at the end of the reporting period and the critical estimates computed by the Company that may result in a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below. - Legal claims In estimating the likelihood of outcome of legal claims filed against the Company and its investees, the Company relies on the opinion of its legal counsel. These estimates are based on the legal counsel's best professional judgment, taking into account the stage of proceedings and historical legal precedents in respect of the different issues. Since the outcome of the claims will be determined in courts, the results could differ from these estimates. - Pensions and other post-employment benefits The liability in respect of post-employment defined benefit plans is determined using actuarial valuations. The actuarial valuation involves making assumptions about, among others, discount rates, expected rates of return on assets, future salary increases and mortality rates. Due to the long-term nature of these plans, such estimates are subject to significant uncertainty. - Determining the fair value of share-based payment transactions Estimating fair value for share-based payment transactions requires determination of the most appropriate valuation model, which depends on the terms and conditions of the grant. This estimate also requires determination of the most appropriate inputs to the valuation model including the expected life of the share option or appreciation right, volatility and dividend yield and making assumptions about them. - Provisions for clinical trial and related expenses Accrued expenses costs for clinical trial activities performed by third parties, are based on estimates on the progress of completion of the clinical trials or services, as of the end of each reporting period, pursuant to the contract with the third parties, and the agreed upon fee to be paid for such services. - Capitalization of materials for clinical trials and inventory designated for R&D activities The Company recognizes inventory produced for commercial sale, including costs incurred prior to regulatory approval but subsequent to the filing of a regulatory request when the Company has determined that the inventory has probable future economic benefit. Inventory is not recognized prior to completion of a phase III clinical trial. For products with an approved indication, raw materials and purchased drug product associated with development programs are included in inventory and charged to research and development expense when consumed. For products without an approved indication, drug product is charged to research and development expense. |
DISCLOSURE OF NEW IFRS IN THE P
DISCLOSURE OF NEW IFRS IN THE PERIOD | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of new ifrs in the period [Abstract] | |
DISCLOSURE OF NEW IFRS IN THE PERIOD | Note 4: - Disclusure Of New Ifrs In The Period a. IFRS 15 – Revenues from contracts with customers The standard outlines a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and supersedes most current revenue recognition guidance, including industry-specific guidance. The core principle of the new standard is for companies to recognize revenue to depict the transfer of goods or services to customers in amounts that reflect the consideration (that is, payment) to which the Company expects to be entitled in exchange for those goods or services. The new standard also will result in enhanced disclosures about revenue, provide guidance for transactions that were not previously addressed comprehensively (for example, service revenue and contract modifications) and improve guidance for multiple-element arrangements. IFRS 15 is to be applied retrospectively for annual periods beginning on or after January 1, 2018. IFRS 15 allows an entity to choose to apply a modified retrospective approach. During 2017, the Company performed an assessment of IFRS 15 impact as described below. The Company is in the business of sale of plasma-derived therapeutics products and distribution in Israel of drugs manufacture by other companies. The products are sold on their own in separate identified contracts with customers. In addition, the Company received certain milestone and advances from Commercialization, Distribution and License Agreements with strategic partners. The Company performed the following preliminary assessment of IFRS 15: (1) Sale of goods Application of the IFRS 15 to contracts with customers in which the sale of product is generally expected to be the only performance obligation does not have any impact on the Company’s profit or loss following implementation of IFRS 15. The revenue recognition occurs at a point in time when control of the asset is transferred to the customer, generally on delivery of the goods. In implementation of IFRS 15, the Company is considering the following: (1) Variable consideration Some contracts with customers provide a right of return, trade discounts or volume rebates. Currently, the Company recognizes revenue from the sale of goods measured at the fair value of the consideration received or receivable, net of returns and allowances, trade discounts and volume rebates. If revenue cannot be reliably measured, the Company defers revenue recognition until the uncertainty is resolved. Such provisions give rise to variable consideration under IFRS 15, which will be required to be estimated at contract inception. IFRS 15 requires that the variable consideration be estimated conservatively to prevent over-recognition of revenue. The Company continues to assess individual contracts to determine the estimated variable consideration and related constraint. There is no impact of IFRS 15on the financial statements. (2) Upfront and milestone payments Agreements with strategic partners that include upfront and milestone payments contain a performance obligation that is satisfied over time given that the customer simultaneously receives and consumes the benefits provided by the Company. Currently, the Company defers the upfront payments and recognizes revenue over time by reference to the stage of completion. Under IFRS 15, the Company would continue to recognize revenue for upfront payments over time rather than at a point of time. The Company identified the existence of a significant financing component resulting from an upfront payment. As of January 1, 2018 an amount of $ 757 thousands will be recognized as an increase of the deferred revenue against accumulated deficit and through 2018 will be recognize as revenue in the financial statements. Other than the financing component, there was no impact on the financial statement due to IFRS 15 implementation. (3) Presentation and disclosure requirements IFRS 15 provides presentation and disclosure requirements, which are more detailed than under current IFRS. The presentation requirements represent a significant change from current practice and may significantly expand the disclosures required in Company’s financial statements. Many of the disclosure requirements in IFRS 15 are completely new. In 2017 the Company updated the internal controls, policies and procedures necessary to collect and disclose the required information. b. IFRS 9 - Financial Instruments In July 2014, the IASB completed the final element of its comprehensive response to the financial crisis by issuing IFRS 9 Financial Instruments. The package of improvements introduced by IFRS 9 includes a logical model for classification and measurement, a single, forward-looking ‘expected loss’ impairment model and a substantially-reformed approach to hedge accounting. Certain securities that are currently measured at Fair Value through profit and lost will be measured at Fair Value through other comprehensive income (loss) due to implementation of IFRS 9. In addition, the Company will measure expected credit loss of the securities that will be measured at fair value through other comprehensive income (loss) . IFRS 9 is to be applied for annual periods beginning on January 1, 2018. The Company does not there to be any material impact from the adoption of IFRS 9 on the financial statements. c. IFRS 16 – Leases In January 2016, the IASB issued IFRS 16, Leases. IFRS 16, that replaces IAS imply small right The new Standard is effective for annual periods beginning on or after January 1, 2019. Earlier application is permitted provided that IFRS 15, "Revenue from Contracts with Customers", is applied concurrently. The Company is evaluating the possible impact of IFRS 16 but is presently unable to assess its effect, on the financial statements. d. IFRIC Interpretation 23 - Uncertainty over Income Tax Treatment The Interpretation clarifies application of recognition and measurement The interpretation is effective for annual reporting periods beginning on or after 1 January 2019. The Company is evaluating the possible impact of IFRIC Interpretation 23 but is presently unable to assess its effect, on the financial statements. |
CASH AND CASH EQUIVALENTS
CASH AND CASH EQUIVALENTS | 12 Months Ended |
Dec. 31, 2017 | |
Cash and cash equivalents [abstract] | |
CASH AND CASH EQUIVALENTS | Note 5: - Cash And Cash Equivalents December 31, 2017 2016 In thousands Cash and deposits for immediate withdrawal $ 8,539 $ 7,891 Cash equivalents in USD deposits (1) 4,001 2,001 Cash equivalents in NIS deposits (2) 141 76 $ 12,681 $ 9,968 (1) The deposits bear interest of 1.53% and 1.12% per year, as of December 31, 2017 and 2016, respectively. (2) The deposits bear interest of 0.01% per year, as of each December 31, 2017 and 2016. |
SHORT-TERM INVESTMENTS
SHORT-TERM INVESTMENTS | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of short-term investments [Abstract] | |
SHORT-TERM INVESTMENTS | Note 6: - Short-Term Investments December 31, 2017 2016 In thousands Marketable securities (equity and debt) at fair value through profit or loss $ 1,663 $ 1,490 Bank deposits in USD (1) 20,078 8,010 Available for sale debt securities 8,597 9,164 $ 30,338 $ 18,664 (1) The deposits bear interest of 1.70%-2.3% and 1.69 % |
TRADE RECEIVABLES, NET
TRADE RECEIVABLES, NET | 12 Months Ended |
Dec. 31, 2017 | |
Trade and other current receivables [abstract] | |
TRADE RECEIVABLES, NET | Note 7: - Trade Receivables, net December 31, 2017 2016 In thousands Open accounts: In NIS $ 8,263 $ 9,326 In USD 22,284 10,816 30,547 20,142 Checks receivable 115 45 30,662 20,187 Less allowance for doubtful accounts (1) - (399 ) Trade receivables, net $ 30,662 $ 19,788 (1) Allowance for doubtful accounts: December 31, 2016 $ (399 ) Bad debt recognition 399 December 31, 2017 $ - An analysis of past due but not impaired trade receivables with reference to reporting date: Past due trade receivables with aging of Neither past due nor impaired Up to 30 Days 30-60 Days 60-90 Days 90-120 Days Over 120 days Total In thousands December 31, 2017 $ 29,692 680 $ 21 $ 152 $ 2 $ - $ 30,547 December 31, 2016 $ 17,769 1,891 $ 24 $ 43 $ 6 $ 10 $ 19,743 |
OTHER ACCOUNTS RECEIVABLES
OTHER ACCOUNTS RECEIVABLES | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of other accounts receivables [Abstract] | |
OTHER ACCOUNTS RECEIVABLES | Note 8: - Other accounts Receivables December 31, 2017 2016 In thousands Materials for clinical trials and inventory designated for R&D activities $ 635 $ 1,229 Prepaid expenses 822 1,057 Government authorities 563 374 Accrued interest 66 82 Other 46 321 $ 2,132 $ 3,063 |
INVENTORIES
INVENTORIES | 12 Months Ended |
Dec. 31, 2017 | |
Classes of current inventories [abstract] | |
INVENTORIES | Note 9: – Inventories December 31, 2017 2016 In thousands Finished products $ 5,168 $ 6,542 Purchased products 2,695 5,607 Work in progress 6,159 6,227 Raw materials 7,048 7,218 $ 21,070 $ 25,594 (1) During the years 2017, 2016 and 2015, the Company recognized, at cost of revenues, as impairment for inventories carried at net realizable value totaled of $460 thousands, $544 thousands and $470 thousands, respectively. |
PROPERTY, PLANT AND EQUIPMENT
PROPERTY, PLANT AND EQUIPMENT | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of detailed information about property, plant and equipment [abstract] | |
PROPERTY, PLANT AND EQUIPMENT | Note 10: – Property, Plant and equipment a. Composition and movement: 2017 Land and Buildings(1) Machinery and Equipment (1) (2) Vehicles Computers, Software, Equipment and Office Furniture Leasehold Improvements Total In thousands Cost Balance at January 1, 2017 $ 27,618 $ 26,485 $ 94 $ 5,520 $ 1,052 $ 60,769 Additions 781 3,151 - 1,002 1,196 6,130 Sale and write-off - (34 ) (28 ) - (975 ) (1,037 ) Balance as of December 31, 2017 28,399 29,602 66 6,522 1,273 65,862 Accumulated Depreciation Balance as of January 1, 2017 12,606 19,972 86 4,559 967 38,190 Depreciation and impairment 1,310 1,492 1 635 85 3,523 Sale and write-off - (34 ) (28 ) - (967 ) (1,029 ) Balance as of December 31, 2017 13,916 21,430 59 5,194 85 40,684 Depreciated cost as of December 31, 2017 $ 14,483 $ 8,172 $ 7 1,328 $ 1,188 $ 25,178 2016 Land and Buildings(1) Machinery and Equipment (1) (2) Vehicles Computers, Software, Equipment and Office Furniture Leasehold Improvements Total In thousands Cost Balance at January 1, 2016 $ 26,701 $ 24,111 $ 94 $ 5,156 $ 1,079 $ 57,141 Additions 963 3,220 - 507 62 4,752 Sale and write-off (46 ) (846 ) (143 ) (89 ) (1,124 ) Balance as of December 31, 2016 27,618 26,485 94 5,520 1,052 60,769 Accumulated Depreciation Balance as of January 1, 2016 11,237 19,310 83 4,136 1,012 35,778 Depreciation and impairment 1,402 1,355 3 564 44 3,368 Sale and write-off (33 ) (693 ) (141 ) (89 ) (956 ) Balance as of December 31, 2016 12,606 19,972 86 4,559 967 38,190 Depreciated cost as of December 31, 2016 $ 15,012 $ 6,513 $ 8 961 $ 85 $ 22,579 (1) Including labor costs charged in 2017 and 2016 to the cost of facilities, machinery and equipment in the amount of $431 thousands and $510 thousands, respectively. (2) Including financing costs of $44 thousands and $11 thousands capitalized in 2017 and 2016 respectively, to the cost of machinery and equipment. b. As for liens, refer to Note 18. c. Capitalized leasing rights of land from the Israel land administration. December 31, 2017 2016 In thousands Under finance lease $ 1,016 $ 1,029 The Group has capitalized leasing rights from the Israel Land Administration for an area of 16,880 m² in Beit Kama containing the Group's structures. The sum attributed to capitalized rights is presented under property, plant and equipment and is depreciated over the leasing period, which includes the option period. During 2010, the Company signed an agreement with the Israel Land Administration to consolidate its leasing rights and extend the lease period to 2058, including an extension option for additional 49 years |
OTHER LONG TERM ASSETS
OTHER LONG TERM ASSETS | 12 Months Ended |
Dec. 31, 2017 | |
Miscellaneous non-current assets [abstract] | |
OTHER LONG TERM ASSETS | Note 11: - Other Long Term Assets December 31, 2017 2016 In thousands Long term pre-paid expenses $ 49 $ 40 |
TRADE PAYABLES
TRADE PAYABLES | 12 Months Ended |
Dec. 31, 2017 | |
Trade and other current payables [abstract] | |
TRADE PAYABLES | Note 12: - Trade Payables December 31, 2017 2016 In thousands Open debts mainly in USD $ 11,246 $ 11,187 Open debts in NIS 6,789 5,038 18,035 16,225 Notes payable 1 52 $ 18,036 $ 16,277 |
OTHER ACCOUNTS PAYABLES
OTHER ACCOUNTS PAYABLES | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of other accounts payable [Abstract] | |
OTHER ACCOUNTS PAYABLES | Note 13: – Other accounts Payables December 31, 2017 2016 In thousands Employees and payroll accruals $ 4,735 $ 4,135 Derivatives financial instruments 8 32 Accrued Expenses and Others 1,077 1,447 $ 5,820 $ 5,614 |
LOANS AND CAPITAL LEASES
LOANS AND CAPITAL LEASES | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of loans and capital leases [abstract] | |
LOANS AND CAPITAL LEASES | Note 14: - Loans and capital leases December 31, 2017 2016 In thousands Total loans and capital leases (1) 1,984 1,776 Less current maturities 614 412 Long term loans and capital leases $ 1,370 $ 1,364 (1) The capital lease balance was $274 thousands and $103 thousands, as of December 31, 2017 and 2016, respectively. Bank loans During 2017 and 2016, the Company received loans at an amount of NIS 1,000 thousands ($279 thousands) and NIS 6,585 thousands ($ 1,701 thousands). The loans are |
FINANCIAL INSTRUMENTS
FINANCIAL INSTRUMENTS | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of detailed information about financial instruments [abstract] | |
FINANCIAL INSTRUMENTS | Note 15: - Financial Instruments a. Classification of financial assets and liabilities The financial assets and financial liabilities in the balance sheet are classified by groups of financial instruments in pursuant to IAS 39: December 31, 2017 2016 In thousands Financial assets Financial assets at fair value through profit or loss: Marketable securities (equity and debt) $ 1,663 $ 1,490 Financial assets at fair value through other comprehensive income (loss)- Available for sale 8,597 9,164 Financial assets at cost: Cash 8,539 7,891 Short term bank deposits 24,220 10,087 $ 43,019 $ 28,632 Financial liabilities Financial liabilities at fair value: Derivatives instruments $ 8 $ 32 Financial liabilities measured at amortized cost: Bank loans and capital leases 1,984 1,776 $ 1,992 $ 1,808 b. Financial risk factors The Company's activities expose it to various financial risks, such as market risk (foreign currency risk, interest rate risk and price risk), credit risk and liquidity risk. The Company's investment policy focuses on activities that will preserve the Company's capital. The Company utilized derivatives to hedge certain exposures to risk. Risk management is the responsibility of the Company CEO and CFO, in accordance with the policy approved by the Board of Directors. The Board of Directors provides principles for the overall risk management. 1. Market risks a) Foreign exchange risk The Company operates in an international environment and is exposed to foreign exchange risk resulting from the exposure to different currencies, mainly the NIS. Foreign exchange risks arise from recognized assets and liabilities denominated in a foreign currency other than the functional currency, such as customers, suppliers and credit. As of December 31, 2017, the Company has a position in financial derivatives intended to hedge changes in the exchange rate of the USD vs. the NIS (see also f. below). b) Price risk As of December 31, 2017, the Company has financial instruments, shares and debentures, classified as financial assets measured at fair value through profit or loss and Available for sale financial investments for which the Company is exposed to risk of fluctuations in the security price that is determined by reference to the quoted market price. 2. Credit risk Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash and cash equivalents, short-term bank deposits, marketable securities, trade receivables and foreign currency derivative contracts. a) Trade receivables: The Company regularly monitors the credit extended to its customers and their general financial condition, and, when necessary, requires collateral as security for these debts such as letters of creditor and down payments. In addition, the Company partially insures its overseas sales with foreign trade risk insurance. The Company keeps constant track of customer debt and the Financial Statements include an allowance for doubtful accounts that adequately reflects, in the Company's assessment, the loss embodied in the debts the collection of which is in doubt. The Company’s maximum exposure to credit risk for the components of the statement of financial position as of December 31, 2017 and 2016 is the carrying amount of trade receivables. b) Cash and cash equivalent and short term investments: The Company holds cash, cash equivalents, short term deposits and other financial instruments at a major financial institutions in Israel. In accordance with Company policy, evaluations of the relative strength of credit of the various financial institutions are made on an ongoing basis. Short-term investments include short-term deposits with low risk for a period less than one year. The Company’s marketable securities consist of investment-grade corporate bonds, U.S., European and Israeli governments bonds and equity investments. The Company’s investment policy, limits the amount the Company may invest in any one type of investment or issuer and the average maturities of the bond portfolio, thereby reducing credit risk concentrations. The Company has not experienced any significant losses on its short term investments. c) Foreign currency derivative contracts: The Company is exposed to foreign currency exchange movements, primarily in Israel. Consequently, it enters into various foreign currency exchange contracts with major financial institutions. 3. Liquidity risk The table below summarizes the maturity profile of the Company's financial liabilities based on contractual undiscounted payments: December 31, 2017 Less than one year 1 to 2 2 to 3 3 to 5 Total In thousands Trade payables $ 18,036 - - - $ 18,036 Other accounts payables 5,820 - - - 5,820 Long term loans and capital leases (including interest) 669 634 532 260 2,095 $ 24,525 $ 634 $ 532 $ 260 $ 25,951 December 31, 2016 Less than one year 1 to 2 2 to 3 3 to 5 Total In thousands Trade payables $ 16,277 - - - $ 16,277 Other accounts payables 5,614 - - - 5,614 Long term loan and capital leases (including interest) 464 461 429 549 1,903 $ 22,355 $ 461 $ 429 $ 549 $ 23,794 Changes in liabilities arising from financing activities January 1, 2017 Payments Foreign exchange movement Cash from new loans New leases December 31, 2017 In thousands Bank loans 1,673 (419 ) 177 279 - 1710 Capital leases 103 (111 ) - - 282 274 Total 1,776 (530 ) 177 279 282 1984 c. Fair value The following table demonstrates the carrying amount and fair value of the financial instruments presented in the financial statements not at fair value: Carrying Amount Fair Value December 31, December 31 , 2017 2016 2017 2016 In thousands Financial liabilities Bank loans and capital Leases $ 1,984 $ 1,776 $ 1,984 $ 1,761 The fair value of the bank loans and capital leases was based on standard pricing valuation model such as DCF which considers the present value of future cash flows discounted at the interest rate that reflects market conditions (Level 3). The carrying amount of cash and cash equivalents, short term bank deposits, trade and other receivables, trade and other payables approximates their fair value, due to the short term maturities of the financial instruments. d. Classification of financial instruments by fair value hierarchy Financial assets (liabilities) measured at fair value: Level 1 Level 2 In thousands December 31, 2017 Marketable securities at fair value through profit or loss: Equity shares $ 77 $ - Mutual funds 456 - Debt securities (corporate and government) 1,130 - Derivatives instruments - (8 ) Available for sale debt securities (corporate and government) - 8,597 $ 1,663 $ 8,589 Level 1 Level 2 In thousands December 31, 2016 Marketable securities at fair value through profit or loss: Equity shares $ 70 $ - Mutual funds 388 - Debt securities (corporate and government) 1,032 - Derivatives instruments - (32 ) Available for sale debt securities (corporate and government) - 9,164 $ 1,490 $ 9,132 During 2017 there was no transfer due to the fair value measurement of any financial instrument from Level 1 to Level 2, and furthermore, there were no transfers to or from Level 3 due to the fair value measurement of any financial instrument. December 31, 2017 2016 In thousands Sensitivity test to changes in market price of listed Securities Gain (loss) from change: 5% increase in market price $ 513 $ 535 5% decrease in market price $ (513 ) $ (535 ) Sensitivity test to changes in foreign currency: Gain (loss) from change: 5% increase in NIS $ (143 ) $ 19 5% decrease in NIS $ 143 $ (19 ) 5% increase in Euro $ (135 ) $ (184 ) 5% decrease in Euro $ 135 $ 184 Sensitivity tests and principal work assumptions The selected changes in the relevant risk variables were determined based on management's estimate as to reasonable possible changes in these risk variables. The Company has performed sensitivity tests of principal market risk factors that are liable to affect its reported operating results or financial position. The sensitivity tests present the profit or loss in respect of each financial instrument for the relevant risk variable chosen for that instrument as of each reporting date. The test of risk factors was determined based on the materiality of the exposure of the operating results or financial condition of each risk with reference to the functional currency and assuming that all the other variables are constant. e. Linkage terms of financial liabilities by groups of financial instruments pursuant to IAS 39: December 31, In thousands 2017 2016 In NIS: Bank loans and capital leases measured at amortized cost $ 1,984 $ 1,776 f. Derivatives and hedging: Derivatives instruments not designated as hedging The Company has foreign currency forward contracts designed to protect it from exposure to fluctuations in exchange rates, mainly of NIS and EUR, in respect of its transactions for debt from customers' debt, to service providers and inventory. Foreign currency forward contracts are not designated as cash flow hedges, fair value or net investment in a foreign operation. These derivatives are not considered as hedge accounting. As of December 31, 2017 the fair value of the derivative instruments not designated as hedging was a liability of $60 thousands. The open transactions for those derivatives were in an amount of $5.8 million. Cash flow hedges As of December 31, 2017, the Company held NIS/USD hedging contracts (cylinder contracts) designated as hedges of expected future The main terms of these positions were set to match the terms of the hedged items. As of December 31, 2017 the fair value of the derivative instruments designated as hedge accounting was an asset of $52 thousands. The open transactions for those derivatives were in an amount of $770 thousands. |
EMPLOYEE BENEFIT LIABILITIES, N
EMPLOYEE BENEFIT LIABILITIES, NET | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of defined benefit plans [abstract] | |
EMPLOYEE BENEFIT LIABILITIES, NET | Note 16: - Employee Benefit Liabilities, NET Employee benefits consist of short-term benefits and post-employment benefits. a. Post-employment benefits: According to the labor laws and Severance Pay Law in Israel, the Company is required to pay compensation to an employee upon dismissal or retirement or to make current contributions in defined contribution plans pursuant to Section 14 to the Severance Pay Law, as specified below. The Company's liability is accounted for as a post-employment benefit only for employees not under Section 14. The computation of the Company's employee benefit liability is made in accordance with a valid employment contract or a collective employees agreement based on the employee's salary and employment term which establish the entitlement to receive the compensation. The post-employment employee benefits are normally financed by contributions classified as defined benefit plans, as detailed below: 1. Defined contribution deposit The Company’s agreements with part of its employees are in accordance with section 14 of the Israeli Severance Pay Law. Payments in accordance with Section 14 release the Company from any future severance liabilities in respect of those employees. The expenses for the defined benefit deposit in 2017, 2016 and 2015 were $ 884 thousands, $ 669 thousands and $702 thousands, respectively. 2. Defined benefit plans The Company accounts for the payment of compensation, as a defined benefit plan for which an employee benefit liability is recognized and for which the Company deposits amounts in a long-term employee benefit fund and in qualifying insurance policies. 3. Expenses recognized in comprehensive income (loss): Year Ended December 31, 2017 2016 2015 In thousands Current service cost $ 356 $ 359 $ 391 Interest expenses, net 23 20 18 Current service cost (income) due to the transfer of real yield from the compensation component to the royalties' component in executive insurance policies before 2004 (7 ) 5 (10 ) Total employee benefit expenses $ 372 $ 384 $ 399 Actual (negative) return on plan assets $ 119 $ 22 $ (12 ) The expenses are presented in the Statement of Comprehensive income (loss) as follows Year Ended December 31, 2017 2016 2015 In thousands Cost of revenues $ 211 $ 228 $ 209 Research and development 57 62 90 Selling and marketing 16 13 18 General and administrative 88 81 82 $ 372 $ 384 $ 399 4. The plan assets (liabilities), net: December 31, 2017 2016 In thousands Defined benefit obligation $ 5,907 $ 5,235 Fair value of plan assets 4,763 4,513 Total liabilities, net $ 1,144 $ 722 5 . Changes in the present value of defined benefit obligation 2017 2016 In thousands Balance at January 1, $ 5,235 $ 5,425 Interest costs 151 141 Current service cost 356 359 Benefits paid (641 ) (650 ) Demographic assumptions (28 ) (17 ) Financial assumptions 254 * Past Experience 6 (104 ) Currency Exchange 574 81 Balance at December 31, $ 5,907 $ 5,235 * Represent an amount of less than 1 thousands 6. Plan assets a) Plan assets Plan assets comprise assets held by a long-term employee benefit funds and qualifying insurance policies. b) Changes in the fair value of plan assets 2017 2016 In thousands Balance at January 1, $ 4,513 $ 4,638 Expected return 127 121 Contributions by employer 227 311 Benefits paid (586 ) (522 ) Demographic assumptions 1 1 Financial assumptions 1 - Past Experience (11 ) (100 ) Current service cost due to the transfer of real yield from the compensation component to the royalties component in executive insurance policies before 2004 7 (5 ) Currency exchange 484 69 Balance at December 31, $ 4,763 $ 4,513 7. The principal assumptions underlying the defined benefit plan 2017 2016 2015 % Discount rate of the plan liability 2.27 3.72 2.6 Future salary increases 4 4 4 The , . If the discount rate would be one percent higher (lower), the defined benefit obligation would decrease (increase) by $309 thousands ($380 thousands) if all other assumptions were held constant. If the expected salary growth would increase (decrease) by 1% the defined benefit obligation would increase (decrease) by $362 thousands ($298 thousands). |
CONTINGENT LIABILITIES AND COMM
CONTINGENT LIABILITIES AND COMMITMENTS | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of contingent liabilities and commitments [Abstract] | |
CONTINGENT LIABILITIES AND COMMITMENTS | Note 17: - Contingent Liabilities and commitments a. On August 23, 2010, the Company entered into 30 years collaboration agreement with Baxter Healthcare Corporation ("Baxter"), an international biopharmaceutical company, specializing, among other things, in the development, manufacture, marketing and sale of pharmaceutical products. During 2015, Baxter has assigned all its rights under the collaboration agreement to Baxalta US Inc. ("Baxalta") which was acquired in 2016 by Shire plc (“Shire” and in these consolidated financial statements Baxter, Baxalta and Shire will be referred to as "Shire"). The collaboration agreement consists of three main agreements (1) the appointment of Shire as the sole distributer of the Company's AAT IV drug ("Glassia") in the United States, Canada, Australia and New Zealand ("the Territory" and "the Distribution Agreement", respectively); (2) granting licenses to Shire for the use of the Company's knowhow and patents for the production, continued development and sale of Glassia According to the Raw Material Supply Agreement Shire undertook to provide the Company, free of charge, all the quantities of raw materials required by the Company for manufacturing Glassia to be sold to Shire for distribution by Shire in accordance with the Distribution Agreement. The Company recorded the fair value of the raw material used and sold as revenue and charged the same fair value to cost of revenue. In addition, Shire will provide raw material to the Company, for the development, production, sale and distribution of products by the Company . b. On August 2, 2012, the Company entered into a strategic agreement with CHIESI FARMACEUTICI S. P. A, a fully integrated European Pharmaceutical company focused on respiratory disease and special care products ("Chiesi"). According to the agreement, Chiesi was an exclusive distributor of the AAT inhaled product of the Company for treatment of alpha-1 antitrypsin deficiency ("Product") in Europe. As part of the Distribution Agreement, the Company was entitled to receive payments of up to $ 60 million, contingent of meeting regulatory and sales milestones. As of December 31, 2017, the Company had received a total of $9 million for the achievement of certain upfront payments in respect of the Distribution Agreement. Due to the Company's decision in June 2017 to withdraw the Marketing Authorization Application (MAA) for this product with the European Medicines Agency (EMA), the Company and CHIESI mutually agreed on November 14, 2017 to terminate the parties’ European distribution agreement related to Kamada’s inhaled Alpha-1 Antitrypsin (AAT) therapy for the treatment of Alpha-1 Antitrypsin Deficiency (AATD). There are no financial implications related to the termination of this agreement. c. The Company has engaged in operating lease agreements for office and storage spaces. These agreements will expire in 2026. Minimum future lease fees for the office and storage spaces as of December 31, 2017 are as follows: In thousands Year 1 $ 590 Year 2 to 5 2,479 Year 6 and thereafter 2,541 $ 5,610 d. The Company has engaged in operating lease agreements for the vehicles in its possession. These agreements will expire between 2018 and 2020. Minimum future lease fees for the existing vehicles as of December 31, 2017 are as follows: In thousands Year 1 $ 443 Year 2 284 Year 3 95 $ 822 e. In November 2006, an agreement was signed between the Company and a third party on the matter of research and development collaboration. As part of the agreement, the Company was licensed to use developments made by the third party. Furthermore, the third party will provide the Company with devices for carrying out the clinical trials, free of charge. In the event that the development is successful, the Company will pay the third party royalties based on sales of the devices. This obligation on behalf of the Company to pay royalties shall expire either when the patents expire or 15 years from the first commercial sale, whichever comes last. On the date of the expiry of the royalty period, the license will become non-exclusive and the Company shall be entitled to use the rights granted to it pursuant to the agreement without paying royalties or any other compensation. In addition, the third party would pay royalties of the total net sales exceeding a certain sum, according to a mechanism set in the agreement, until the patent expires or until 15 years pass from the first date of sale, whichever is earlier. In February 2008, the parties signed an amendment to the agreement according to which the exclusive global license granted to the Company was expanded to two additional indications. It was also decided that sales to the additional indications would be added to the sales of the first two outlines covered by the original agreement. Royalties' payments will be according to the royalty model set in the original agreement. In addition, the parties signed a commercialization and supply agreement, which ensures long-term regular supply of the device at the basis of the collaboration and spare parts of this device. f. In August 2007, the Company entered into a long-term agreement with a multinational European company for the purchase of a raw material used for the development and manufacture of medicines at graded amounts and prices. In addition to the price paid by the Company for the raw material, the Company will pay the supplier an additional sum upon the sale of the product manufactured from the raw material in the territories set in the agreement, after receiving regulatory approvals. As of December 31, 2017, the regulatory approval was not yet received. h. In July 2011, the Company signed a strategic collaboration agreement with an international pharmaceutical company in the area of clinical development, marketing and sales in the United States of a post exposure prophylaxis product for the prevention of rabies in human beings. The product, KamRAB, is developed, manufactured and marketed by the Company in other countries. The phase 3 clinical trial was completed in December 2014 had met the trial’s primary endpoint. The Company submitted a Biologics License Application (BLA) with the U.S. Food and Drug Administration (FDA) in August 2016 and received the FDA approval for the product on August 2017. In October 2016 the parties entered into an amendment to the agreement with respect to the conduct of clinical trial for pediatric treatment of Rabies in the United States which was initiated on March 2017. The cost of the study is equally shared between the parties. |
GUARANTEES AND CHARGES
GUARANTEES AND CHARGES | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of guarantees and charges [Abstract] | |
GUARANTEES AND CHARGES | Note 18: - Guarantees and charges 1. In order to guarantee the rental payments for an office in Rehovot and other obligations, the Company provided a bank guarantees in the amount of $ 246 thousands. 2. As collateral for the Company’s original loans amount of NIS 8,355 thousands, the Company has pledged the specific assets which were purchased with those loans. |
EQUITY
EQUITY | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of classes of share capital [abstract] | |
EQUITY | Note 19: - Equity a. share capital December 31, 2017 December 31, 2016 Authorized Outstanding Authorized Outstanding ordinary shares of NIS 1 par value 70,000,000 40,262,819 70,000,000 36,419,842 On August 2, 2017 the Company closed a public offering on NASDAQ of 3,333,334 shares at $4.50 per share. As part of the offering, the underwriters received a right to purchase an additional 500,000 ordinary shares to cover over-allotments at the same price per share. This option was fully exercise on August 30, 2017. The Company's total net proceeds from the issuance of the above shares were $15.6 million b. Rights attached to Shares Voting rights at the shareholders general meeting, rights to dividend, rights in case of liquidation of the Company and rights to nominate directors . c. Share options During 2017 and 2016, 10,659 and 8,398 share options, respectively, were exercised into 1,988 and 1,101 ordinary shares of NIS 1 par value each for consideration of $3 thousand and less than $1 thousands, respectively. For additional information regarding options and restricted shares granted to employees and management in 2017, refer to Note 20 below. d. Capital management in the Company The Company's goals in its capital management are to preserve capital ratios that will ensure stability and liquidity to support business activity and create maximum value for shareholders. |
SHARE-BASED PAYMENT
SHARE-BASED PAYMENT | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of terms and conditions of share-based payment arrangement [abstract] | |
SHARE-BASED PAYMENT | Note 20: - Share-Based Payment On July 24, 2011, the Company's Board of Directors approved a new unlisted Options Plan ("2011 Option Plan "). In September 2016 the Company's Board of Directors approved an amendment to the plan and renamed it the Israeli Share Award Plan ("2011 Plan") to include restricted shares ("RS") awards (options and RS) that generally vest during a four-year period following the date of the grant in 13 installments: 25% of the options vest on the first anniversary of the grant date and 6.25% options vest at the end of each quarter thereafter. a. Expense recognized in the financial statements The share based payment expense that was recognized for services received from employees and directors is presented in the following table: For the Year Ended December 31 2017 2016 2015 In thousands Cost of revenues $ 179 $ 332 $ 564 Research and development 138 134 390 Selling and marketing 48 71 98 General and administrative 118 534 855 Total share-based payment $ 483 $ 1,071 $ 1,907 b. Option granted to the Company's Chief Executive Officer ("CEO") On November 30, 2017, the Company’s general shareholders meeting approved the grant of 18,000 options and 6,000 RSs to Mr. Amir London, the Company’s CEO. The RSs do not have exercise price. The options are exercisable into ordinary shares at an exercise price of NIS 21.99 per option. According to a calculation formula based on the binomial model, the fair value of the options was estimated at $26 thousands. The fair value of the RSs was estimated based on the market price of the shares on the grant date at $28 thousands. On August 30, 2016, the Company’s general shareholders meeting approved the grant of 18,000 options and 6,000 RSs to Mr. Amir London, the Company’s CEO. The RSs do not have exercise price. The options are exercisable into ordinary shares at an exercise price of NIS 15.2 per option. According to a calculation formula based on the binomial model, the fair value of the options was estimated at $41 thousands. The fair value of the RSs was estimated based on the market price of the shares on the grant date at $30 thousands. c. Employees options 1. During 2017, 2016 and 2015 the Company's Board of Directors approved the grant, of 405,950, 320,775 and 356,075 options, respectively to employees and management. The fair value of the options was estimated at $597 thousands, $548 thousands and $749 thousands, respectively. 2. During 2017, the Company's Board of Directors approved the grant of 52,835 RSs to the Company’s employees and management. The RSs do not have exercise price. The RSs are exercisable in 13 installments, 25% of the RSs vest on the first anniversary of the grant date and 6.25% vest at the end of each quarter thereafter into ordinary shares. The fair value of the RSs was estimated based on the market price of the share on the grant date at $238 thousands. d. Directors options 1. On November 30, 2017, the Company’s general shareholders meeting approved the grant of a total of 35,000 options to the Company’s board of directors. The options are exercisable into ordinary shares at an exercise price of NIS 21.99 per option. According to a calculation formula based on the Binomial Model, the fair value of the options was estimated at $51 thousands. 2. On August 30, 2016, the Company’s general shareholders meeting approved the grant of 50,000 options to the Company’s directors. The options are exercisable ordinary shares at an exercise price of NIS 15.2 per option. According to a calculation formula based on the Binomial Model, the fair value of the options was estimated at $114 thousands. f. For additional information regarding the exercise of options during 2017, refer to Note 21. Change of Awards during the Year The following table lists the number of share options, the weighted average exercise prices of share options and modification in employee and service provider option plans during the year: 2017 2016 2015 Number of Options Weighted Average Exercise Price Number of Options Weighted Average Exercise Price Number of Options Weighted Average Exercise Price In NIS In NIS In NIS Outstanding at beginning of year 2,487,236 35.20 2,281,493 38.96 2,396,891 37.98 Granted 458,950 21.10 401,275 15.17 504,075 18.28 Exercised (10,659 ) 18.19 (8,398 ) 18.47 (430,178 ) 11.18 Forfeited (363,155 ) 35.70 (187,134 ) 39.22 (189,295 ) 34.94 Outstanding at end of year 2,572,372 32.47 2,487,236 35.20 2,281,493 38.96 Exercisable at end of year 1,755,253 38.69 1,543,358 40.44 1,182,417 40.39 The weighted average remaining contractual life for the share options 3.22 3.62 4.15 The range of exercise prices for share options outstanding as of December 31, 2016 and 2017 were NIS 15- NIS 57. Exercise is either by cash consideration of the exercise price or by cashless method. The following table lists the number of RSs and modification in employee RSs during the year: Number of RSs 2017 2016 Outstanding at beginning of year 27,333 - Granted 58,835 29,333 End of restriction period (7,656 ) - Forfeited (2,000 ) (2,000 ) Outstanding at end of year 76,512 27,333 The weighted average remaining contractual life for the restricted share 5.92 6.20 Measurement of the fair value of equity-settled share options The Company uses the binomial model when estimating the grant date fair value of equity-settled share options. The measurement was made at the grant date of equity-settled share options since the options were granted to employees. The following table lists the inputs to the binomial model used for the fair value measurement of equity-settled share options for the above plan: 2017 2016 2015 Dividend yield (%) - - - Expected volatility of the share prices (%) 37-45 32-51 42-64 Risk-free interest rate (%) 0.1 – 1.83 0.13 – 1.83 0.07-2.04 Contractual term of up to (years) 6.5 6.5 6.5 Exercise multiple 2 2 2 Weighted average share prices (NIS) 16.05-16.44 15.17 17.17 Expected average forfeiture rate (%) 1-5 0-5 0-5 |
TAXES ON INCOME
TAXES ON INCOME | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of taxes on income [Abstract] | |
TAXES ON INCOME | NOTE 21: TAXES ON INCOME a. Tax laws applicable to the Company Law for the Encouragement of Industry (Taxes), 1969 The Law for the Encouragement of Industry (Taxes), 1969 (the “Encouragement of Industry Law”), provides several tax benefits for “Industrial Companies.” Pursuant to the Encouragement of Industry Law, a company qualifies as an Industrial Company if it is a resident of Israel and at least 90% of its income in any tax year (exclusive of income from certain defense loans) is generated from an “Industrial Enterprise” that it owns. An Industrial Enterprise is defined as an enterprise whose principal activity, in a given tax year, is industrial activity. An Industrial Company is entitled to certain tax benefits, including: (i) a deduction of the cost of purchases of patents, know-how and certain other intangible property rights (other than goodwill) used for the development or promotion of the Industrial Enterprise in equal amounts over a period of eight years, beginning from the year in which such rights were first used, (ii) the right to elect to file consolidated tax returns, under certain conditions, with additional Israeli Industrial Companies controlled by it, and (iii) the right to deduct expenses related to public offerings in equal amounts over a period of three years beginning from the year of the offering. Eligibility for benefits under the Encouragement of Industry Law is not contingent upon the approval of any governmental authority The Company believes that it currently qualifies as an industrial company within the definition of the Industry Encouragement Law. The Company cannot assure that the Israeli tax authorities will agree that the Company qualifies, or, if qualified, that it will continue to qualify as an industrial company or that the benefits described above will be available to the Company in the future. Law for the Encouragement of Capital Investments, 1959 Tax benefits prior to Amendment 60 The Company's facilities in Israel have been granted Approved Enterprise status under the Law for the Encouragement of Capital Investments, 1959, commonly referred to as the “Investment Law”. The Investment Law provides that capital investments in a production facility (or other eligible assets) may be designated as an Approved Enterprise. Until 2005, the designation required advance approval from the Investment Center of the Israel Ministry of Industry, Trade and Labor. Each certificate of approval for an Approved Enterprise ("certificate of approval") relates to a specific investment program, delineated both by the financial scope of the investment and by the physical characteristics of the facility or the asset. Under the Approved Enterprise programs, a company is eligible for governmental grants (“Grants Track”). Under the Grants Track the Company is eligible for investments grants awarded at various rates according to the development area in which the plant is located: in Development Zone A the rate is 24% and in Development Zone B the rate is 10%. In addition to the above grants, the Company is eligible to tax exemption at the first two years of the benefit period (as define below) and is subject to reduced corporate tax of 10% to 25% during the remaining five to eight years (depending on the extent of foreign investment in the Company) of the benefit period. The benefits period is limited to 12 years from completion of the investment or commencement of production ("Year of Operation"), or 14 years from the year in which the certificate of approval was obtained, whichever is earlier. The benefit period for part of the Company plants has ended, or up to 2017. Under the Investment Law a company may elect to receive an alternative package comprised of tax benefits (“Alternative Track”) instead of the above mentioned grants Track. Under the Alternative Track, a company’s undistributed income derived from an Approved Enterprise is exempt from corporate tax for an initial period of two to ten years (depending on the geographic location of the Approved Enterprise within Israel which begins in the first year that the Company realizes taxable income from the Approved Enterprise following the year of operation (as define below). After expiration of the initial tax exemption period, the Company is eligible for a reduced corporate tax rate of 10% to 25% for the following five to eight years, depending on the extent of foreign investment in the Company (as shown in the table below). The benefits period is limited to 12 years from the Year of Operation, or 14 years from the year in which the certificate of approval was obtained, whichever is earlier. Tax benefits under Amendment 60 On April 1, 2005, an amendment to the Investment Law came into effect (“Amendment 60”). The amendment revised the criteria for investments qualified to receive tax benefits. An eligible investment program under the amendment will qualify for benefits as a Privileged Enterprise (rather than the previous terminology of Approved Enterprise). Among other things, the amendment simplifies the approval process. In order to receive the tax benefits, the Amendment states that the company must make an investment in the Privileged Enterprise exceeding a certain percentage or a minimum amount specified in the Investments Law. Such investment may be made over a period of no more than three years ending at the end of the year in which the company requested to have the tax benefits apply to the Privileged Enterprise (the “Year of Election”). The Company received a Tax Ruling from the Israeli Tax Authority that its activity is an industrial activity and the Company will be eligible for the status of a Privileged Enterprise, provided that it meets the requirements under the ruling. The year of Election is 2009.The Company also obtained 2012 as a Year of election. The duration of tax benefits is subject to a limitation of the earlier of 7 to 10 years (depending on the extent of foreign investment in the company) from the first year in which the company generated taxable income (at, or after, the Year of Election) , or 12 years from the first day of the Year of Election. The amendment does not apply to investment programs approved prior to December 31, 2004. The new tax regime applies to new investment programs only. The tax benefits available under Approved Enterprise or Privileged Enterprise relate only to taxable income attributable to the specific Approved Enterprise or Privileged Enterprise, and the Company's effective tax rate will be the result of a weighted combination of the applicable rates. Tax Exemption Period Reduced Tax Period Rate of Reduced Tax Percent of Foreign Ownership 2 years 5 years 25% 0-25% 2 years 8 years 25% 25-49% 2 years 8 years 20% 49-74% 2 years 8 years 15% 74-90% 2 years 8 years 10% 90-100% The benefits available to an Approved Enterprise and a Privileged Enterprise are conditioned upon terms stipulated in the Investment Law and the related regulations and the criteria set forth in the applicable certificate of approval (for an Approved Enterprise). If the Company does not fulfill these conditions, in whole or in part, the benefits can be cancelled and we may be required to refund the amount of the benefits, linked to the Israeli consumer price index plus interest. The Company believes that its Approved Enterprise and Privileged Enterprise programs currently operate in compliance with all applicable conditions and criteria. If a company distributes dividends from tax-exempt income, the company will be taxed on the otherwise exempt income at the same reduced corporate tax rate that would have applied to that income. Distribution of dividends derived from income that was taxed at reduced rates, but not tax-exempt, does not result in additional tax consequences to the company. Shareholders who receive dividends derived from Approved Enterprise or Privileged Enterprise income are generally taxed at a rate of 15%, which is withheld and paid by the company paying the dividend, if the dividend is distributed during the benefits period or within the following 12 years (the limitation does not apply to a Foreign Investors Company, which is a company that more than 25% of its shares owned by non-Israeli residents). Preferred Enterprise Tax Benefits under the 2011 Amendment As of January 1, 2011 new legislation amending to the Investment Law came into effect (the “2011 Amendment”). The 2011 Amendment introduced a new status of “Preferred Company” and “Preferred Enterprise”, replacing the existed status of “Beneficiary Company” and “Beneficiary Enterprise”. Similarly to “Beneficiary Company”, a Preferred Company is an industrial company owning a Preferred Enterprise which meets certain conditions (including a minimum threshold of 25% export). However, under this new legislation the requirement for a minimum investment in productive assets was cancelled. Under the 2011 Amendment, a uniform corporate tax rate will apply to all qualifying income of the Preferred Company, as opposed to the former law, which was limited to income from the Approved Enterprises and Beneficiary Enterprise during the benefits period. The uniform corporate tax rate will be 12.5% elsewhere in Israel (in development area A - 7%). On August 5, 2013, the "Knesset" issued the Law for Changing National Priorities (Legislative Amendments for Achieving Budget Targets for 2013 and 2014), which consists of Amendment 71 to the Encouragement Law ("the Amendment"). According to the Amendment, the tax rate on preferred income from a preferred enterprise in 2014 and onwards will be 16% (in development area A - 9%). The Amendment also prescribes that any dividends distributed to individuals or foreign residents from the preferred enterprise's earnings as above will be subject to tax at a rate of 20% from 2014 and onwards (or a reduced rate under an applicable double tax treaty). Upon a distribution of a dividend to an Israeli company, no withholding tax is remitted. In December 2016, the "Knesset" amended the Investment Law. According to the amendment, effective from January 1, 2017 the tax rate on: 1. Preferred income from a preferred enterprise will be 16% (in development area A – 7.5% instead of 9%). 2. Preferred income resulting from IP in a preferred technology enterprise will be 12% (in development area A – 7.5%). 3. Preferred income resulting from IP in a special preferred technology enterprise will be 6%. 4. Any dividends distributed from technology enterprise earnings to a foreign company that qualifies the provisions that are detailed in the law, will be subject to tax at a rate of 4%. The Company has evaluated the effect of the adoption of the Amendment on its financial statements, and as of the date of the approval of the financial statements, the Company believes that it will not apply the Amendment. Accordingly, the Company has not adjusted its deferred tax balances as of December 31, 2016. The Company may change its position in the future. b. Tax rates applicable to the Company (other than the applicable preferred tax) In January 2016, the Law for Amending the Income Tax Ordinance (No. 216) (Reduction of Corporate Tax Rate), 2016 was approved, which includes a reduction of the corporate tax rate from 26.5% to 25%, effective from January 1, 2016. In December 2016, the Israeli Parliament's Plenum approved, as part of the economic efficiency law (Legislative Amendments for Achieving Budget Targets for 2017 and 2018), a reduction of the corporate tax rate in 2017 from 25% to 24%, and in 2018 from 25% to 23%. c. Tax assessments 1. Finalized tax assessments The Company has finalized its tax assessments through 2012. 2. Settlement of tax assessments On July 10, 2016, the Company and the Israel Tax Authority (ITA) entered into a settlement agreement for the tax years 2004-2006. As part of the agreement, the Company paid NIS 5 million ($ 1.3 million) (including interest and CPI adjustment). d. Carry forward losses for tax purposes and other temporary differences As of December 31, 2017, the Company has carry forward losses and other temporary differences in the amount of $ 90.1 million. e. Deferred taxes: The Company did not recognize deferred tax assets for carry forward losses and other temporary differences, because their utilization in the foreseeable future is not probable. f. Current taxes on income Year ended December 31, 2017 2016 2015 In thousands Current taxes $ 129 $ 362 $ - Taxes in respect of prior years 140 1,360 - $ 269 $ 1,722 $ - g. Theoretical tax: The reconciliation between the statutory tax rate and the effective tax rate as recorded in profit or loss, does not provide significant information and therefore was not presented. |
SUPPLEMENTARY INFORMATION TO TH
SUPPLEMENTARY INFORMATION TO THE STATEMENTS OF PROFIT AND LOSS | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of supplementary information to the statements of comprehensive loss [Abstract] | |
SUPPLEMENTARY INFORMATION TO THE STATEMENTS OF PROFIT AND LOSS | Note 22: - Supplementary Information to the Statements of profit and loss Year Ended December 31, 2017 2016 2015 In thousands a. Additional information about revenues Revenues from major customers each of whom amount to 10% or more, of total revenues Customer A – Proprietary products Segment $ 60,383 $ 40,451 $ 26,032 Customer B – Proprietary products Segment and Distribution Segment - 10,225 10,306 $ 60,383 $ 50,676 $ 36,338 Revenues based on the location of the customers, are as follows: Year Ended December 31, 2017 2016 2015 In thousands U.S.A. $ 60,405 $ 40,585 $ 26,559 Israel 26,355 25,340 30,624 Europe 5,348 3,825 3,223 Latin America 5,248 4,221 6,036 Asia 4,979 3,028 2,900 Others 490 495 564 $ 102,825 $ 77,494 $ 69,906 Year Ended December 31, 2017 2016 2015 In thousands b. Cost of goods sold Cost of materials $ 41,179 $ 36,154 $ 38,848 Salary and related expenses 13,137 10,596 9,991 Depreciation and amortization 2,504 2,443 2,383 Energy 1,202 959 922 Subcontractors 3,995 2,833 2,112 Other manufacturing expenses 1,572 1,057 1,220 63,589 54,042 55,476 Decrease (increase) in inventories 7,148 2,092 (935 ) $ 70,737 $ 56,134 $ 54,541 c. Research and development Salary and related expenses $ 6,413 $ 5,237 $ 4,566 Subcontractors 3,392 8,318 8,002 Materials and allocation of facility costs 1,101 1,907 3,386 Others 1,067 783 576 $ 11,973 $ 16,245 $ 16,530 d. Selling and marketing Salary and related expenses $ 1,470 $ 1,272 $ 1,227 Marketing support 95 79 368 Packing, shipping and delivery 607 494 454 Marketing and advertising 627 337 560 Registration and marketing fees 1,162 796 794 Others 437 265 249 $ 4,398 $ 3,243 $ 3,652 Year Ended December 31, 2017 2016 2015 In thousands e. General and administrative Salary and related expenses $ 3,138 $ 3,029 $ 2,604 Employees welfare 2,182 1,465 1,391 Professional fees 1,497 1,378 1,482 Depreciation, amortization and impairment 649 712 524 Others 807 769 606 $ 8,273 $ 7,353 $ 6,607 f. Financial incomes and expenses Financial incomes Interest income $ 500 $ 469 $ 463 Financial expenses Interest and amortization from debentures $ - $ - $ 731 Fees and interest paid to financial institutions 162 126 111 Others - - 92 $ 162 $ 126 $ 934 |
INCOME (LOSS) PER SHARE
INCOME (LOSS) PER SHARE | 12 Months Ended |
Dec. 31, 2017 | |
Income (loss) per share attributable to equity holders of the Company: | |
INCOME (LOSS) PER SHARE | Note 23: - Income (Loss) per Share a. Details of the number of shares and income (loss) used in the computation of income (loss) per share Year Ended December 31 2017 2016 2015 Weighted Number of Shares Income Attributed to equity holders of the Company Weighted Number of Shares Loss Attributed to equity holders of the Company Weighted Number of Shares Loss Attributed to equity holders of the Company In thousands For the computation of basic income (loss) 37,970,697 $ 6,901 36,418,833 $ (6,733 ) 36,245,813 $ (11,270 ) Effect of potential dilutive ordinary shares 74,400 - - - - - For the computation of diluted income (loss) 38,045,097 $ 6,901 36,418,833 $ (6,733 ) 36,245,813 $ (11,270 ) b. The computation of the diluted income per share in 2017, did take into account the options and RSs due to their anti-dilutive effect. |
OPERATING SEGMENTS
OPERATING SEGMENTS | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of operating segments [abstract] | |
OPERATING SEGMENTS | Note 24: - Operating Segments a. General The operating segments are identified on the basis of information that is reviewed by the chief operating decision maker ("CODM") to make decisions about resources to be allocated and assess its performance. Accordingly, for management purposes, the Group is organized into operating segments based on the products and services of the business units and has two operating segments as follows: Proprietary Products Develop and manufacture plasma-derived therapeutics and market them in more than 15 countries. Distribution Distribute imported drugs in Israel which are manufactured by third parties, most of which are produced from plasma or its derivative products. Segment performance is evaluated based on revenues and gross profit in the financial statements. The segment results reported to the CODM include items that are allocated directly to the segments and items that can be allocated on a reasonable basis. Items that were not allocated, mainly the Group's headquarter assets, general and administrative costs and financial costs (consisting of finance expenses and finance income and including fair value adjustments of financial instruments), are managed on a group basis. The segment liabilities do not include loans and financial liabilities as these liabilities are managed on a group basis. b. Reporting on operating segments Proprietary Products Distribution Total In thousands Year Ended December 31, 2017 Revenues $ 79,559 $ 23,266 $ 102,825 Gross profit $ 28,224 $ 3,864 $ 32,088 Unallocated corporate expenses (24,644 ) Finance expense, net (274 ) Income before taxes on income $ 7,170 Proprietary Products Distribution Total In thousands Year Ended December 31, 2016 Revenues $ 55,958 $ 21,536 $ 77,494 Gross profit $ 18,235 $ 3,125 $ 21,360 Unallocated corporate expenses (26,841 ) Finance income, net 470 Loss before taxes on income $ (5,011 ) Proprietary Products Distribution Total In thousands Year Ended December 31, 2015 Revenues $ 42,952 $ 26,954 $ 69,906 Gross profit $ 12,051 $ 3,314 $ 15,365 Unallocated corporate expenses (26,789 ) Finance income, net 154 Loss before taxes on income $ (11,270 ) |
BALANCES AND TRANSACTIONS WITH
BALANCES AND TRANSACTIONS WITH RELATED PARTIES | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of transactions between related parties [abstract] | |
BALANCES AND TRANSACTIONS WITH RELATED PARTIES | Note 25: - Balances and Transactions with Related Parties a. Balances with related parties December 31, 2017 December 31, 2016 In thousands December 31, 2017 Other accounts payables $ 292 $ 230 Employee benefit liabilities, net $ 92 $ 170 Trade receivable $ 2,382 $ 675 b. Benefits to related parties Year Ended December 31, 2017 2016 In thousands Salary and related expenses to those employed by the Company or on its behalf $ 460 $ 473 Salary of directors not employed by the Company or on its behalf $ 107 $ 122 Number of People to whom the Salary and Benefits Refer Related and related parties employed by the Company or on its behalf 2 2 Directors not employed by the Company 2 3 4 5 c. Benefits to key executive personnel (including non-related parties) Year Ended December 31, 2017 2016 2015 In thousands Short-term benefits $ 2,719 $ 2,453 $ 2,144 Share-based payment 310 460 650 Other long-term benefits 6 28 61 $ 3,035 $ 2,941 $ 2,855 d. Transactions with related parties Year Ended December 31, 2017 2016 2015 In thousands Sales $ 3,455 $ 2,230 $ 2,795 Selling and marketing expenses $ 121 $ 101 $ 114 General and administrative expenses $ 446 $ 503 $ 526 e. Revenues and Expenses from Related and Interested Parties Terms of Transactions with Related Parties 1. Sales to related parties are conducted at market prices. Balances that have yet to be repaid by the end of the year are not guaranteed, bear no interest and their settlement will be in cash. No guarantees were received or given for sums receivable or payable. For the years ended December 31, 2017, 2016 and 2015, the Company recorded no allowance for doubtful accounts for sums receivable from related parties. 2. On May 26, 2011, the Company announced its engagement in an amended agreement regarding the distribution of Glassia, that revises and replaces the distribution agreement signed in 2001 between the Company and Tuteur SACIFIA ("Tuteur"), a company registered in Argentina, currently under the control of the Hahn family. The amendment to the agreement was made as an arm’s length transaction. On August 19, 2014 the Company amended the agreement in order to add KamRho(D) as an additional product to be distributed by Tuteur and expanded the territory to include Bolivia. Pursuant to the distribution agreement, Tuteur serves as the exclusive distributor of Glassia and KamRho(D), in Argentina, Paraguay and Bolivia. In 2016 the board of directors approved to provide Tuteur reimbursement at a non-material amount to be used for marketing activities aimed to locating new AATD patients and increasing the overall number of AATD patients treated with Glassia in Argentina. Such reimbursement will be granted until the end of September 2019. In 2016 and 2017 a reimbursement was paid according to the agreement. In addition, in 2016 and in 2017 the board of directors also approved to grant Tuteur an arm’s length discount for KamRho(D) at a non-material amount. 3. Mr. Reuven Behar, a partner of Fischer Behar Chen Well Orion Co., the Company’s external legal counsel was a director in the Company until May 2016. Fees attributed to Fischer Behar Chen Well Orion Co. are included in the tables above for the period ending May 1, 2016. On July 29, 2015 the Company’s Board of Directors approved to engage Khairi S.A. (“Khairi”), a company that is held, inter alia, by Mr. Leon Recanati, the Chairman of the Company's board of directors, Mr. Jonathan Hahn, a director in the company and his siblings and Mr. Reuven Behar, a former director in the Company, who serves as the chairman of the board of directors of Khairi, in a distribution agreement, for the distribution of Glassia and KamRho(D) in Uruguay. This distribution agreement with Khairi is an arm’s length transaction. f. Chief executive officer employment terms On June 30, 2015 the Company’s shareholders approved the employment terms of Mr. Amir London in his position as the Company’s chief executive officer (“CEO”), effective as of July 1, 2015. Under the employment agreement, Mr. Amir London is entitled to a monthly gross salary of NIS 65,000 (or $16,658). On August 30, 2016 the general meeting of the shareholders approved the update of Mr. London’s monthly gross salary to NIS 71,500 (or $18,430), effective as of July, 1 2016. During 2017 the Company recorded approximately $127 thousands, as a bonus to Mr. London. As for the grant of options and restricted shares to Mr. London, refer to Note 20b. |
SIGNIFICANT ACCOUNTING POLICI31
SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of significant accounting policies [Abstract] | |
Basis of presentation of financial statements | a. Basis of presentation of financial statements 1. These financial statements have been prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standard Board. 2. Measurement basis: The Company's consolidated Financial Statements are prepared on a cost basis, except for financial instruments (including derivatives) at fair value through profit or loss and other comprehensive income such as available for sales financial assets, employee benefit assets and employee benefit liabilities. The Company has elected to present profit or loss items using the "function of expense" method. b . The Company's operating cycle is one year. c. The consolidated financial statements comprise the financial statements of companies that are controlled by the Company (subsidiaries). Control is achieved when the Company is exposed, or has rights, to variable returns from its involvement with the investee and has the ability to affect those returns through its power over the investee. The consolidation of the financial statements commences on the date on which control is obtained and ends when such control ceases. The financial statements of the Company and of the subsidiaries are prepared as of the same dates and periods. The consolidated financial statements are prepared using uniform accounting policies by all companies in the Group. Significant intercompany balances and transactions and gains or losses resulting from intercompany transactions are eliminated in full in the consolidated financial statements. |
Functional currency, presentation currency and foreign currency | d. Functional currency, presentation currency and foreign currency 1. Functional currency and presentation currency The consolidated financial statements are presented in U.S. dollars, which is the Company's functional and presentation currency. 2. Transactions, assets and liabilities in foreign currency Transactions denominated in foreign currency are recorded on initial recognition at the exchange rate at the date of the transaction. After initial recognition, monetary assets and liabilities denominated in foreign currency are translated at the end of each reporting period into the functional currency at the exchange rate at that date. Exchange differences are recognized in profit or loss. Non-monetary assets and liabilities measured at cost in a foreign currency are translated at the exchange rate at the date of the transaction. |
Cash equivalents | e. Cash equivalents Cash equivalents are considered as highly liquid investments, including unrestricted short-term bank deposits with an original maturity of three months or less from the date of purchase. |
Short-term investments | f. Short-term investments: Short-term bank deposits with a maturity of more than three months from the deposit date but less than one year, available for sale financial investments (debentures) and financial assets held for trading at fair value through profit or loss (debentures and stocks). |
Allowance for doubtful accounts | g. Allowance for doubtful accounts The allowance for doubtful accounts is determined in respect of specific debts whose collection, in the opinion of the Company's management, is doubtful. Impaired debts are derecognized when they are assessed as uncollectible. As of December 31, 2017 there was no allowance for doubtful accounts and as of December 31, 2016, the balance of allowance for doubtful accounts was $399 thousands. |
Inventory | h. Inventories Inventories are measured at the lower of cost and net realizable value. The cost of inventories comprises costs of purchase of raw and other materials and costs incurred in bringing the inventories to their present location and condition. Net realizable value is the estimated selling price in the ordinary course of business. Cost of inventories is determined as follows: Raw materials - At cost using the first-in, first-out method. Work in process - Direct costs and indirect costs calculated at average costs for the quarter of manufacturing including materials, labor and other direct and indirect manufacturing costs on the basis of each batch. Finished products - Direct costs and indirect costs calculated at average costs for quarter of manufacturing including materials, labor and other direct and indirect manufacturing costs on the basis of each batch. Purchased products - At cost on a "first in – first out" basis. The Company periodically evaluates the condition and age of inventories and accounts for impairment of inventories with a lower market value or which are slow moving. Research and development costs Research expenditures are recognized in profit or loss when incurred. An intangible asset arising from a development project or from the development phase of an internal project is recognized if the Company can demonstrate the technical feasibility of completing the intangible asset so that it will be available for use or sale; the Company's intention to complete the intangible asset and use or sell it; the Company's ability to use or sell the intangible asset; how the intangible asset will generate future economic benefits; the availability of adequate technical, financial and other resources to complete the intangible asset; and the Company's ability to measure reliably the expenditure attributable to the intangible asset during its development. Since the Company development projects are often subject to regulatory approval procedures and other uncertainties, the conditions for the capitalization of costs incurred before receipt of approvals are not normally satisfied and therefore, development expenditures are recognized in profit or loss when incurred |
Revenue recognition | i . Revenue recognition Revenues are recognized in profit or loss when the revenues can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the Company and the costs incurred or to be incurred in respect of the transaction can be measured reliably. In cases where the Company operates as a principal supplier and it exposed to the risks and rewards associated with the transaction, revenues are presented on a gross basis. Revenues are measured at the fair value of the consideration received less any trade discounts, volume rebates and returns. The specific criteria for revenue recognition for the following types of revenues are: - Revenues from the sale of goods are recognized when all the significant risks and rewards of ownership of the goods have passed to the buyer and the seller no longer retains continuing managerial involvement. The delivery date is usually the date on which ownership passes. - Agreements with multiple elements provide for varying consideration terms, such as upfront payments and milestone payments. Revenues from such agreements that do not contain a general right of return and that are composed of multiple elements such as distribution exclusivity, license and services are allocated to the different elements and are recognized in respect of each element separately. An element constitutes a separate accounting unit if and only if it has a separate value to the customer. Revenue from the different element is recognized when the criteria for revenue recognition have been met and only to the extent of the consideration that is not contingent upon completion or performance of future services in the contract. Revenue from milestone and upfront events stipulated in the agreements is recognized upon the occurrence of a substantive element specified in the agreement or as a measure of substantive progress towards completion. In events that the Company receives at no charge raw material, that is required for manufacturing one of the Company's products, the Company recorded the fair value of the raw material used and sold as revenue and charged the same fair value to cost of revenue. Deferred revenues Deferred revenues include unearned amounts received from customers not yet recognized as revenues. |
Taxes on income | j. Taxes on income Taxes on income in profit or loss comprise current and deferred taxes. Current or deferred taxes are recognized in profit or loss, except to the extent that the tax arises from items which are recognized directly in other comprehensive income or in equity. 1. Current taxes: The current tax liability is measured using the tax rates and tax laws that have been enacted or substantively enacted by the end of reporting period as well as adjustments required in connection with the tax liability in respect of previous years. 2. Deferred taxes: Deferred taxes are computed in respect of temporary differences between the carrying amounts in the financial statements and the amounts attributed for tax purposes. Deferred taxes are measured at the tax rates that are expected to apply when the asset is realized or the liability is settled, based on tax laws that have been enacted or substantively enacted by the end of the reporting period. Deferred tax assets are reviewed at the end of each reporting period and reduced to the extent that it is not probable that they will be utilized. Temporary differences for which deferred tax assets had not been recognized are reviewed at the end of each reporting period and a respective deferred tax asset is recognized to the extent that their utilization is probable. Deferred taxes are offset in the statement of financial position if there is a legally enforceable right to offset a current tax asset against a current tax liability and the deferred taxes relate to the same taxpayer and the same taxation authority. |
Leases | k. Leases The Group as lessee: 1. Finance lease Finance leases transfer to the Company substantially all the risks and benefits incidental to ownership of the leased asset. At the commencement of the lease term, the leased assets are measured at the fair value of the leased asset or, if lower, at the present value of the minimum lease payments. The leased asset is depreciated over the shorter of the lease term and the expected life of the leased asset. 2. Operating lease Lease agreements are classified as an operating lease if they do not transfer substantially all the risks and benefits incidental to ownership of the leased asset. Lease payments are recognized as an expense in profit or loss on a straight-line basis over the lease term. |
Property, plant and equipment | l. Property, plant and equipment Property, plant and equipment are measured at cost, including directly attributable costs and financing costs, less accumulated depreciation, accumulated impairment losses and any related investment grants and excluding day-to-day servicing expenses. Cost includes spare parts and auxiliary equipment that can be used only in connection with the plant and equipment. The Company's assets include computer systems comprising hardware and software. Software forming an integral part of the hardware to the extent that the hardware cannot function without the programs installed on it is classified as property, plant and equipment. In contrast, software that adds functionality to the hardware is classified as an intangible asset. The cost of assets includes the cost of materials, direct labor costs, as well as any costs directly attributable to bringing the asset to the location and condition necessary for it to operate in the manner intended by management. Depreciation is calculated on a straight-line basis over the useful life of the assets at annual rates as follows: % Mainly Buildings 2.5-4 4 Machinery and equipment 10-20 15 Vehicles 15 15 Computers, software, equipment and office furniture 6-33 33 Leasehold improvements (* ) 10 (*) Leasehold improvements are depreciated on a straight-line basis over the shorter of the lease term (including the extension option held by the Company and intended to be exercised) and the expected life of the improvement. The useful life, depreciation method and residual value of an asset are reviewed at the year-end and any changes are accounted for prospectively as a change in accounting estimate. Depreciation of an asset ceases at the earlier of the date that the asset is classified as held for sale and the date that the asset is derecognized. |
Impairment of non-financial assets | m. Impairment of non-financial assets The Company evaluates the need to record an impairment of the carrying amount of non-financial assets whenever events or changes in circumstances indicate that the carrying amount is not recoverable. If the carrying amount of non-financial assets exceeds their recoverable amount, the assets are reduced to their recoverable amount. The recoverable amount is the higher of fair value less costs of sale and value in use. In measuring value in use, the expected future cash flows are discounted using a pre-tax discount rate that reflects the risks specific to the asset. The recoverable amount of an asset that does not generate independent cash flows is determined for the cash-generating unit to which the asset belongs. An impairment loss of an asset, is reversed only if there have been changes in the estimates used to determine the asset's recoverable amount since the last impairment loss was recognized. Reversal of an impairment loss, as above, shall not be increased above the lower of the carrying amount that would have been determined (net of depreciation or amortization) had no impairment loss been recognized for the asset in prior years and its recoverable amount. |
Financial instruments | n. Financial instruments 1. Financial assets Financial assets within the scope of IAS 39 are initially recognized at fair value plus directly attributable transaction costs, except for financial assets measured at fair value through profit or loss. After initial recognition, the accounting treatment of financial assets is based on their classification as follows: a. Financial assets at fair value through profit or loss Financial assets held for trading and derivative instruments that do not qualify for hedge accounting. Financial assets are classified as held for trading if they are acquired for the purpose of selling or repurchasing in the near term. b. Receivables The Company has receivables that are financial assets with fixed or determinable payments that are not quoted in an active market. c. Available for sale ("AFS") financial investments AFS financial investments include debt securities. Debt securities in this category are those that are intended to be held for an indefinite period of time and that may be sold in response to needs for liquidity or in response to changes in the market conditions. The Company has classified all marketable securities as short-term, even though the stated maturity date may be one year or more beyond the current balance sheet date, because it may sell these securities prior to maturity to meet liquidity needs or as part of risk versus reward objectives. After initial measurement, AFS financial investments are subsequently measured at fair value with unrealized gains and losses recognized in other comprehensive income ("OCI") until the investment is derecognized For AFS financial investments, the Company assesses at each reporting date whether there is objective evidence that an investment is impaired. For debt instruments classified as AFS financial assets, objective evidence of impairment may arise as a result of one or more events that have a negative impact on the estimated future cash flows of the asset since the recognition of the asset. Where there is evidence of impairment, the cumulative loss - measured as the difference between the acquisition cost and the fair value - is reclassified from other comprehensive income and recognized as an impairment loss in profit or loss. In a subsequent period, the amount of the impairment loss is reversed if the increase in fair value can be related objectively to an event occurring after the impairment was recognized. The amount of the reversal, up to the amount of any previous impairment, is recorded in profit or loss. 2. Financial liabilities Financial liabilities within the scope of IAS 39 are initially measured at fair value. After initial recognition, the accounting treatment of financial liabilities is based on their classification as follows: a. Financial liabilities measured at amortized cost Loans, including capital leases, are measured based on their terms at amortized cost using the effective interest method taking into account directly attributable transaction costs. b. Financial liabilities measured at fair value Derivatives, including separated embedded derivatives, are classified as held for trading unless they are designated as effective hedging instruments. 3. Fair value Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. A fair value measurement of a non-financial asset takes into account a market participant's ability to generate economic benefits by using the asset in its highest and best use or by selling it to another market participant that would use the asset in its highest and best use. The Company uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value, maximizing the use of relevant observable inputs and minimizing the use of unobservable inputs. All assets and liabilities for which fair value is measured or disclosed in the financial statements are categorized within the fair value hierarchy, described as follows, based on the lowest level input that is significant to the fair value measurement as a whole: - Level 1 - quoted prices (unadjusted) in active markets for identical assets or liabilities. - Level 2 - inputs other than quoted prices included within Level 1 that are observable either directly or indirectly. - Level 3 - inputs that are not based on observable market data (valuation techniques which use inputs that are not based on observable market data). 4. Offsetting financial instruments Financial assets and financial liabilities are offset and the net amount is presented in the statement of financial position if there is a legally enforceable right to set off the recognized amounts and there is an intention either to settle on a net basis or to realize the asset and settle the liability simultaneously. The right of set-off must be legally enforceable not only during the ordinary course of business of the parties to the contract but also in the event of bankruptcy or insolvency of one of the parties. In order for the right of set-off to be currently available, it must not be contingent on a future event, there may not be periods during which the right is not available, or there may not be any events that will cause the right to expire. 5. De-recognition of financial instruments a. Financial assets A financial asset is derecognized when the contractual rights to the cash flows from the financial asset expire or the Company has transferred its contractual rights to receive cash flows from the financial asset or assumes an obligation to pay the cash flows in full without material delay to a third party and has transferred substantially all the risks and rewards of the asset, or has neither transferred nor retained substantially all the risks and rewards of the asset, but has transferred control of the asset. b. Financial liabilities A financial liability is derecognized when it is extinguished, that is when the obligation is discharged or cancelled or expires. A financial liability is extinguished when the debtor (the Company) discharges the liability by paying in cash, other financial assets, goods or services or is legally released from the liability. |
Derivative financial instruments designated as hedges | o. Derivative financial instruments designated as hedges The Company enters into contracts for derivative financial instruments such as forward currency contracts and cylinder strategy in respect of foreign currency to hedge risks associated with foreign exchange rates fluctuations. Such derivative financial instruments are carried as financial assets when the fair value is positive and as financial liabilities when the fair value is negative. At the inception of a hedge relationship, the Company formally designates and documents the hedge relationship to which the Company wishes to apply hedge accounting and the risk management objective and strategy for undertaking the hedge. The hedge effectiveness is assessed at the end of each reporting period. Cash flow hedges The effective portion of the gain or loss on the hedging instrument is recognized as other comprehensive income (loss), while any ineffective portion is recognized immediately in profit or loss. Amounts recognized as other comprehensive income (loss) are reclassified to profit or loss when the hedged transaction affects profit or loss, such as when the hedged income or expense is recognized or when a forecast payment occurs. If the forecast transaction or firm commitment is no longer expected to occur, amounts previously recognized in equity are reclassified to profit or loss. If the hedging instrument expires or is sold, terminated or exercised, or if its designation as a hedge is revoked, amounts previously recognized in equity remain in equity until the forecast transaction or firm commitment occurs. |
Accrued expenses | p . Accrued expenses A provision in accordance with IAS 37 is recognized when the Group has a present (legal or constructive) obligation as a result of a past event, it is expected to require the use of economic resources to clear the obligation and a reliable estimate can be made of it. |
Employee benefit liabilities | r. Employee benefit liabilities The Company has several employee benefit plans: 1. Short-term employee benefits Short-term employee benefits include salaries, paid annual leave, paid sick leave, recreation and social security contributions and are recognized as expenses as the services are rendered. A liability in respect of a cash bonus is recognized when the Company has a legal or constructive obligation to make such payment as a result of past service rendered by an employee and a reliable estimate of the amount can be made. 2. Post-employment benefits The post-employment benefits plans are normally financed by contributions to insurance companies and classified as defined contribution plans or as defined benefit plans. The Company has defined contribution plans pursuant to Section 14 to the Israeli Severance Pay Law under which the Company pays fixed contributions to certain employees under section 14 and will have no legal or constructive obligation to pay further contributions. Contributions to the defined contribution plan in respect of severance or retirement pay are recognized as an expense when contributed concurrently with performance of the employee's services. In addition the Company operates a defined benefit plan in respect of severance pay pursuant to the Israeli Severance Pay Law. According to the Law, employees are entitled to severance pay upon dismissal or retirement. The liability for termination of employment is measured using the projected unit credit method. The amounts are presented based on discounted expected future cash flows using a discount rate determined by reference to market yields at the reporting date on high quality corporate bonds that are linked to the Consumer Price Index with a term that is consistent with the estimated term of the severance pay obligation. In respect of its severance pay obligation to certain of its employees, the Company makes current deposits in pension funds and insurance companies ("the plan assets"). Plan assets comprise assets held by a long-term employee benefit fund or qualifying insurance policies. Plan assets are not available to the Company's own creditors and cannot be returned directly to the Company. The liability for employee benefits shown in the statement of financial position reflects the present value of the defined benefit obligation less the fair value of the plan assets. Re-measurements of the net liability are recognized in other comprehensive income in the period in which they occur. |
Share-based payment transactions | q. Share-based payment transactions The Company's employees and other service providers are entitled to remuneration in the form of equity-settled share-based payment transactions. Equity-settled transactions The cost of equity-settled transactions (options and restricted shares) with employees is measured at the fair value of the equity instruments granted at grant date. The fair value of options is determined using a standard option pricing model. The fair value of restricted shares is determined using the share price at the grant date. As for other service providers, the cost of the transactions is measured at the fair value of the goods or services received as consideration for equity instruments. In cases where the fair value of the goods or services received as consideration of equity instruments cannot be measured, they are measured by reference to the fair value of the equity instruments granted. The cost of equity-settled transactions is recognized in profit or loss together with a corresponding increase in shareholder's equity during the period which the performance and/or service conditions are to be satisfied ending on the date on which the relevant employees become entitled to the award ("the vesting period"). The cumulative expense recognized for equity-settled transactions at the end of each reporting period until the vesting date reflects the extent to which the vesting period has expired and the Company’s best estimate of the number of equity instruments that will ultimately vest. No expense is recognized for awards that do not ultimately vest. If the Company modifies the conditions on which equity-instruments were granted, an additional expense is recognized for any modification that increases the total fair value of the share-based payment arrangement or is otherwise beneficial to the employee/other service provider at the modification date. |
Income (loss) per Share | r. Income (loss) per Share Income (loss) per share is calculated by dividing the income (loss) attributable to Company shareholders by the weighted number of outstanding ordinary shares during the period. Ordinary shares underlying shares options or restricted Shares are only included in the calculation of diluted income (loss) per share when their impact dilutes the income (loss) per share. Furthermore, potential ordinary shares converted during the period are included under diluted income (loss) per share only until the conversion date, and from that date on are included under basic income (loss) per share. |
Reclassification of prior years' amounts | s. Reclassification of prior years' amounts Certain amounts in prior years' financial statements have been reclassified to conform to the current year's presentation. The reclassification had no effect on previously reported net loss or shareholders' equity. |
SIGNIFICANT ACCOUNTING POLICI32
SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of significant accounting policies [Abstract] | |
Schedule of Useful Lives for Property, Plant and Equipment | Depreciation is calculated on a straight-line basis over the useful life of the assets at annual rates as follows: % Mainly Buildings 2.5-4 4 Machinery and equipment 10-20 15 Vehicles 15 15 Computers, software, equipment and office furniture 6-33 33 Leasehold improvements (* ) 10 |
CASH AND CASH EQUIVALENTS (Tabl
CASH AND CASH EQUIVALENTS (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Cash and cash equivalents [abstract] | |
Schedule of Cash and Cash Equivalents | December 31, 2017 2016 In thousands Cash and deposits for immediate withdrawal $ 8,539 $ 7,891 Cash equivalents in USD deposits (1) 4,001 2,001 Cash equivalents in NIS deposits (2) 141 76 $ 12,681 $ 9,968 (1) The deposits bear interest of 1.53% and 1.12% per year, as of December 31, 2017 and 2016, respectively. (2) The deposits bear interest of 0.01% per year, as of each December 31, 2017 and 2016. |
SHORT-TERM INVESTMENTS (Tables)
SHORT-TERM INVESTMENTS (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of short-term investments [Abstract] | |
Schedule of Short-term Investments | December 31, 2017 2016 In thousands Marketable securities (equity and debt) at fair value through profit or loss $ 1,663 $ 1,490 Bank deposits in USD (1) 20,078 8,010 Available for sale debt securities 8,597 9,164 $ 30,338 $ 18,664 (1) The deposits bear interest of 1.70%-2.3% and 1.69 % |
TRADE RECEIVABLES, NET (Tables)
TRADE RECEIVABLES, NET (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Trade and other current receivables [abstract] | |
Schedule of Trade Receivables, Net | December 31, 2017 2016 In thousands Open accounts: In NIS $ 8,263 $ 9,326 In USD 22,284 10,816 30,547 20,142 Checks receivable 115 45 30,662 20,187 Less allowance for doubtful accounts (1) - (399 ) Trade receivables, net $ 30,662 $ 19,788 |
Schedule of Allowance for Doubtful Accounts | Allowance for doubtful accounts: December 31, 2016 $ (399 ) Bad debt recognition 399 December 31, 2017 $ - |
Schedule of Analysis of Past Due but Not Impaired Trade Receivables | An analysis of past due but not impaired trade receivables with reference to reporting date: Past due trade receivables with aging of Neither past due nor impaired Up to 30 Days 30-60 Days 60-90 Days 90-120 Days Over 120 days Total In thousands December 31, 2017 $ 29,692 680 $ 21 $ 152 $ 2 $ - $ 30,547 December 31, 2016 $ 17,769 1,891 $ 24 $ 43 $ 6 $ 10 $ 19,743 |
OTHER ACCOUNTS RECEIVABLES (Tab
OTHER ACCOUNTS RECEIVABLES (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of other accounts receivables [Abstract] | |
Schedule of Other Accounts Receivables | December 31, 2017 2016 In thousands Materials for clinical trials and inventory designated for R&D activities $ 635 $ 1,229 Prepaid expenses 822 1,057 Government authorities 563 374 Accrued interest 66 82 Other 46 321 $ 2,132 $ 3,063 |
INVENTORIES (Tables)
INVENTORIES (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Classes of current inventories [abstract] | |
Schedule of Inventories | December 31, 2017 2016 In thousands Finished products $ 5,168 $ 6,542 Purchased products 2,695 5,607 Work in progress 6,159 6,227 Raw materials 7,048 7,218 $ 21,070 $ 25,594 (1) During the years 2017, 2016 and 2015, the Company recognized, at cost of revenues, as impairment for inventories carried at net realizable value totaled of $460 thousands, $544 thousands and $470 thousands, respectively. |
PROPERTY, PLANT AND EQUIPMENT (
PROPERTY, PLANT AND EQUIPMENT (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of detailed information about property, plant and equipment [abstract] | |
Schedule of Composition and Movement of Property, Plant and Equipment | Composition and movement: 2017 Land and Buildings(1) Machinery and Equipment (1) (2) Vehicles Computers, Software, Equipment and Office Furniture Leasehold Improvements Total In thousands Cost Balance at January 1, 2017 $ 27,618 $ 26,485 $ 94 $ 5,520 $ 1,052 $ 60,769 Additions 781 3,151 - 1,002 1,196 6,130 Sale and write-off - (34 ) (28 ) - (975 ) (1,037 ) Balance as of December 31, 2017 28,399 29,602 66 6,522 1,273 65,862 Accumulated Depreciation Balance as of January 1, 2017 12,606 19,972 86 4,559 967 38,190 Depreciation and impairment 1,310 1,492 1 635 85 3,523 Sale and write-off - (34 ) (28 ) - (967 ) (1,029 ) Balance as of December 31, 2017 13,916 21,430 59 5,194 85 40,684 Depreciated cost as of December 31, 2017 $ 14,483 $ 8,172 $ 7 1,328 $ 1,188 $ 25,178 2016 Land and Buildings(1) Machinery and Equipment (1) (2) Vehicles Computers, Software, Equipment and Office Furniture Leasehold Improvements Total In thousands Cost Balance at January 1, 2016 $ 26,701 $ 24,111 $ 94 $ 5,156 $ 1,079 $ 57,141 Additions 963 3,220 - 507 62 4,752 Sale and write-off (46 ) (846 ) (143 ) (89 ) (1,124 ) Balance as of December 31, 2016 27,618 26,485 94 5,520 1,052 60,769 Accumulated Depreciation Balance as of January 1, 2016 11,237 19,310 83 4,136 1,012 35,778 Depreciation and impairment 1,402 1,355 3 564 44 3,368 Sale and write-off (33 ) (693 ) (141 ) (89 ) (956 ) Balance as of December 31, 2016 12,606 19,972 86 4,559 967 38,190 Depreciated cost as of December 31, 2016 $ 15,012 $ 6,513 $ 8 961 $ 85 $ 22,579 (1) Including labor costs charged in 2017 and 2016 to the cost of facilities, machinery and equipment in the amount of $431 thousands and $510 thousands, respectively. (2) Including financing costs of $44 thousands and $11 thousands capitalized in 2017 and 2016 respectively, to the cost of machinery and equipment. |
Schedule of Capitalized Leasing Rights of Land from Israel Land Administration | Capitalized leasing rights of land from the Israel land administration. December 31, 2017 2016 In thousands Under finance lease $ 1,016 $ 1,029 |
OTHER LONG TERM ASSETS (Tables)
OTHER LONG TERM ASSETS (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Miscellaneous non-current assets [abstract] | |
Schedule of Other Long Term Assets | December 31, 2017 2016 In thousands Long term pre-paid expenses $ 49 $ 40 |
TRADE PAYABLES (Tables)
TRADE PAYABLES (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Trade and other current payables [abstract] | |
Schedule of Trade Payables | December 31, 2017 2016 In thousands Open debts mainly in USD $ 11,246 $ 11,187 Open debts in NIS 6,789 5,038 18,035 16,225 Notes payable 1 52 $ 18,036 $ 16,277 |
OTHER ACCOUNTS PAYABLES (Tables
OTHER ACCOUNTS PAYABLES (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of other accounts payable [Abstract] | |
Schedule of Other Accounts Payables | December 31, 2017 2016 In thousands Employees and payroll accruals $ 4,735 $ 4,135 Derivatives financial instruments 8 32 Accrued Expenses and Others 1,077 1,447 $ 5,820 $ 5,614 |
LOANS AND CAPITAL LEASES (Table
LOANS AND CAPITAL LEASES (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of loans and capital leases [abstract] | |
Schedule of Loans and Capital Leases | December 31, 2017 2016 In thousands Total loans and capital leases (1) 1,984 1,776 Less current maturities 614 412 Long term loans and capital leases $ 1,370 $ 1,364 (1) The capital lease balance was $274 thousands and $103 thousands, as of December 31, 2017 and 2016, respectively. |
FINANCIAL INSTRUMENTS (Tables)
FINANCIAL INSTRUMENTS (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of detailed information about financial instruments [abstract] | |
Schedule of Classification of Financial Assets and Liabilities | The financial assets and financial liabilities in the balance sheet are classified by groups of financial instruments in pursuant to IAS 39: December 31, 2017 2016 In thousands Financial assets Financial assets at fair value through profit or loss: Marketable securities (equity and debt) $ 1,663 $ 1,490 Financial assets at fair value through other comprehensive income (loss)- Available for sale 8,597 9,164 Financial assets at cost: Cash 8,539 7,891 Short term bank deposits 24,220 10,087 $ 43,019 $ 28,632 Financial liabilities Financial liabilities at fair value: Derivatives instruments $ 8 $ 32 Financial liabilities measured at amortized cost: Bank loans and capital leases 1,984 1,776 $ 1,992 $ 1,808 |
Schedule of Maturity Profile of Company's Financial Liabilities based on Contractual Undiscounted Payments | The table below summarizes the maturity profile of the Company's financial liabilities based on contractual undiscounted payments: December 31, 2017 Less than one year 1 to 2 2 to 3 3 to 5 Total In thousands Trade payables $ 18,036 - - - $ 18,036 Other accounts payables 5,820 - - - 5,820 Long term loans and capital leases (including interest) 669 634 532 260 2,095 $ 24,525 $ 634 $ 532 $ 260 $ 25,951 December 31, 2016 Less than one year 1 to 2 2 to 3 3 to 5 Total In thousands Trade payables $ 16,277 - - - $ 16,277 Other accounts payables 5,614 - - - 5,614 Long term loan and capital leases (including interest) 464 461 429 549 1,903 $ 22,355 $ 461 $ 429 $ 549 $ 23,794 |
Schedule of Changes in Liabilities Arising From Financing Activities | Changes in liabilities arising from financing activities January 1, 2017 Payments Foreign exchange movement Cash from new loans New leases December 31, 2017 In thousands Bank loans 1,673 (419 ) 177 279 - 1710 Capital leases 103 (111 ) - - 282 274 Total 1,776 (530 ) 177 279 282 1984 |
Schedule of Carrying Amount and Fair Value of Financial Instruments | The following table demonstrates the carrying amount and fair value of the financial instruments presented in the financial statements not at fair value: Carrying Amount Fair Value December 31, December 31 , 2017 2016 2017 2016 In thousands Financial liabilities Bank loans and capital Leases $ 1,984 $ 1,776 $ 1,984 $ 1,761 |
Schedule of Financial Liabilities Measured at Fair Value | Financial assets (liabilities) measured at fair value: Level 1 Level 2 In thousands December 31, 2017 Marketable securities at fair value through profit or loss: Equity shares $ 77 $ - Mutual funds 456 - Debt securities (corporate and government) 1,130 - Derivatives instruments - (8 ) Available for sale debt securities (corporate and government) - 8,597 $ 1,663 $ 8,589 Level 1 Level 2 In thousands December 31, 2016 Marketable securities at fair value through profit or loss: Equity shares $ 70 $ - Mutual funds 388 - Debt securities (corporate and government) 1,032 - Derivatives instruments - (32 ) Available for sale debt securities (corporate and government) - 9,164 $ 1,490 $ 9,132 |
Schedule of Sensitivity Analysis for Market Risks | During 2017 there was no transfer due to the fair value measurement of any financial instrument from Level 1 to Level 2, and furthermore, there were no transfers to or from Level 3 due to the fair value measurement of any financial instrument. December 31, 2017 2016 In thousands Sensitivity test to changes in market price of listed Securities Gain (loss) from change: 5% increase in market price $ 513 $ 535 5% decrease in market price $ (513 ) $ (535 ) Sensitivity test to changes in foreign currency: Gain (loss) from change: 5% increase in NIS $ (143 ) $ 19 5% decrease in NIS $ 143 $ (19 ) 5% increase in Euro $ (135 ) $ (184 ) 5% decrease in Euro $ 135 $ 184 |
Schedule of Linkage Terms of Financial Liabilities by Groups of Financial Instruments | Linkage terms of financial liabilities by groups of financial instruments pursuant to IAS 39: December 31, In thousands 2017 2016 In NIS: Bank loans and capital leases measured at amortized cost $ 1,984 $ 1,776 |
EMPLOYEE BENEFIT LIABILITIES,44
EMPLOYEE BENEFIT LIABILITIES, NET (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of defined benefit plans [abstract] | |
Schedule of Expenses Recognized in Comprehensive Income (Loss) | Expenses recognized in comprehensive income (loss): Year Ended December 31, 2017 2016 2015 In thousands Current service cost $ 356 $ 359 $ 391 Interest expenses, net 23 20 18 Current service cost (income) due to the transfer of real yield from the compensation component to the royalties' component in executive insurance policies before 2004 (7 ) 5 (10 ) Total employee benefit expenses $ 372 $ 384 $ 399 Actual (negative) return on plan assets $ 119 $ 22 $ (12 ) |
Schedule of Expenses Presented in Statement of Comprehensive Income (Loss) | The expenses are presented in the Statement of Comprehensive income (loss) as follows Year Ended December 31, 2017 2016 2015 In thousands Cost of revenues $ 211 $ 228 $ 209 Research and development 57 62 90 Selling and marketing 16 13 18 General and administrative 88 81 82 $ 372 $ 384 $ 399 |
Schedule of Plan Assets (Liabilities), Net | The plan assets (liabilities), net: December 31, 2017 2016 In thousands Defined benefit obligation $ 5,907 $ 5,235 Fair value of plan assets 4,763 4,513 Total liabilities, net $ 1,144 $ 722 |
Schedule of Changes in Present Value of Defined Benefit Obligation | Changes in the present value of defined benefit obligation 2017 2016 In thousands Balance at January 1, $ 5,235 $ 5,425 Interest costs 151 141 Current service cost 356 359 Benefits paid (641 ) (650 ) Demographic assumptions (28 ) (17 ) Financial assumptions 254 * Past Experience 6 (104 ) Currency Exchange 574 81 Balance at December 31, $ 5,907 $ 5,235 * Represent an amount of less than 1 thousands |
Schedule of Changes in Fair Value of Plan Assets | Changes in the fair value of plan assets 2017 2016 In thousands Balance at January 1, $ 4,513 $ 4,638 Expected return 127 121 Contributions by employer 227 311 Benefits paid (586 ) (522 ) Demographic assumptions 1 1 Financial assumptions 1 - Past Experience (11 ) (100 ) Current service cost due to the transfer of real yield from the compensation component to the royalties component in executive insurance policies before 2004 7 (5 ) Currency exchange 484 69 Balance at December 31, $ 4,763 $ 4,513 |
Schedule of Principal Assumptions Underlying Defined Benefit Plan | The principal assumptions underlying the defined benefit plan 2017 2016 2015 % Discount rate of the plan liability 2.27 3.72 2.6 Future salary increases 4 4 4 |
CONTINGENT LIABILITIES AND CO45
CONTINGENT LIABILITIES AND COMMITMENTS (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of contingent liabilities and commitments [Abstract] | |
Schedule of Minimum Future Lease Fees for Office and Storage Spaces | Minimum future lease fees for the office and storage spaces as of December 31, 2017 are as follows: In thousands Year 1 $ 590 Year 2 to 5 2,479 Year 6 and thereafter 2,541 $ 5,610 |
Schedule of Minimum Future Lease Fees for Existing Vehicles | Minimum future lease fees for the existing vehicles as of December 31, 2017 are as follows: In thousands Year 1 $ 443 Year 2 284 Year 3 95 $ 822 |
EQUITY (Tables)
EQUITY (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of classes of share capital [abstract] | |
Schedule of Share Capital | share capital December 31, 2017 December 31, 2016 Authorized Outstanding Authorized Outstanding ordinary shares of NIS 1 par value 70,000,000 40,262,819 70,000,000 36,419,842 |
SHARE-BASED PAYMENT (Tables)
SHARE-BASED PAYMENT (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of terms and conditions of share-based payment arrangement [abstract] | |
Schedule of Expense Recognized in Financial Statements | The share based payment expense that was recognized for services received from employees and directors is presented in the following table: For the Year Ended December 31 2017 2016 2015 In thousands Cost of revenues $ 179 $ 332 $ 564 Research and development 138 134 390 Selling and marketing 48 71 98 General and administrative 118 534 855 Total share-based payment $ 483 $ 1,071 $ 1,907 |
Schedule of Change of Awards | The following table lists the number of share options, the weighted average exercise prices of share options and modification in employee and service provider option plans during the year: 2017 2016 2015 Number of Options Weighted Average Exercise Price Number of Options Weighted Average Exercise Price Number of Options Weighted Average Exercise Price In NIS In NIS In NIS Outstanding at beginning of year 2,487,236 35.20 2,281,493 38.96 2,396,891 37.98 Granted 458,950 21.10 401,275 15.17 504,075 18.28 Exercised (10,659 ) 18.19 (8,398 ) 18.47 (430,178 ) 11.18 Forfeited (363,155 ) 35.70 (187,134 ) 39.22 (189,295 ) 34.94 Outstanding at end of year 2,572,372 32.47 2,487,236 35.20 2,281,493 38.96 Exercisable at end of year 1,755,253 38.69 1,543,358 40.44 1,182,417 40.39 The weighted average remaining contractual life for the share options 3.22 3.62 4.15 |
Schedule of Number of RSs and Modification in Employee RSs | The following table lists the number of RSs and modification in employee RSs during the year: Number of RSs 2017 2016 Outstanding at beginning of year 27,333 - Granted 58,835 29,333 End of restriction period (7,656 ) - Forfeited (2,000 ) (2,000 ) Outstanding at end of year 76,512 27,333 The weighted average remaining contractual life for the restricted share 5.92 6.20 |
Schedule of Inputs to Binomial Model Used for Fair Value Measurement | The following table lists the inputs to the binomial model used for the fair value measurement of equity-settled share options for the above plan: 2017 2016 2015 Dividend yield (%) - - - Expected volatility of the share prices (%) 37-45 32-51 42-64 Risk-free interest rate (%) 0.1 – 1.83 0.13 – 1.83 0.07-2.04 Contractual term of up to (years) 6.5 6.5 6.5 Exercise multiple 2 2 2 Weighted average share prices (NIS) 16.05-16.44 15.17 17.17 Expected average forfeiture rate (%) 1-5 0-5 0-5 |
TAXES ON INCOME (Tables)
TAXES ON INCOME (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of taxes on income [Abstract] | |
Schedule of Weighted Combination of Applicable Rates | The tax benefits available under Approved Enterprise or Privileged Enterprise relate only to taxable income attributable to the specific Approved Enterprise or Privileged Enterprise, and the Company's effective tax rate will be the result of a weighted combination of the applicable rates. Tax Exemption Period Reduced Tax Period Rate of Reduced Tax Percent of Foreign Ownership 2 years 5 years 25% 0-25% 2 years 8 years 25% 25-49% 2 years 8 years 20% 49-74% 2 years 8 years 15% 74-90% 2 years 8 years 10% 90-100% |
Schedule of Current Taxes on Income | Current taxes on income Year ended December 31, 2017 2016 2015 In thousands Current taxes $ 129 $ 362 $ - Taxes in respect of prior years 140 1,360 - $ 269 $ 1,722 $ - |
SUPPLEMENTARY INFORMATION TO 49
SUPPLEMENTARY INFORMATION TO THE STATEMENTS OF PROFIT AND LOSS (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of supplementary information to the statements of comprehensive loss [Abstract] | |
Schedule of Additional Information about Revenues | Year Ended December 31, 2017 2016 2015 In thousands a. Additional information about revenues Revenues from major customers each of whom amount to 10% or more, of total revenues Customer A – Proprietary products Segment $ 60,383 $ 40,451 $ 26,032 Customer B – Proprietary products Segment and Distribution Segment - 10,225 10,306 $ 60,383 $ 50,676 $ 36,338 |
Schedule of Revenues Based on Location of Customers | Revenues based on the location of the customers, are as follows: Year Ended December 31, 2017 2016 2015 In thousands U.S.A. $ 60,405 $ 40,585 $ 26,559 Israel 26,355 25,340 30,624 Europe 5,348 3,825 3,223 Latin America 5,248 4,221 6,036 Asia 4,979 3,028 2,900 Others 490 495 564 $ 102,825 $ 77,494 $ 69,906 |
Schedule of Income and Expenses | Year Ended December 31, 2017 2016 2015 In thousands b. Cost of goods sold Cost of materials $ 41,179 $ 36,154 $ 38,848 Salary and related expenses 13,137 10,596 9,991 Depreciation and amortization 2,504 2,443 2,383 Energy 1,202 959 922 Subcontractors 3,995 2,833 2,112 Other manufacturing expenses 1,572 1,057 1,220 63,589 54,042 55,476 Decrease (increase) in inventories 7,148 2,092 (935 ) $ 70,737 $ 56,134 $ 54,541 c. Research and development Salary and related expenses $ 6,413 $ 5,237 $ 4,566 Subcontractors 3,392 8,318 8,002 Materials and allocation of facility costs 1,101 1,907 3,386 Others 1,067 783 576 $ 11,973 $ 16,245 $ 16,530 d. Selling and marketing Salary and related expenses $ 1,470 $ 1,272 $ 1,227 Marketing support 95 79 368 Packing, shipping and delivery 607 494 454 Marketing and advertising 627 337 560 Registration and marketing fees 1,162 796 794 Others 437 265 249 $ 4,398 $ 3,243 $ 3,652 Year Ended December 31, 2017 2016 2015 In thousands e. General and administrative Salary and related expenses $ 3,138 $ 3,029 $ 2,604 Employees welfare 2,182 1,465 1,391 Professional fees 1,497 1,378 1,482 Depreciation, amortization and impairment 649 712 524 Others 807 769 606 $ 8,273 $ 7,353 $ 6,607 f. Financial incomes and expenses Financial incomes Interest income $ 500 $ 469 $ 463 Financial expenses Interest and amortization from debentures $ - $ - $ 731 Fees and interest paid to financial institutions 162 126 111 Others - - 92 $ 162 $ 126 $ 934 |
INCOME (LOSS) PER SHARE (Tables
INCOME (LOSS) PER SHARE (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Income (loss) per share attributable to equity holders of the Company: | |
Schedule of Details of Number of Shares and Income (Loss) | Details of the number of shares and income (loss) used in the computation of income (loss) per share Year Ended December 31 2017 2016 2015 Weighted Number of Shares Income Attributed to equity holders of the Company Weighted Number of Shares Loss Attributed to equity holders of the Company Weighted Number of Shares Loss Attributed to equity holders of the Company In thousands For the computation of basic income (loss) 37,970,697 $ 6,901 36,418,833 $ (6,733 ) 36,245,813 $ (11,270 ) Effect of potential dilutive ordinary shares 74,400 - - - - - For the computation of diluted income (loss) 38,045,097 $ 6,901 36,418,833 $ (6,733 ) 36,245,813 $ (11,270 ) |
OPERATING SEGMENTS (Tables)
OPERATING SEGMENTS (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of operating segments [abstract] | |
Schedule of Reporting on Operating Segments | Reporting on operating segments Proprietary Products Distribution Total In thousands Year Ended December 31, 2017 Revenues $ 79,559 $ 23,266 $ 102,825 Gross profit $ 28,224 $ 3,864 $ 32,088 Unallocated corporate expenses (24,644 ) Finance expense, net (274 ) Income before taxes on income $ 7,170 Proprietary Products Distribution Total In thousands Year Ended December 31, 2016 Revenues $ 55,958 $ 21,536 $ 77,494 Gross profit $ 18,235 $ 3,125 $ 21,360 Unallocated corporate expenses (26,841 ) Finance income, net 470 Loss before taxes on income $ (5,011 ) Proprietary Products Distribution Total In thousands Year Ended December 31, 2015 Revenues $ 42,952 $ 26,954 $ 69,906 Gross profit $ 12,051 $ 3,314 $ 15,365 Unallocated corporate expenses (26,789 ) Finance income, net 154 Loss before taxes on income $ (11,270 ) |
BALANCES AND TRANSACTIONS WIT52
BALANCES AND TRANSACTIONS WITH RELATED PARTIES (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of transactions between related parties [abstract] | |
Schedule of Balances with Related Parties | Balances with related parties December 31, 2017 December 31, 2016 In thousands December 31, 2017 Other accounts payables $ 292 $ 230 Employee benefit liabilities, net $ 92 $ 170 Trade receivable $ 2,382 $ 675 |
Schedule of Benefits to Related Parties | Benefits to related parties Year Ended December 31, 2017 2016 In thousands Salary and related expenses to those employed by the Company or on its behalf $ 460 $ 473 Salary of directors not employed by the Company or on its behalf $ 107 $ 122 Number of People to whom the Salary and Benefits Refer Related and related parties employed by the Company or on its behalf 2 2 Directors not employed by the Company 2 3 4 5 |
Schedule of Benefits to Key Executive Personnel | Benefits to key executive personnel (including non-related parties) Year Ended December 31, 2017 2016 2015 In thousands Short-term benefits $ 2,719 $ 2,453 $ 2,144 Share-based payment 310 460 650 Other long-term benefits 6 28 61 $ 3,035 $ 2,941 $ 2,855 |
Schedule of Transactions with Related Parties | Transactions with related parties Year Ended December 31, 2017 2016 2015 In thousands Sales $ 3,455 $ 2,230 $ 2,795 Selling and marketing expenses $ 121 $ 101 $ 114 General and administrative expenses $ 446 $ 503 $ 526 |
SIGNIFICANT ACCOUNTING POLICI53
SIGNIFICANT ACCOUNTING POLICIES (Narrative) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of significant accounting policies [Abstract] | ||
Allowance for doubtful accounts | $ 399 |
SIGNIFICANT ACCOUNTING POLICI54
SIGNIFICANT ACCOUNTING POLICIES (Schedule of Useful Lives for Property, Plant and Equipment) (Details) | 12 Months Ended | |
Dec. 31, 2017 | ||
Building [Member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Depreciation percentage on straight-line basis over the useful life of the assets (in %) | 2.5-4 | |
Mainly % | 4 | |
Machinery and equipment [Member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Depreciation percentage on straight-line basis over the useful life of the assets (in %) | 10-20 | |
Mainly % | 15 | |
Vehicles [Member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Depreciation percentage on straight-line basis over the useful life of the assets (in %) | 15 | |
Mainly % | 15 | |
Computers, software, equipment and office furniture [Member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Depreciation percentage on straight-line basis over the useful life of the assets (in %) | 6-33 | |
Mainly % | 33 | |
Leasehold improvements [Member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Depreciation percentage on straight-line basis over the useful life of the assets (in %) | - | [1] |
Mainly % | 10 | |
[1] | Leasehold improvements are depreciated on a straight-line basis over the shorter of the lease term (including the extension option held by the Company and intended to be exercised) and the expected life of the improvement. |
DISCLUSURE OF NEW IFRS IN THE P
DISCLUSURE OF NEW IFRS IN THE PERIOD (Details) $ in Thousands | Dec. 31, 2017USD ($) |
Disclusure Of New Ifrs In Period Details | |
Increase of deferred revenue | $ 757 |
CASH AND CASH EQUIVALENTS (Narr
CASH AND CASH EQUIVALENTS (Narrative) (Details) - Fixed interest rate [Member] | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of financial assets [line items] | ||
Interest rate on deposits | 1.53% | 1.12% |
NIS [Member] | ||
Disclosure of financial assets [line items] | ||
Interest rate on deposits | 0.01% | 0.01% |
CASH AND CASH EQUIVALENTS (Sche
CASH AND CASH EQUIVALENTS (Schedule of Cash and Cash Equivalents) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Cash and cash equivalents [abstract] | |||||
Cash and deposits for immediate withdrawal | $ 8,539 | $ 7,891 | |||
Cash equivalents in USD deposits | [1] | 4,001 | 2,001 | ||
Cash equivalents in NIS deposits | [2] | 141 | 76 | ||
Cash and cash equivalents | $ 12,681 | $ 9,968 | $ 5,047 | $ 14,546 | |
[1] | The deposits bear interest of 1.53% and 1.12% per year, as of December 31, 2017 and 2016, respectively. | ||||
[2] | The deposits bear interest of 0.01% per year, as of each December 31, 2017 and 2016. |
SHORT-TERM INVESTMENTS (Narrati
SHORT-TERM INVESTMENTS (Narrative) (Details) - Fixed interest rate [Member] | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of financial assets [line items] | ||
Interest rate on deposits | 1.53% | 1.12% |
Bottom of range [Member] | ||
Disclosure of financial assets [line items] | ||
Interest rate on deposits | 1.70% | 1.69% |
Top of range [Member] | ||
Disclosure of financial assets [line items] | ||
Interest rate on deposits | 2.30% | 1.84% |
SHORT-TERM INVESTMENTS (Schedul
SHORT-TERM INVESTMENTS (Schedule of Short-term Investments) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of short-term investments [Abstract] | |||
Marketable securities (equity and debt) at fair value through profit or loss | $ 1,663 | $ 1,490 | |
Bank deposits in USD | [1] | 20,078 | 8,010 |
Available for sale debt securities | 8,597 | 9,164 | |
Short-term investments | $ 30,338 | $ 18,664 | |
[1] | The deposits bear interest of 1.70%-2.3% and 1.69%- 1.84% per year, as of December 31, 2017 and 2016, respectively. |
TRADE RECEIVABLES, NET (Schedul
TRADE RECEIVABLES, NET (Schedule of Trade Receivables, Net) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Open accounts: | ||
In NIS | $ 8,263 | $ 9,326 |
In USD | 22,284 | 10,816 |
Total open accounts | 30,547 | 20,142 |
Checks receivable | 115 | 45 |
Trade receivables, gross | 30,662 | 20,187 |
Less allowance for doubtful accounts | (399) | |
Trade receivables, net | $ 30,662 | $ 19,788 |
TRADE RECEIVABLES, NET (Sched61
TRADE RECEIVABLES, NET (Schedule of Allowance for Doubtful Accounts) (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2017USD ($) | |
Trade and other current receivables [abstract] | |
December 31, 2016 | $ (399) |
Bad debt recognition | 399 |
December 31, 2017 |
TRADE RECEIVABLES, NET (Sched62
TRADE RECEIVABLES, NET (Schedule of Analysis of Past Due but Not Impaired Trade Receivables) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of provision matrix [line items] | ||
Trade receivables | $ 30,547 | $ 19,743 |
Neither past due nor impaired [Member] | ||
Disclosure of provision matrix [line items] | ||
Trade receivables | 29,692 | 17,769 |
Past due trade receivables with aging of Up to 30 Days [Member] | ||
Disclosure of provision matrix [line items] | ||
Trade receivables | 680 | 1,891 |
Past due trade receivables with aging of 30-60 Days [Member] | ||
Disclosure of provision matrix [line items] | ||
Trade receivables | 21 | 24 |
Past due trade receivables with aging of 60-90 Days [Member] | ||
Disclosure of provision matrix [line items] | ||
Trade receivables | 152 | 43 |
Past due trade receivables with aging of 90-120 Days [Member] | ||
Disclosure of provision matrix [line items] | ||
Trade receivables | 2 | 6 |
Past due trade receivables with aging of Over 120 days [Member] | ||
Disclosure of provision matrix [line items] | ||
Trade receivables | $ 10 |
OTHER ACCOUNTS RECEIVABLES (Sch
OTHER ACCOUNTS RECEIVABLES (Schedule of Other Accounts Receivables) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of other accounts receivables [Abstract] | ||
Materials for clinical trials and inventory designated for R&D activities | $ 635 | $ 1,229 |
Prepaid expenses | 822 | 1,057 |
Government authorities | 563 | 374 |
Accrued interest | 66 | 82 |
Other | 46 | 321 |
Other accounts receivables | $ 2,132 | $ 3,063 |
INVENTORIES (Narrative) (Detail
INVENTORIES (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Classes of current inventories [abstract] | |||
Cost of inventories recognised as expense during period | $ 460 | $ 544 | $ 470 |
INVENTORIES (Schedule of Invent
INVENTORIES (Schedule of Inventories) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Classes of current inventories [abstract] | ||
Finished products | $ 5,168 | $ 6,542 |
Purchased products | 2,695 | 5,607 |
Work in progress | 6,159 | 6,227 |
Raw materials | 7,048 | 7,218 |
Inventories | $ 21,070 | $ 25,594 |
PROPERTY, PLANT AND EQUIPMENT66
PROPERTY, PLANT AND EQUIPMENT (Narrative) (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017USD ($)m² | Dec. 31, 2016USD ($) | |
Disclosure of detailed information about property, plant and equipment [line items] | ||
Area of capitalized leasing rights from Israel Land Administration | m² | 16,880 | |
Lease period with Israel Land Administration | 2,058 | |
Extension option for lease with with Israel Land Administration (in years) | 49 years | |
Cost [Member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Cost of facilities, machinery and equipment | $ 431 | $ 510 |
Cost [Member] | Machinery and equipment [Member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Borrowing costs of machinery and equipment | $ 44 | $ 11 |
PROPERTY, PLANT AND EQUIPMENT67
PROPERTY, PLANT AND EQUIPMENT (Schedule of Composition and Movement of Property, Plant and Equipment) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | ||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Balance | $ 22,579 | ||
Balance | 25,178 | $ 22,579 | |
Cost [Member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Balance | 60,769 | 57,141 | |
Additions | 6,130 | 4,752 | |
Sale and write-off | (1,037) | (1,124) | |
Balance | 65,862 | 60,769 | |
Accumulated Depreciation [Member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Balance | 38,190 | 35,778 | |
Depreciation and impairment | 3,523 | 3,368 | |
Sale and write-off | (1,029) | (956) | |
Balance | 40,684 | 38,190 | |
Depreciated cost as of December 31, 2017 | 25,178 | 22,579 | |
Land and Buildings [Member] | Cost [Member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Balance | [1] | 27,618 | 26,701 |
Additions | [1] | 781 | 963 |
Sale and write-off | [1] | (46) | |
Balance | [1] | 28,399 | 27,618 |
Land and Buildings [Member] | Accumulated Depreciation [Member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Balance | [1] | 12,606 | 11,237 |
Depreciation and impairment | [1] | 1,310 | 1,402 |
Sale and write-off | [1] | (33) | |
Balance | [1] | 13,916 | 12,606 |
Depreciated cost as of December 31, 2017 | [1] | 14,483 | 15,012 |
Machinery and equipment [Member] | Cost [Member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Balance | [1],[2] | 26,485 | 24,111 |
Additions | [1],[2] | 3,151 | 3,220 |
Sale and write-off | [1],[2] | (34) | (846) |
Balance | [1],[2] | 29,602 | 26,485 |
Machinery and equipment [Member] | Accumulated Depreciation [Member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Balance | [1],[2] | 19,972 | 19,310 |
Depreciation and impairment | [1],[2] | 1,492 | 1,355 |
Sale and write-off | [1],[2] | (34) | (693) |
Balance | [1],[2] | 21,430 | 19,972 |
Depreciated cost as of December 31, 2017 | [1],[2] | 8,172 | 6,513 |
Vehicles [Member] | Cost [Member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Balance | 94 | 94 | |
Additions | |||
Sale and write-off | (28) | ||
Balance | 66 | 94 | |
Vehicles [Member] | Accumulated Depreciation [Member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Balance | 86 | 83 | |
Depreciation and impairment | 1 | 3 | |
Sale and write-off | (28) | ||
Balance | 59 | 86 | |
Depreciated cost as of December 31, 2017 | 7 | 8 | |
Computers, software, equipment and office furniture [Member] | Cost [Member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Balance | 5,520 | 5,156 | |
Additions | 1,002 | 507 | |
Sale and write-off | (143) | ||
Balance | 6,522 | 5,520 | |
Computers, software, equipment and office furniture [Member] | Accumulated Depreciation [Member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Balance | 4,559 | 4,136 | |
Depreciation and impairment | 635 | 564 | |
Sale and write-off | (141) | ||
Balance | 5,194 | 4,559 | |
Depreciated cost as of December 31, 2017 | 1,328 | 961 | |
Leasehold improvements [Member] | Cost [Member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Balance | 1,052 | 1,079 | |
Additions | 1,196 | 62 | |
Sale and write-off | (975) | (89) | |
Balance | 1,273 | 1,052 | |
Leasehold improvements [Member] | Accumulated Depreciation [Member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Balance | 967 | 1,012 | |
Depreciation and impairment | 85 | 44 | |
Sale and write-off | (967) | (89) | |
Balance | 85 | 967 | |
Depreciated cost as of December 31, 2017 | $ 1,188 | $ 85 | |
[1] | Including labor costs charged in 2017 and 2016 to the cost of facilities, machinery and equipment in the amount of $431 thousands and $510 thousands, respectively. | ||
[2] | Including financing costs of $44 thousands and $11 thousands capitalized in 2017 and 2016 respectively, to the cost of machinery and equipment. |
PROPERTY, PLANT AND EQUIPMENT68
PROPERTY, PLANT AND EQUIPMENT (Schedule of Capitalized Leasing Rights of Land from Israel Land Administration) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of detailed information about property, plant and equipment [abstract] | ||
Under finance lease | $ 1,016 | $ 1,029 |
OTHER LONG TERM ASSETS (Schedul
OTHER LONG TERM ASSETS (Schedule of Other Long Term Assets) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Miscellaneous non-current assets [abstract] | ||
Long term pre-paid expenses | $ 49 | $ 40 |
TRADE PAYABLES (Schedule of Tra
TRADE PAYABLES (Schedule of Trade Payables) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Trade and other current payables [abstract] | ||
Open debts mainly in USD | $ 11,246 | $ 11,187 |
Open debts in NIS | 6,789 | 5,038 |
Open debts, total | 18,035 | 16,225 |
Notes payable | 1 | 52 |
Trade payables | $ 18,036 | $ 16,277 |
OTHER ACCOUNTS PAYABLES (Schedu
OTHER ACCOUNTS PAYABLES (Schedule of Other Accounts Payables) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of other accounts payable [Abstract] | ||
Employees and payroll accruals | $ 4,735 | $ 4,135 |
Derivatives financial instruments | 8 | 32 |
Accrued Expenses and Others | 1,077 | 1,447 |
Other accounts payables | $ 5,820 | $ 5,614 |
LOANS AND CAPITAL LEASES (Narra
LOANS AND CAPITAL LEASES (Narrative) (Details) ₪ in Thousands, $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2017USD ($) | Dec. 31, 2017ILS (₪) | Dec. 31, 2016USD ($) | Dec. 31, 2016ILS (₪) | Dec. 31, 2015USD ($) | |
Disclosure of detailed information about borrowings [line items] | |||||
Capital lease balance | $ 274 | $ 103 | |||
Proceeds from long-term loans | $ 279 | $ 1,701 | $ 197 | ||
Bottom of range [Member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Interest rate | 3.15% | ||||
Top of range [Member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Interest rate | 3.55% | ||||
NIS [Member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Proceeds from long-term loans | ₪ | ₪ 1,000 | ₪ 6,585 |
LOANS AND CAPITAL LEASES (Sched
LOANS AND CAPITAL LEASES (Schedule of Loans and Capital Leases) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of loans and capital leases [abstract] | |||
Total loans and capital leases | [1] | $ 1,984 | $ 1,776 |
Less current maturities | 614 | 412 | |
Long term loans and capital leases | $ 1,370 | $ 1,364 | |
[1] | The capital lease balance was $274 thousands and $103 thousands, as of December 31, 2017 and 2016, respectively. |
FINANCIAL INSTRUMENTS (Narrativ
FINANCIAL INSTRUMENTS (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of detailed information about hedges [line items] | |||
Net unrecognized loss recorded in other comprehensive loss | $ 329 | $ 47 | $ 71 |
Cash flow hedges [Member] | |||
Disclosure of detailed information about hedges [line items] | |||
Fair value of derivative instrument designated as hedging instrument | 52 | ||
Open transactions for derivative instruments designated as hedging | 770 | ||
Net unrecognized loss recorded in other comprehensive loss | 71 | ||
Derivatives instruments not designated as hedging [Member] | |||
Disclosure of detailed information about hedges [line items] | |||
Fair value of the derivative instruments | 60 | ||
Open transactions for derivative instruments not designated as hedging | $ 5,800 |
FINANCIAL INSTRUMENTS (Schedule
FINANCIAL INSTRUMENTS (Schedule of Classification of Financial Assets and Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of detailed information about financial instruments [line items] | ||
Financial assets | $ 43,019 | $ 28,632 |
Financial liabilities | 1,992 | 1,808 |
Financial liabilities at fair value through profit or loss: Derivatives instruments [Member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities | 8 | 32 |
Financial liabilities measured at amortized cost: Bank loans and capital leases [Member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities | 1,984 | 1,776 |
Financial assets at fair value: Marketable securities (equity and debt) [Member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial assets | 1,663 | 1,490 |
Financial assets at fair value through- Available for sale debt securities [Member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial assets | 8,597 | 9,164 |
Derivatives instruments [Member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial assets | 8,539 | 7,891 |
Financial assets at cost - Short term bank deposits [Member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial assets | $ 24,220 | $ 10,087 |
FINANCIAL INSTRUMENTS (Schedu76
FINANCIAL INSTRUMENTS (Schedule of Financial Liabilities based on Contractual Undiscounted Payments) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of maturity analysis for derivative financial liabilities [line items] | ||
Trade payables | $ 18,036 | $ 16,277 |
Other accounts payables | 5,820 | 5,614 |
Long term loans and capital leases (including interest) | 2,095 | 1,903 |
Financial liabilities | 25,951 | 23,794 |
Less than one year [Member] | ||
Disclosure of maturity analysis for derivative financial liabilities [line items] | ||
Trade payables | 18,036 | 16,277 |
Other accounts payables | 5,820 | 5,614 |
Long term loans and capital leases (including interest) | 669 | 464 |
Financial liabilities | 24,525 | 22,355 |
1 to 2 [Member] | ||
Disclosure of maturity analysis for derivative financial liabilities [line items] | ||
Trade payables | ||
Other accounts payables | ||
Long term loans and capital leases (including interest) | 634 | 461 |
Financial liabilities | 634 | 461 |
2 to 3 [Member] | ||
Disclosure of maturity analysis for derivative financial liabilities [line items] | ||
Trade payables | ||
Other accounts payables | ||
Long term loans and capital leases (including interest) | 532 | 429 |
Financial liabilities | 532 | 429 |
3 to 5 [Member] | ||
Disclosure of maturity analysis for derivative financial liabilities [line items] | ||
Trade payables | ||
Other accounts payables | ||
Long term loans and capital leases (including interest) | 260 | 549 |
Financial liabilities | $ 260 | $ 549 |
FINANCIAL INSTRUMENTS (Schedu77
FINANCIAL INSTRUMENTS (Schedule of Changes in Liabilities Arising From Financing Activities) (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2017USD ($) | |
Disclosure of reconciliation of liabilities arising from financing activities [line items] | |
Beginning | $ 1,776 |
Payments | (530) |
Foreign exchange movement | 177 |
Cash from new loans | 279 |
New leases | 282 |
Ending | 1,984 |
Bank loans [Member] | |
Disclosure of reconciliation of liabilities arising from financing activities [line items] | |
Beginning | 1,673 |
Payments | (419) |
Foreign exchange movement | 177 |
Cash from new loans | 279 |
New leases | |
Ending | 1,710 |
Capital lease [Member] | |
Disclosure of reconciliation of liabilities arising from financing activities [line items] | |
Beginning | 103 |
Payments | (111) |
Foreign exchange movement | |
Cash from new loans | |
New leases | 282 |
Ending | $ 274 |
FINANCIAL INSTRUMENTS (Schedu78
FINANCIAL INSTRUMENTS (Schedule of Carrying Amount and Fair Value of Financial Instruments) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of financial liabilities [line items] | ||
Financial liabilities Carrying Amount | $ 1,992 | $ 1,808 |
Bank loans and capital leases [Member] | ||
Disclosure of financial liabilities [line items] | ||
Financial liabilities Carrying Amount | 1,984 | 1,776 |
Financial liabilities Fair Value | $ 1,984 | $ 1,761 |
FINANCIAL INSTRUMENTS (Schedu79
FINANCIAL INSTRUMENTS (Schedule of Classification of Financial Instruments by Fair Value Hierarchy) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Level 1 [Member] | ||
Disclosure of financial assets [line items] | ||
Financial assets measured at fair value | $ 1,663 | $ 1,490 |
Level 1 [Member] | Marketable securities at fair value through profit or loss [Member] | Equity shares [Member] | ||
Disclosure of financial assets [line items] | ||
Financial assets measured at fair value | 77 | 70 |
Level 1 [Member] | Marketable securities at fair value through profit or loss [Member] | Mutual funds [Member] | ||
Disclosure of financial assets [line items] | ||
Financial assets measured at fair value | 456 | 388 |
Level 1 [Member] | Marketable securities at fair value through profit or loss [Member] | Debt securities (corporate and government) [Member] | ||
Disclosure of financial assets [line items] | ||
Financial assets measured at fair value | 1,130 | 1,032 |
Level 1 [Member] | Financial assets at fair value through- Available for sale debt securities [Member] | ||
Disclosure of financial assets [line items] | ||
Financial assets measured at fair value | ||
Level 1 [Member] | Derivatives instruments [Member] | ||
Disclosure of financial assets [line items] | ||
Financial assets measured at fair value | ||
Level 2 [Member] | ||
Disclosure of financial assets [line items] | ||
Financial assets measured at fair value | 8,589 | 9,132 |
Level 2 [Member] | Marketable securities at fair value through profit or loss [Member] | Equity shares [Member] | ||
Disclosure of financial assets [line items] | ||
Financial assets measured at fair value | ||
Level 2 [Member] | Marketable securities at fair value through profit or loss [Member] | Mutual funds [Member] | ||
Disclosure of financial assets [line items] | ||
Financial assets measured at fair value | ||
Level 2 [Member] | Marketable securities at fair value through profit or loss [Member] | Debt securities (corporate and government) [Member] | ||
Disclosure of financial assets [line items] | ||
Financial assets measured at fair value | ||
Level 2 [Member] | Financial assets at fair value through- Available for sale debt securities [Member] | ||
Disclosure of financial assets [line items] | ||
Financial assets measured at fair value | 8,597 | 9,164 |
Level 2 [Member] | Derivatives instruments [Member] | ||
Disclosure of financial assets [line items] | ||
Financial assets measured at fair value | $ (8) | $ (32) |
FINANCIAL INSTRUMENTS (Schedu80
FINANCIAL INSTRUMENTS (Schedule of Sensitivity Test) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
5% increase in market price [Member] | ||
Sensitivity test to changes in market price of listed Securities | ||
Gain (loss) from sensitivity test to changes in market price of listed Securities | $ 513 | $ 535 |
5% decrease in market price [Member] | ||
Sensitivity test to changes in market price of listed Securities | ||
Gain (loss) from sensitivity test to changes in market price of listed Securities | (513) | (535) |
5% increase in NIS [Member] | ||
Sensitivity test to changes in foreign currency: | ||
Gain (loss) from sensitivity test to changes in foreign currency | (143) | 19 |
5% decrease in NIS [Member] | ||
Sensitivity test to changes in foreign currency: | ||
Gain (loss) from sensitivity test to changes in foreign currency | 143 | (19) |
5% increase in Euro [Member] | ||
Sensitivity test to changes in foreign currency: | ||
Gain (loss) from sensitivity test to changes in foreign currency | (135) | (184) |
5% decrease in Euro [Member] | ||
Sensitivity test to changes in foreign currency: | ||
Gain (loss) from sensitivity test to changes in foreign currency | $ 135 | $ 184 |
FINANCIAL INSTRUMENTS (Schedu81
FINANCIAL INSTRUMENTS (Schedule of Linkage Terms of Financial Liabilities by Groups of Financial Instruments) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Bank loans and capital leases measured at amortized cost | NIS [Member] | ||
In NIS: | ||
Linkage terms of financial liabilities by groups of financial instruments pursuant to IAS 39 | $ 1,984 | $ 1,776 |
EMPLOYEE BENEFIT LIABILITIES,82
EMPLOYEE BENEFIT LIABILITIES, NET (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of sensitivity analysis for actuarial assumptions [line items] | |||
Expenses for defined benefit deposit | $ 884 | $ 669 | $ 702 |
Discount rates [Member] | |||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | |||
Reasonably possible increase in actuarial assumption | 1.00% | ||
Reasonably possible decrease in actuarial assumption | 1.00% | ||
Increase (decrease) in defined benefit obligation from a 1% increase in actuarial assumption | $ 380 | ||
Increase (decrease) in defined benefit obligation from a 1% decrease in actuarial assumption | $ (309) | ||
Expected salary growth [Member] | |||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | |||
Reasonably possible increase in actuarial assumption | 1.00% | ||
Increase (decrease) in defined benefit obligation from a 1% increase in actuarial assumption | $ 362 | ||
Increase (decrease) in defined benefit obligation from a 1% decrease in actuarial assumption | $ (298) |
EMPLOYEE BENEFIT LIABILITIES,83
EMPLOYEE BENEFIT LIABILITIES, NET (Schedule of Expenses Recognized in Comprehensive Income (Loss)) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of defined benefit plans [abstract] | |||
Current service cost | $ 356 | $ 359 | $ 391 |
Interest expenses, net | 23 | 20 | 18 |
Current service cost (income) due to the transfer of real yield from the compensation component to the royalties' component in executive insurance policies before 2004. | (7) | 5 | (10) |
Total employee benefit expenses | 372 | 384 | 399 |
Actual (negative) return on plan assets | $ 119 | $ 22 | $ (12) |
EMPLOYEE BENEFIT LIABILITIES,84
EMPLOYEE BENEFIT LIABILITIES, NET (Schedule of Expenses are Presented in Statement of Comprehensive Income (Loss)) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of defined benefit plans [line items] | |||
Total employee benefit expenses | $ 372 | $ 384 | $ 399 |
Cost of revenues [Member] | |||
Disclosure of defined benefit plans [line items] | |||
Total employee benefit expenses | 211 | 228 | 209 |
Research and development [Member] | |||
Disclosure of defined benefit plans [line items] | |||
Total employee benefit expenses | 57 | 62 | 90 |
Selling and marketing [Member] | |||
Disclosure of defined benefit plans [line items] | |||
Total employee benefit expenses | 16 | 13 | 18 |
General and administrative [Member] | |||
Disclosure of defined benefit plans [line items] | |||
Total employee benefit expenses | $ 88 | $ 81 | $ 82 |
EMPLOYEE BENEFIT LIABILITIES,85
EMPLOYEE BENEFIT LIABILITIES, NET (Schedule of Plan Assets (Liabilities), Net) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of defined benefit plans [abstract] | ||
Defined benefit obligation | $ 5,907 | $ 5,235 |
Fair value of plan assets | 4,763 | 4,513 |
Total liabilities, net | $ 1,144 | $ 722 |
EMPLOYEE BENEFIT LIABILITIES,86
EMPLOYEE BENEFIT LIABILITIES, NET (Schedule of Changes in Present Value of Defined Benefit Obligation) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Disclosure of net defined benefit liability (asset) [line items] | ||||
Interest costs | $ (23) | $ (20) | $ (18) | |
Current service cost | (356) | (359) | (391) | |
Defined Benefit Obligation [Member] | ||||
Disclosure of net defined benefit liability (asset) [line items] | ||||
Balance at January 1, | 5,235 | 5,425 | ||
Interest costs | 151 | 141 | ||
Current service cost | 356 | 359 | ||
Benefits paid | (641) | (650) | ||
Demographic assumptions | (28) | (17) | ||
Financial assumptions | 254 | [1] | ||
Past Experience | 6 | (104) | ||
Currency Exchange | 574 | 81 | ||
Balance at December 31, | $ 5,907 | $ 5,235 | $ 5,425 | |
[1] | Represent an amount of less than 1 thousands |
EMPLOYEE BENEFIT LIABILITIES,87
EMPLOYEE BENEFIT LIABILITIES, NET (Schedule of Changes in Fair Value of Plan Assets) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of net defined benefit liability (asset) [line items] | |||
Balance at January 1, | $ 4,513 | ||
Expected return | 119 | $ 22 | $ (12) |
Current service cost due to the transfer of real yield from the compensation component to the royalties component in executive insurance policies before 2004. | (7) | 5 | (10) |
Balance at December 31, | 4,763 | 4,513 | |
Plan assets [Member] | |||
Disclosure of net defined benefit liability (asset) [line items] | |||
Balance at January 1, | 4,513 | 4,638 | |
Expected return | 127 | 121 | |
Contributions by employer | 227 | 311 | |
Benefits paid | (586) | (522) | |
Demographic assumptions | 1 | 1 | |
Financial assumptions | 1 | ||
Past Experience | (11) | (100) | |
Current service cost due to the transfer of real yield from the compensation component to the royalties component in executive insurance policies before 2004. | 7 | (5) | |
Currency exchange | 484 | 69 | |
Balance at December 31, | $ 4,763 | $ 4,513 | $ 4,638 |
EMPLOYEE BENEFIT LIABILITIES,88
EMPLOYEE BENEFIT LIABILITIES, NET (Schedule of Principal Assumptions Underlying Defined Benefit Plan) (Details) | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Disclosure of defined benefit plans [abstract] | |||
Discount rate of the plan liability | 2.27% | 3.72% | 2.60% |
Future salary increases | 4.00% | 4.00% | 4.00% |
CONTINGENT LIABILITIES AND CO89
CONTINGENT LIABILITIES AND COMMITMENTS (Narrative) (Details) - USD ($) $ in Millions | Aug. 02, 2012 | Aug. 23, 2010 | Dec. 31, 2017 |
Baxter Healthcare Corporation [Member] | |||
Disclosure of contingent liabilities [line items] | |||
Agreement term | 30 years | ||
Agreement payment amount | $ 45 | ||
Minimum amount purchased by third party from Kamada through five years from signing the agreement | 60 | ||
Minimum yearly royalties to be paid by shire starting from the beginning of the sale of Glassia produced by Shire in accordance with the License Agreement | $ 5 | ||
Amount received from Distribution Agreement | $ 39.5 | ||
Maximum cost of experiment with Glassia | 10 | ||
Revenue received | 4.2 | ||
Distribution Agreement [Member] | |||
Disclosure of contingent liabilities [line items] | |||
Amount received from Distribution Agreement | 9 | ||
Total expected proceeds from agreement | $ 60 | ||
Revenue received | $ 9 | ||
Operating lease agreements [Member] | |||
Disclosure of contingent liabilities [line items] | |||
Agreements expiration date | 2,026 | ||
Vehicles [Member] | |||
Disclosure of contingent liabilities [line items] | |||
Agreements expiration date | 2018-2020 | ||
Patents [Member] | |||
Disclosure of contingent liabilities [line items] | |||
Agreements expiration date | 15 years |
CONTINGENT LIABILITIES AND CO90
CONTINGENT LIABILITIES AND COMMITMENTS (Schedule of Minimum Future Lease Fees for Office and Storage Spaces) (Details) - Building [Member] $ in Thousands | Dec. 31, 2017USD ($) |
Disclosure of finance lease and operating lease by lessee [line items] | |
Minimum future lease fees for the office and storage spaces | $ 5,610 |
Year 1 [Member] | |
Disclosure of finance lease and operating lease by lessee [line items] | |
Minimum future lease fees for the office and storage spaces | 590 |
Year 2 to 5 [Member] | |
Disclosure of finance lease and operating lease by lessee [line items] | |
Minimum future lease fees for the office and storage spaces | 2,479 |
Year 6 and thereafter [Member] | |
Disclosure of finance lease and operating lease by lessee [line items] | |
Minimum future lease fees for the office and storage spaces | $ 2,541 |
CONTINGENT LIABILITIES AND CO91
CONTINGENT LIABILITIES AND COMMITMENTS (Schedule of Minimum Future Lease Fees for Existing Vehicles) (Details) - Vehicles [Member] $ in Thousands | Dec. 31, 2017USD ($) |
Disclosure of finance lease and operating lease by lessee [line items] | |
Minimum future lease fees for the existing vehicles | $ 822 |
Year 1 [Member] | |
Disclosure of finance lease and operating lease by lessee [line items] | |
Minimum future lease fees for the existing vehicles | 443 |
Year 2 [Member] | |
Disclosure of finance lease and operating lease by lessee [line items] | |
Minimum future lease fees for the existing vehicles | 284 |
Year 3 [Member] | |
Disclosure of finance lease and operating lease by lessee [line items] | |
Minimum future lease fees for the existing vehicles | $ 95 |
GUARANTEES AND CHARGES (Details
GUARANTEES AND CHARGES (Details) - Dec. 31, 2017 ₪ in Thousands, $ in Thousands | USD ($) | ILS (₪) |
Disclosure of contingent liabilities [line items] | ||
Value of loans for which collateral has been pledged | ₪ | ₪ 8,355 | |
Contingent liability for guarantees [member] | ||
Disclosure of contingent liabilities [line items] | ||
Contingent liability | $ | $ 246 |
EQUITY (Narrative) (Details)
EQUITY (Narrative) (Details) $ / shares in Units, $ in Thousands | Aug. 02, 2017$ / sharesshares | Dec. 31, 2017USD ($)shares | Dec. 31, 2016USD ($)shares | Dec. 31, 2015USD ($)shares | Dec. 31, 2017₪ / shares | Dec. 31, 2016₪ / shares |
Disclosure of classes of share capital [abstract] | ||||||
Share options, exercised | 10,659 | 8,398 | 430,178 | |||
Ordinary shares issued from share options exercised | 1,988 | 1,101 | ||||
Ordinary shares par value | ₪ / shares | ₪ 1 | ₪ 1 | ||||
Proceeds from share options exercised | $ | $ 3 | |||||
Shares issued | 3,333,334 | |||||
Sahre price | $ / shares | $ 4.50 | |||||
Additional shares issued | 500,000 | |||||
Proceeds from issuance of ordinary shares, net | $ | $ 15,568 |
EQUITY (Schedule of Share Capit
EQUITY (Schedule of Share Capital) (Details) - ₪ / shares | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of classes of share capital [abstract] | ||
Ordinary shares of NIS 1 par value, Authorized | 70,000,000 | 70,000,000 |
Ordinary shares of NIS 1 par value, Outstanding | 40,262,819 | 36,419,842 |
Ordinary shares par value | ₪ 1 | ₪ 1 |
SHARE-BASED PAYMENT (Narrative)
SHARE-BASED PAYMENT (Narrative) (Details) | 1 Months Ended | 12 Months Ended | ||||||||||||||
Nov. 30, 2017USD ($)shares | Sep. 30, 2016 | Aug. 30, 2016USD ($)shares | Jun. 30, 2015USD ($)shares | Apr. 27, 2015USD ($)shares | Dec. 31, 2017USD ($)shares | Dec. 31, 2016USD ($)shares | Dec. 31, 2015USD ($)shares | Dec. 31, 2017ILS (₪)shares | Nov. 30, 2017ILS (₪) | Dec. 31, 2016ILS (₪)shares | Aug. 30, 2016ILS (₪) | Dec. 31, 2015ILS (₪)shares | Jun. 30, 2015ILS (₪)shares | Apr. 27, 2015ILS (₪)shares | Dec. 31, 2014ILS (₪) | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||
Option granted | 458,950 | 401,275 | 504,075 | |||||||||||||
Exercisable shares | 1,755,253 | 1,543,358 | 1,182,417 | 1,755,253 | 1,543,358 | 1,182,417 | ||||||||||
Exercise price of options | ₪ | ₪ 32.47 | ₪ 35.2 | ₪ 38.96 | ₪ 37.98 | ||||||||||||
Dividend yield | ||||||||||||||||
Bottom of range [Member] | ||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||
Exercise price of options | ₪ | 15 | 15 | ||||||||||||||
Expected volatility | 37.00% | 32.00% | 42.00% | |||||||||||||
Risk-free interest rate | 0.10% | 0.13% | 0.07% | |||||||||||||
Expected average forfeiture rate | 1.00% | 0.00% | 0.00% | |||||||||||||
Top of range [Member] | ||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||
Exercise price of options | ₪ | ₪ 57 | ₪ 57 | ||||||||||||||
Expected volatility | 45.00% | 51.00% | 64.00% | |||||||||||||
Risk-free interest rate | 1.83% | 1.83% | 2.04% | |||||||||||||
Expected average forfeiture rate | 5.00% | 5.00% | 5.00% | |||||||||||||
Number of RSs [Member] | ||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||
Option granted | 58,835 | 29,333 | ||||||||||||||
2011 Option Plan [Member] | ||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||
Vesting description of options | Restricted shares ("RS") awards (options and RS) that generally vest during a four-year period following the date of the grant in 13 installments: 25% of the options vest on the first anniversary of the grant date and 6.25% options vest at the end of each quarter thereafter. | |||||||||||||||
Chief Executive Officer [Member] | ||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||
Option granted | 18,000 | 18,000 | 120,000 | |||||||||||||
Exercisable shares | 120,000 | 120,000 | ||||||||||||||
Exercise price of options | ₪ | ₪ 21.99 | ₪ 15.2 | ₪ 18.74 | |||||||||||||
Fair value of options | $ | $ 26,000 | $ 41,000 | $ 176,000 | |||||||||||||
Chief Executive Officer [Member] | Number of RSs [Member] | ||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||
Option granted | 6,000 | 6,000 | ||||||||||||||
Fair value of options | $ | $ 28,000 | $ 30,000 | ||||||||||||||
Employees options [Member] | ||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||
Option granted | 405,950 | 320,775 | 356,075 | |||||||||||||
Fair value of options | $ | $ 597,000 | $ 548,000 | $ 749,000 | |||||||||||||
Employees options [Member] | Number of RSs [Member] | ||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||
Vesting description of options | RSs are exercisable in 13 installments, 25% of the RSs vest on the first anniversary of the grant date and 6.25% vest at the end of each quarter thereafter into ordinary shares. | |||||||||||||||
Option granted | 52,835 | |||||||||||||||
Fair value of options | $ | $ 238,000 | |||||||||||||||
Directors options [Member] | ||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||
Option granted | 35,000 | 50,000 | 25,000 | |||||||||||||
Exercisable shares | 25,000 | 25,000 | ||||||||||||||
Exercise price of options | ₪ | ₪ 21.99 | ₪ 15.2 | ₪ 18.74 | |||||||||||||
Fair value of options | $ | $ 51,000 | $ 114,000 | $ 37,000 | |||||||||||||
Consultants options [Member] | ||||||||||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||||||||||||
Option granted | 3,000 | |||||||||||||||
Exercisable shares | 3,000 | 3,000 | ||||||||||||||
Exercise price of options | ₪ | ₪ 18.74 | |||||||||||||||
Fair value of options | $ | $ 4,000 |
SHARE-BASED PAYMENT (Schedule o
SHARE-BASED PAYMENT (Schedule of Expense Recognized in Financial Statements) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||
Total share-based payment | $ 483 | $ 1,071 | $ 1,907 |
Cost of revenues [Member] | |||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||
Total share-based payment | 179 | 332 | 564 |
Research and development [Member] | |||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||
Total share-based payment | 138 | 134 | 390 |
Selling and marketing [Member] | |||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||
Total share-based payment | 48 | 71 | 98 |
General and administrative [Member] | |||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||
Total share-based payment | $ 118 | $ 534 | $ 855 |
SHARE-BASED PAYMENT (Schedule97
SHARE-BASED PAYMENT (Schedule of Change of Awards) (Details) | 12 Months Ended | ||
Dec. 31, 2017ILS (₪)sharesyr | Dec. 31, 2016ILS (₪)sharesyr | Dec. 31, 2015ILS (₪)sharesyr | |
Number of Options | |||
Outstanding at beginning of year | shares | 2,487,236 | 2,281,493 | 2,396,891 |
Granted | shares | 458,950 | 401,275 | 504,075 |
Exercised | shares | (10,659) | (8,398) | (430,178) |
Forfeited | shares | (363,155) | (187,134) | (189,295) |
Outstanding at end of year | shares | 2,572,372 | 2,487,236 | 2,281,493 |
Exercisable at end of year | shares | 1,755,253 | 1,543,358 | 1,182,417 |
Weighted Average Exercise Price | |||
Outstanding at beginning of year | ₪ | ₪ 35.2 | ₪ 38.96 | ₪ 37.98 |
Granted | ₪ | 21.1 | 15.17 | 18.28 |
Exercised | ₪ | 18.19 | 18.47 | 11.18 |
Forfeited | ₪ | 35.7 | 39.22 | 34.94 |
Outstanding at end of year | ₪ | 32.47 | 35.2 | 38.96 |
Exercisable at end of year | ₪ | ₪ 38.69 | ₪ 40.44 | ₪ 40.39 |
The weighted average remaining contractual life for the share options | yr | 3.22 | 3.62 | 4.15 |
SHARE-BASED PAYMENT (Schedule98
SHARE-BASED PAYMENT (Schedule of Number of RSs and Modification in Employee RSs) (Details) | 12 Months Ended | ||
Dec. 31, 2017sharesyr | Dec. 31, 2016sharesyr | Dec. 31, 2015sharesyr | |
Disclosure of classes of share capital [line items] | |||
Outstanding at beginning of year | 2,487,236 | 2,281,493 | 2,396,891 |
Granted | 458,950 | 401,275 | 504,075 |
Forfeited | (363,155) | (187,134) | (189,295) |
Outstanding at end of year | 2,572,372 | 2,487,236 | 2,281,493 |
The weighted average remaining contractual life for the restricted share | yr | 3.22 | 3.62 | 4.15 |
Number of RSs [Member] | |||
Disclosure of classes of share capital [line items] | |||
Outstanding at beginning of year | 27,333 | ||
Granted | 58,835 | 29,333 | |
End of restriction period | (7,656) | ||
Forfeited | (2,000) | (2,000) | |
Outstanding at end of year | 76,512 | 27,333 | |
The weighted average remaining contractual life for the restricted share | yr | 5.92 | 6.20 |
SHARE-BASED PAYMENT (Schedule99
SHARE-BASED PAYMENT (Schedule of Inputs to Binomial Model Used for Fair Value Measurement) (Details) | 12 Months Ended | |||||
Dec. 31, 2017USD ($)yr | Dec. 31, 2017ILS (₪)yr | Dec. 31, 2016USD ($)yr | Dec. 31, 2016ILS (₪)yr | Dec. 31, 2015USD ($)yr | Dec. 31, 2015ILS (₪)yr | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||
Dividend yield (%) | ||||||
Contractual term of up to (years) | yr | 6.5 | 6.5 | 6.5 | 6.5 | 6.5 | 6.5 |
Exercise multiple | $ | $ 2 | $ 2 | $ 2 | |||
Weighted average share prices (NIS) | ₪ 15.17 | ₪ 17.17 | ||||
Bottom of range [Member] | ||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||
Expected volatility of the share prices (%) | 37.00% | 37.00% | 32.00% | 32.00% | 42.00% | 42.00% |
Risk-free interest rate (%) | 0.10% | 0.10% | 0.13% | 0.13% | 0.07% | 0.07% |
Weighted average share prices (NIS) | ₪ 16.05 | |||||
Expected average forfeiture rate (%) | 1.00% | 1.00% | 0.00% | 0.00% | 0.00% | 0.00% |
Top of range [Member] | ||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||||
Expected volatility of the share prices (%) | 45.00% | 45.00% | 51.00% | 51.00% | 64.00% | 64.00% |
Risk-free interest rate (%) | 1.83% | 1.83% | 1.83% | 1.83% | 2.04% | 2.04% |
Weighted average share prices (NIS) | ₪ 16.44 | |||||
Expected average forfeiture rate (%) | 5.00% | 5.00% | 5.00% | 5.00% | 5.00% | 5.00% |
TAXES ON INCOME (Narrative) (De
TAXES ON INCOME (Narrative) (Details) ₪ in Millions, $ in Millions | Jul. 10, 2016USD ($) | Jul. 10, 2016ILS (₪) | Dec. 31, 2016 | Dec. 31, 2017USD ($) | Dec. 31, 2016 | Dec. 31, 2015 |
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||||
Useful life of intangible assets | five years | |||||
Reduced corporate tax | In 2017 from 25% to 24%, and in 2018 from 25% to 23% | 26.5% to 25% | ||||
Agreement settlement amount | $ 1.3 | |||||
Carry forward losses | $ 90.1 | |||||
NIS [Member] | ||||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||||
Agreement settlement amount | ₪ | ₪ 5 | |||||
Law for the Encouragement of Industry (Taxes), 1969 [Member] | ||||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||||
Percentage of income that is generated from industrial enterprise | 90.00% | |||||
Period of right to deduct expenses related to public offerings | Three years | |||||
Law for the Encouragement of Industry (Taxes), 1969 [Member] | patents, know-how and certain other intangible [Member] | ||||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||||
Useful life of intangible assets | Eight years | |||||
Law for the Encouragement of Capital Investments, 1959 [Member] | ||||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||||
Reduced corporate tax | 10% to 25% during the remaining five to eight years | |||||
Tax benefit description | The benefits period is limited to 12 years from completion of the investment or commencement of production ("Year of Operation"), or 14 years from the year in which the certificate of approval was obtained, whichever is earlier. | |||||
Law for the Encouragement of Capital Investments, 1959 [Member] | Development Zone A [Member] | ||||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||||
Tax rate | 24.00% | |||||
Law for the Encouragement of Capital Investments, 1959 [Member] | Development Zone B [Member] | ||||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||||
Tax rate | 10.00% | |||||
Law for the Encouragement of Capital Investments, 1959 [Member] | Alternative Track [Member] | ||||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||||
Reduced corporate tax | 10% to 25% for the following five to eight years | |||||
Tax benefit description | The benefits period is limited to 12 years from the Year of Operation, or 14 years from the year in which the certificate of approval was obtained, whichever is earlier. | |||||
Tax benefits under Amendment 60 [Member] | ||||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||||
Tax rate | 15.00% | |||||
Tax benefit description | The duration of tax benefits is subject to a limitation of the earlier of 7 to 10 years (depending on the extent of foreign investment in the company) from the first year in which the company generated taxable income (at, or after, the Year of Election) , or 12 years from the first day of the Year of Election. | |||||
Dividend distributed during benefits period | Dividend is distributed during the benefits period or within the following 12 years (the limitation does not apply to a Foreign Investors Company, which is a company that more than 25% of its shares owned by non-Israeli residents). | |||||
Preferred Enterprise [Member] | ||||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||||
Tax rate | 16.00% | 16.00% | ||||
Percentage of minimum threshold export | 25.00% | |||||
Preferred Enterprise [Member] | Development Zone A [Member] | ||||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||||
Tax rate | 9.00% | |||||
Preferred Enterprise [Member] | Development Zone A [Member] | Bottom of range [Member] | ||||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||||
Tax rate | 7.50% | |||||
Preferred Enterprise [Member] | Development Zone A [Member] | Top of range [Member] | ||||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||||
Tax rate | 9.00% | |||||
2011 Amendment [Member] | ||||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||||
Tax rate | 12.50% | 20.00% | ||||
2011 Amendment [Member] | Development Zone A [Member] | ||||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||||
Tax rate | 7.00% | |||||
Preferred technology enterprise [Member] | ||||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||||
Tax rate | 12.00% | |||||
Preferred technology enterprise [Member] | Development Zone A [Member] | ||||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||||
Tax rate | 7.50% | |||||
Special preferred technology enterprise [Member] | ||||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||||
Tax rate | 6.00% | |||||
Dividends distributed from technology enterprise earnings [Member] | ||||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||||
Tax rate | 4.00% |
TAXES ON INCOME (Schedule of We
TAXES ON INCOME (Schedule of Weighted Combination of Applicable Rates) (Details) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||
Rate of Reduced Tax | In 2017 from 25% to 24%, and in 2018 from 25% to 23% | 26.5% to 25% |
Percent of Foreign Ownership One [Member] | ||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||
Percent of Foreign Ownership | 0-25% | |
Rate of Reduced Tax | 25% | |
Reduced Tax Period | 5 years | |
Tax Exemption Period | 2 years | |
Percent of Foreign Ownership Two [Member] | ||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||
Percent of Foreign Ownership | 25-49% | |
Rate of Reduced Tax | 25% | |
Reduced Tax Period | 8 years | |
Tax Exemption Period | 2 years | |
Percent of Foreign Ownership Three [Member] | ||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||
Percent of Foreign Ownership | 49-74% | |
Rate of Reduced Tax | 20% | |
Reduced Tax Period | 8 years | |
Tax Exemption Period | 2 years | |
Percent of Foreign Ownership Four [Member] | ||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||
Percent of Foreign Ownership | 74-90% | |
Rate of Reduced Tax | 15% | |
Reduced Tax Period | 8 years | |
Tax Exemption Period | 2 years | |
Percent of Foreign Ownership Five [Member] | ||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||
Percent of Foreign Ownership | 90-100% | |
Rate of Reduced Tax | 10% | |
Reduced Tax Period | 8 years | |
Tax Exemption Period | 2 years |
TAXES ON INCOME (Schedule of Cu
TAXES ON INCOME (Schedule of Current Taxes on Income) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of taxes on income [Abstract] | |||
Current taxes | $ 129 | $ 362 | |
Taxes in respect of prior years | 140 | 1,360 | |
Taxes on income | $ 269 | $ 1,722 |
SUPPLEMENTARY INFORMATION TO103
SUPPLEMENTARY INFORMATION TO THE STATEMENTS OF PROFIT AND LOSS (Schedule of Additional Information about Revenues) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of major customers [line items] | |||
Additional information about revenues | $ 102,825 | $ 77,494 | $ 69,906 |
Revenues from major customers each of whom amount to 10% or more, of total revenues [Member] | |||
Disclosure of major customers [line items] | |||
Additional information about revenues | 60,383 | 50,676 | 36,338 |
Customer A - Proprietary products Segment [Member] | |||
Disclosure of major customers [line items] | |||
Additional information about revenues | 60,383 | 40,451 | 26,032 |
Customer B - Proprietary products Segment and Distribution Segment [Member] | |||
Disclosure of major customers [line items] | |||
Additional information about revenues | $ 10,225 | $ 10,306 |
SUPPLEMENTARY INFORMATION TO104
SUPPLEMENTARY INFORMATION TO THE STATEMENTS OF PROFIT AND LOSS (Schedule of Revenues Based of Customers) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of geographical areas [line items] | |||
Revenue | $ 102,825 | $ 77,494 | $ 69,906 |
U.S.A. [Member] | |||
Disclosure of geographical areas [line items] | |||
Revenue | 60,405 | 40,585 | 26,559 |
Israel [Member] | |||
Disclosure of geographical areas [line items] | |||
Revenue | 26,355 | 25,340 | 30,624 |
Europe [Member] | |||
Disclosure of geographical areas [line items] | |||
Revenue | 5,348 | 3,825 | 3,223 |
Latin America [Member] | |||
Disclosure of geographical areas [line items] | |||
Revenue | 5,248 | 4,221 | 6,036 |
Asia [Member] | |||
Disclosure of geographical areas [line items] | |||
Revenue | 4,979 | 3,028 | 2,900 |
Others [Member] | |||
Disclosure of geographical areas [line items] | |||
Revenue | $ 490 | $ 495 | $ 564 |
SUPPLEMENTARY INFORMATION TO105
SUPPLEMENTARY INFORMATION TO THE STATEMENTS OF PROFIT AND LOSS (Schedule of Income and Expenses) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Cost of goods sold | |||
Cost of materials | $ 41,179 | $ 36,154 | $ 38,848 |
Salary and related expenses | 13,137 | 10,596 | 9,991 |
Depreciation and amortization | 2,504 | 2,443 | 2,383 |
Energy | 1,202 | 959 | 922 |
Subcontractors | 3,995 | 2,833 | 2,112 |
Other manufacturing expenses | 1,572 | 1,057 | 1,220 |
Total expenses | 63,589 | 54,042 | 55,476 |
Decrease (increase) in inventories | 7,148 | 2,092 | (935) |
Total cost of revenues | 70,737 | 56,134 | 54,541 |
Research and development | |||
Salary and related expenses | 6,413 | 5,237 | 4,566 |
Subcontractors | 3,392 | 8,318 | 8,002 |
Materials and allocation of facility costs | 1,101 | 1,907 | 3,386 |
Others | 1,067 | 783 | 576 |
Research and development expenses | 11,973 | 16,245 | 16,530 |
Selling and marketing | |||
Salary and related expenses | 1,470 | 1,272 | 1,227 |
Marketing support | 95 | 79 | 368 |
Packing, shipping and delivery | 607 | 494 | 454 |
Marketing and advertising | 627 | 337 | 560 |
Registration and marketing fees | 1,162 | 796 | 794 |
Others | 437 | 265 | 249 |
Selling and marketing expenses | 4,398 | 3,243 | 3,652 |
General and administrative | |||
Salary and related expenses | 3,138 | 3,029 | 2,604 |
Employees welfare | 2,182 | 1,465 | 1,391 |
Professional fees | 1,497 | 1,378 | 1,482 |
Depreciation, amortization and impairment | 649 | 712 | 524 |
Others | 807 | 769 | 606 |
General and administrative expenses | 8,273 | 7,353 | 6,607 |
Financial incomes | |||
Interest income and gains from marketable securities | 500 | 469 | 463 |
Financial expenses | |||
Interest and amortization from debentures | 731 | ||
Fees and interest paid to financial institutions | 162 | 126 | 111 |
Others | 92 | ||
Financial expense | $ 162 | $ 126 | $ 934 |
INCOME (LOSS) PER SHARE (Schedu
INCOME (LOSS) PER SHARE (Schedule of Details of Number of Shares and Income (Loss)) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income (loss) per share attributable to equity holders of the Company: | |||
Weighted Number of Shares For the computation of basic income (loss) | 37,970,697 | 36,418,833 | 36,245,813 |
Weighted Number of Shares Effect of potential dilutive ordinary shares | 74,400 | ||
Weighted Number of Shares For the computation of diluted income (loss) | 38,045,097 | 36,418,833 | 36,245,813 |
Loss Attributed to equity holders of the Company For the computation of basic income (loss) | $ 6,901 | $ (6,733) | $ (11,270) |
Loss Attributed to equity holders of the Company Effect of potential dilutive ordinary shares | |||
Loss Attributed to equity holders of the Company For the computation of diluted income (loss) | $ 6,901 | $ (6,733) | $ (11,270) |
OPERATING SEGMENTS (Schedule of
OPERATING SEGMENTS (Schedule of Reporting on Operating Segments) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of operating segments [line items] | |||
Revenues | $ 102,825 | $ 77,494 | $ 69,906 |
Gross profit | 32,088 | 21,360 | 15,365 |
Unallocated corporate expenses | (24,644) | (26,841) | (26,789) |
Finance income, net | (274) | 470 | 154 |
Income before taxes on income | 7,170 | (5,011) | (11,270) |
Proprietary Products [Member] | |||
Disclosure of operating segments [line items] | |||
Revenues | 79,559 | 55,958 | 42,952 |
Gross profit | 28,224 | 18,235 | 12,051 |
Distribution [Member] | |||
Disclosure of operating segments [line items] | |||
Revenues | 23,266 | 21,536 | 26,954 |
Gross profit | $ 3,864 | $ 3,125 | $ 3,314 |
BALANCES AND TRANSACTIONS WI108
BALANCES AND TRANSACTIONS WITH RELATED PARTIES (Narrative) (Details) | 1 Months Ended | 12 Months Ended | |||||
Aug. 30, 2016USD ($) | Aug. 30, 2016ILS (₪) | Jun. 30, 2015USD ($) | Jun. 30, 2015ILS (₪) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | |
Disclosure of transactions between related parties [line items] | |||||||
Allowance for doubtful accounts for sums receivable from related parties | |||||||
Chief Executive Officer [Member] | |||||||
Disclosure of transactions between related parties [line items] | |||||||
Monthly gross salary | $ 18,430 | ||||||
Chief Executive Officer [Member] | |||||||
Disclosure of transactions between related parties [line items] | |||||||
Monthly gross salary | $ 16,658 | ||||||
Annual bonus | $ 127,000 | ||||||
Chief Executive Officer [Member] | NIS [Member] | |||||||
Disclosure of transactions between related parties [line items] | |||||||
Monthly gross salary | ₪ | ₪ 71,500 | ₪ 65,000 |
BALANCES AND TRANSACTIONS WI109
BALANCES AND TRANSACTIONS WITH RELATED PARTIES (Schedule of Balances with Related Parties) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of transactions between related parties [abstract] | ||
Other accounts payables | $ 292 | $ 230 |
Employee benefit liabilities, net | 92 | 170 |
Trade receivable | $ 2,382 | $ 675 |
BALANCES AND TRANSACTIONS WI110
BALANCES AND TRANSACTIONS WITH RELATED PARTIES (Schedule of Benefits to Related Parties) (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |
Disclosure of transactions between related parties [abstract] | ||
Salary and related expenses to those employed by the Company or on its behalf | $ 460 | $ 473 |
Salary of directors not employed by the Company or on its behalf | $ 107 | $ 122 |
Related and related parties employed by the Company or on its behalf | 2 | 2 |
Directors not employed by the Company | 2 | 3 |
Number of People to whom the Salary and Benefits Refer | 4 | 5 |
BALANCES AND TRANSACTIONS WI111
BALANCES AND TRANSACTIONS WITH RELATED PARTIES (Schedule of Benefits to Key Executive Personnel) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of transactions between related parties [abstract] | |||
Short-term benefits | $ 2,719 | $ 2,453 | $ 2,144 |
Share-based payment | 310 | 460 | 650 |
Other long-term benefits | 6 | 28 | 61 |
Benefits to key executive personnel | $ 3,035 | $ 2,941 | $ 2,855 |
BALANCES AND TRANSACTIONS WI112
BALANCES AND TRANSACTIONS WITH RELATED PARTIES (Schedule of Transactions with Related Parties) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of transactions between related parties [abstract] | |||
Sales | $ 3,455 | $ 2,230 | $ 2,795 |
Selling and marketing expenses | 121 | 101 | 114 |
General and administrative expenses | $ 446 | $ 503 | $ 526 |