Document_and_Entity_Informatio
Document and Entity Information | 12 Months Ended |
Dec. 31, 2013 | |
Document And Entity Information [Abstract] | ' |
Document Type | '20-F |
Amendment Flag | 'false |
Document Period End Date | 31-Dec-13 |
Document Fiscal Year Focus | '2013 |
Document Fiscal Period Focus | 'FY |
Entity Registrant Name | 'Wix.com Ltd. |
Entity Central Index Key | '0001576789 |
Current Fiscal Year End Date | '--12-31 |
Entity Filer Category | 'Non-accelerated Filer |
Entity Common Stock, Shares Outstanding | 37,493,217 |
Entity Voluntary Filers | 'No |
Entity Well-known Seasoned Issuer | 'No |
Entity Current Reporting Status | 'Yes |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
CURRENT ASSETS: | ' | ' |
Cash and cash equivalents | $101,258 | $7,510 |
Restricted deposits | 3,306 | 2,536 |
Trade receivables | 736 | 870 |
Prepaid expenses and other current assets | 4,730 | 2,296 |
Total current assets | 110,030 | 13,212 |
LONG-TERM ASSETS: | ' | ' |
Property and equipment, net | 4,231 | 2,282 |
Prepaid expenses and other long-term assets | 1,094 | 561 |
Total long-term assets | 5,325 | 2,843 |
TOTAL ASSETS | 115,355 | 16,055 |
CURRENT LIABILITIES: | ' | ' |
Trade payables | 4,091 | 1,942 |
Employees and payroll accruals | 5,881 | 2,482 |
Deferred revenues | 35,784 | 18,368 |
Accrued expenses and other current liabilities | 5,903 | 3,218 |
Total current liabilities | 51,659 | 26,010 |
Long-Term Liabilities: | ' | ' |
Long-term deferred revenues | 1,400 | 616 |
TOTAL LIABILITIES | 53,059 | 26,626 |
COMMITMENTS AND CONTINGENCIES | ' | ' |
SHAREHOLDERS' EQUITY (DEFICIENCY): | ' | ' |
Ordinary shares of ILS 0.01 par value - Authorized: 21,055,626 and 500,000,000 shares at December 31, 2012 and 2013, respectively; Issued and outstanding: 6,926,403 and 37,493,217 shares at December 31, 2012 and 2013, respectively; | 60 | 18 |
Preferred shares of ILS 0.01 par value - Authorized: 7,981,458 and 0 shares at December 31, 2012 and 2013, respectively; Issued and outstanding: 7,703,182 and 0 shares at December 31, 2012 and 2013, respectively. | ' | 21 |
Additional paid in capital | 151,011 | 49,182 |
Other comprehensive loss | -263 | ' |
Accumulated deficit | -88,512 | -59,792 |
Total shareholders' equity (deficiency) | 62,296 | -10,571 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY (DEFICIENCY) | $115,355 | $16,055 |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) (ILS) | Dec. 31, 2013 | Dec. 31, 2012 |
CONSOLIDATED BALANCE SHEETS [Abstract] | ' | ' |
Ordinary shares, par value | 0.01 | 0.01 |
Ordinary shares, shares authorized | 500,000,000 | 21,055,626 |
Ordinary shares, shares issued | 37,493,217 | 6,926,403 |
Ordinary shares, shares outstanding | 37,493,217 | 6,926,403 |
Preferred shares, par value | 0.01 | 0.01 |
Preferred shares, shares authorized | 0 | 7,981,458 |
Preferred shares, shares issued | 0 | 7,703,182 |
Preferred shares, shares outstanding | 0 | 7,703,182 |
CONSOLIDATED_STATEMENTS_OF_OPE
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS [Abstract] | ' | ' | ' |
Revenues | $80,473 | $43,676 | $24,600 |
Cost of revenues | 15,257 | 9,233 | 5,290 |
Gross profit | 65,216 | 34,443 | 19,310 |
Operating expenses: | ' | ' | ' |
Research and development | 29,660 | 16,782 | 14,746 |
Selling and marketing | 53,776 | 29,057 | 21,586 |
General and administrative | 8,307 | 3,565 | 5,338 |
Total operating expenses | 91,743 | 49,404 | 41,670 |
Operating loss | -26,527 | -14,961 | -22,360 |
Financial income (expenses), net | -603 | 487 | -41 |
Other expenses | 18 | 2 | 127 |
Loss before taxes on income | -27,148 | -14,476 | -22,528 |
Taxes on income | 1,572 | 496 | 212 |
Net loss | -28,720 | -14,972 | -22,740 |
Basic and diluted net loss per ordinary share | ($3.33) | ($2.71) | ($8.31) |
Other comprehensive loss | ' | ' | ' |
Foreign currency translation differences | -296 | ' | ' |
Unrealized gains on foreign currency cash flow hedge | 33 | ' | ' |
Other comprehensive loss for the period | -263 | ' | ' |
Total comprehensive loss | ($28,983) | ($14,972) | ($22,740) |
CONSOLIDATED_STATEMENTS_OF_CHA
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (DEFICIENCY) (USD $) | Total | Ordinary shares [Member] | Preferred shares [Member] | Additional Paid-In Capital [Member] | Other Comprehensive Loss [Member] | Accumulated Deficit [Member] |
In Thousands, except Share data | ||||||
Balance at Dec. 31, 2010 | ($16) | $15 | $18 | $22,031 | ' | ($22,080) |
Balance, shares at Dec. 31, 2010 | ' | 5,941,269 | 6,677,955 | ' | ' | ' |
Issuance of Preferred E shares, net | 20,855 | ' | 3 | 20,852 | ' | ' |
Issuance of Preferred E shares, net, shares | ' | ' | 1,025,227 | ' | ' | ' |
Exercise of options | 170 | 2 | ' | 168 | ' | ' |
Exercise of options, shares | ' | 776,877 | ' | ' | ' | ' |
Tax benefit related to exercise of share options | 84 | ' | ' | 84 | ' | ' |
Share-based compensation expenses related to options granted to employees and non-employees consultants | 675 | ' | ' | 675 | ' | ' |
Share-based compensation expenses related to shares purchased by related party | 4,058 | ' | ' | 4,058 | ' | ' |
Other comprehensive loss | ' | ' | ' | ' | ' | ' |
Net loss | -22,740 | ' | ' | ' | ' | -22,740 |
Balance at Dec. 31, 2011 | 3,086 | 17 | 21 | 47,868 | ' | -44,820 |
Balance, shares at Dec. 31, 2011 | ' | 6,718,146 | 7,703,182 | ' | ' | ' |
Exercise of options | 61 | 1 | ' | 60 | ' | ' |
Exercise of options, shares | ' | 208,257 | ' | ' | ' | ' |
Tax benefit related to exercise of share options | 234 | ' | ' | 234 | ' | ' |
Share-based compensation expenses related to options granted to employees and non-employees consultants | 1,020 | ' | ' | 1,020 | ' | ' |
Other comprehensive loss | ' | ' | ' | ' | ' | ' |
Net loss | -14,972 | ' | ' | ' | ' | -14,972 |
Balance at Dec. 31, 2012 | -10,571 | 18 | 21 | 49,182 | ' | -59,792 |
Balance, shares at Dec. 31, 2012 | ' | 6,926,403 | 7,703,182 | ' | ' | ' |
Conversion of Preferred Shares | ' | 21 | -21 | ' | ' | ' |
Conversion of Preferred Shares, shares | ' | 23,109,546 | -7,703,182 | ' | ' | ' |
Issuance of Ordinary Shares in IPO, net | 93,564 | 18 | ' | 93,546 | ' | ' |
Issuance of Ordinary Shares in IPO, net, shares | ' | 6,325,786 | ' | ' | ' | ' |
Exercise of options | 519 | 3 | ' | 516 | ' | ' |
Exercise of options, shares | ' | 1,131,482 | ' | ' | ' | ' |
Tax benefit related to exercise of share options | 440 | ' | ' | 440 | ' | ' |
Share-based compensation expenses related to options granted to employees and non-employees consultants | 7,054 | ' | ' | 7,054 | ' | ' |
Compensation expenses related to warrants granted in connection with credit line | 273 | ' | ' | 273 | ' | ' |
Other comprehensive loss | -263 | ' | ' | ' | -263 | ' |
Net loss | -28,720 | ' | ' | ' | ' | -28,270 |
Balance at Dec. 31, 2013 | $62,296 | $60 | ' | $151,011 | ($263) | ($88,512) |
Balance, shares at Dec. 31, 2013 | ' | 37,493,217 | ' | ' | ' | ' |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Cash flows from operating activities: | ' | ' | ' |
Net loss | ($28,720) | ($14,972) | ($22,740) |
Adjustments to reconcile net loss to net cash provided by (used in) operating activities: | ' | ' | ' |
Depreciation | 1,229 | 871 | 592 |
Share based compensation expenses | 7,054 | 1,020 | 4,733 |
Tax benefit related to exercise of share options | 440 | 234 | 84 |
Share-based compensation expenses related to warrants granted in connection with credit line | 273 | ' | ' |
Deferred income taxes, net | -16 | -71 | -14 |
Decrease (increase) in trade receivables | 125 | -580 | -181 |
Increase in prepaid expenses and other current and long-term assets | -2,849 | -1,266 | -995 |
Increase in trade payables | 1,894 | 964 | 811 |
Increase in employees and payroll accruals | 3,401 | 567 | 616 |
Increase in short term and long term deferred revenues | 18,751 | 8,803 | 5,048 |
Increase in accrued expenses and other current liabilities | 2,643 | 820 | 1,320 |
Other, net | 18 | 2 | 127 |
Net cash provided by (used in) operating activities | 4,243 | -3,608 | -10,599 |
Cash flows from investing activities: | ' | ' | ' |
Proceeds from restricted deposits | 250 | 1,714 | 531 |
Investment in restricted deposits | -1,020 | -86 | -3,337 |
Purchase of property and equipment | -3,070 | -947 | -1,754 |
Proceeds from sale property and equipment | ' | 2 | 7 |
Net cash provided by (used in) investing activities | -3,840 | 683 | -4,553 |
Cash flows from financing activities: | ' | ' | ' |
Proceeds from issuance of Preferred shares, net | ' | ' | 20,855 |
Proceeds from issuance of Ordinary Shares in IPO, net | 93,694 | ' | ' |
Proceeds from exercise of options | 519 | 61 | 170 |
Proceeds from Credit line utilization | 5,000 | ' | ' |
Credit line repayment | -5,000 | ' | ' |
Net cash provided by financing activities | 94,213 | 61 | 21,025 |
Effect of exchange rate on cash and cash equivalents | -868 | ' | ' |
Increase (decrease) in cash and cash equivalents | 93,748 | -2,864 | 5,873 |
Cash and cash equivalents at the beginning of the period | 7,510 | 10,374 | 4,501 |
Cash and cash equivalents at the end of the period | 101,258 | 7,510 | 10,374 |
Supplemental disclosure of cash flow activities: | ' | ' | ' |
Non-cash purchase of property and equipment | 126 | ' | ' |
Accrued issuance costs | 130 | ' | ' |
Cash paid during the year for interest | 262 | ' | ' |
Cash paid during the year for taxes | $751 | $105 | $4 |
GENERAL
GENERAL | 12 Months Ended | ||
Dec. 31, 2013 | |||
GENERAL [Abstract] | ' | ||
GENERAL | ' | ||
NOTE 1:- GENERAL | |||
a. | Wix.com Ltd. (formerly: Wixpress Ltd.) (the "Company") was incorporated on October 5, 2006, under the laws of the State of Israel, and commenced operations on the same date. | ||
The Company develops and markets an internet service that allows users to create web content. | |||
On January 8, 2008, the Company established a wholly-owned subsidiary in the United States under the name of Wix.Com, Inc. (the "U.S. Subsidiary"), which is engaged primarily in customer support and marketing the Company's service. In November 2011, the Company also established a wholly-owned subsidiary in Brazil under the name Wixpress Brazil Serviços de Internet Ltda. (the "Brazilian Subsidiary"), which is engaged primarily in marketing of the Company's service and provided Company's collection services in Brazil. The Brazilian Subsidiary commenced operations in 2012. In July 2013, the Company established a wholly-owned subsidiary in Lithuania under the name wix.com UAB (the "Lithuanian Subsidiary"), which is engaged in R&D activity. In September 2013, the Company established a wholly-owned subsidiary in Luxemburg under the name wix.com Luxemburg S.a.r.l (the "Luxembourgian Subsidiary"), which is engaged primarily in providing the Company's collection services in Europe. | |||
b. | In November 2013, the Company completed IPO in which the Company issued and sold 5,712,446 Ordinary Shares at a public offering price of $16.50 per share and during December 2013, the underwriters exercised their option to purchase additional 613,340 Ordinary Shares at the same IPO price per share. The total net proceeds received from the IPO were $93,564 after deducting underwriting discounts and commissions of $7,306 and other offering expenses of $3,506. Refer also to Note 8.b. |
SIGNIFICANT_ACCOUNTING_POLICIE
SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
SIGNIFICANT ACCOUNTING POLICIES [Abstract] | ' | ||||||||||||
SIGNIFICANT ACCOUNTING POLICIES | ' | ||||||||||||
NOTE 2:- SIGNIFICANT ACCOUNTING POLICIES | |||||||||||||
The consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles ("U.S. GAAP"). | |||||||||||||
a. | Use of estimates: | ||||||||||||
The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates, judgments and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. The Company evaluates on an ongoing basis its assumptions, including those related to contingencies, income taxes, deferred taxes and liabilities, share-based compensation cost, as well as in estimates used in applying the revenue recognition policy. The Company's management believes that the estimates, judgment and assumptions used are reasonable based upon information available at the time they are made. These estimates, judgments and assumptions can affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the consolidated financial statements, and the reported amounts of revenue and expenses during the reporting periods. Actual results could differ from those estimates. | |||||||||||||
b. | Principles of consolidation: | ||||||||||||
The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. Intercompany transactions and balances, have been eliminated upon consolidation. | |||||||||||||
c. | Financial statements in U.S. dollars: | ||||||||||||
A majority of the Company's revenues are generated in U.S. dollars. In addition, the equity investments were in U.S. dollars and substantial portion of the Company costs are incurred in U.S dollars. The Company's management believes that the U.S. dollar is the currency of the primary economic environment in which the Company operates. Thus, the functional and reporting currency of the Company is the U.S dollar. | |||||||||||||
Accordingly, monetary accounts maintained in currencies other than the U.S. dollar are remeasured into U.S. dollars in accordance with Statement of the Accounting Standard Codification ("ACS") No. 830 "Foreign Currency Matters" ("ASC No. 830"). All transaction gains and losses of the remeasured monetary balance sheet items are reflected in the statement of comprehensive loss as financial income or expenses, as appropriate. | |||||||||||||
The functional currency of the U.S. Subsidiary is the U.S. dollar. | |||||||||||||
The functional currency of the Lithuanian Subsidiary and the Luxembourgian Subsidiary is the U.S. dollar as these subsidiaries' revenues, intercompany transaction, budget and financing are denominated in U.S. dollars. | |||||||||||||
The functional currency of the Brazilian Subsidiary is the Brazilian Real ("BRL"). The Brazilian Subsidiary commenced its operations in 2012. All amounts on the Brazilian Subsidiary's balance sheets have been translated into the U.S. dollar using the exchange rates in effect on the relevant balance sheet dates. All amounts in the Brazilian Subsidiary's statements of operations have been translated into the U.S. dollar using the average exchange rate for the respective period on which those transactions are recorded. The resulting translation adjustments were not reported as a component in comprehensive income (loss) statement as of December 31, 2012, due to immateriality. | |||||||||||||
d. | Cash and cash equivalents: | ||||||||||||
Cash equivalents are short-term highly liquid investments that are readily convertible to cash with original maturities of three months or less, at the date acquired. | |||||||||||||
e. | Restricted deposits: | ||||||||||||
Restricted deposits are deposits with maturities of up to one year. As of December 31, 2012 and 2013 the Company's bank deposits were in U.S. dollars and New Israel Shekels (ILS) and bore interest at weighted average interest rates of 0.38% and 0.22%, respectively. Restricted deposits are presented at their cost, including accrued interest. These deposits are used as security for the rental of premises, for the Company's credit cards, and as a security for the Company's hedging activities. | |||||||||||||
f. | Property and equipment: | ||||||||||||
Property and equipment are stated at cost, net of accumulated depreciation. Depreciation is calculated using the straight-line method over the estimated useful lives of the assets at the following annual rates: | |||||||||||||
% | |||||||||||||
Computers, peripheral equipment and electronic equipment | 15 - 33 | ||||||||||||
Office furniture and equipment | 14-Jun | ||||||||||||
Leasehold improvements | Over the shorter of the related lease period or the life of the asset | ||||||||||||
g. | Long-lived assets: | ||||||||||||
The long-lived assets of the Company and its subsidiaries are reviewed for impairment in accordance with ASC No. 360, "Property, Plant and Equipment" ("ASC No. 360"), whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. The recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to the future undiscounted cash flows expected to be generated by the assets. If such assets are considered to be impaired, the impairment to be recognized is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets. During the years ended 2011, 2012 and 2013, no impairment losses have been identified. | |||||||||||||
h. | Derivatives instruments: | ||||||||||||
ASC No. 815, "Derivative and Hedging", requires companies to recognize all of their derivative instruments as either assets or liabilities in the statement of financial position at fair value. | |||||||||||||
For those derivative instruments that are designated and qualify as hedging instruments, a company must designate the hedging instrument, based upon the exposure being hedged, as a fair value hedge, cash flow hedge or a hedge of a net investment in a foreign operation. | |||||||||||||
Derivative instruments designated as hedging instruments: | |||||||||||||
For derivative instruments that are designated and qualify as a cash flow hedge (i.e., hedging the exposure to variability in expected future cash flows that is attributable to a particular risk), the effective portion of the gain or loss on the derivative instrument is reported as a component of other comprehensive loss and reclassified into earnings in the same period or periods during which the hedged transaction affects earnings. The remaining gain or loss on the derivative instrument in excess of the cumulative change in the present value of future cash flows of the hedged item, if any, is recognized in current earnings during the period of change. For derivative instruments not designated as hedging instruments, the gain or loss is recognized in current earnings during the period of change. | |||||||||||||
To hedge against the risk of overall changes in cash flows resulting from foreign currency salary payments during the year, the Company has instituted a foreign currency cash flow hedging program. The Company hedges portions of its forecasted salary expenses denominated in ILS. These option contracts are designated as cash flow hedges, as defined by ASC 815, and are all effective, based on third party valuation. | |||||||||||||
As of December 31, 2013, the amount recorded in accumulated other comprehensive income from the Company's currency option transactions is $ 33. Such amount will be recorded in the Company's earnings during 2014. At December 31, 2013, the notional amounts of foreign exchange options contracts into which the Company entered were $ 11,997. The foreign exchange forward and options contracts will expire through June 2014. | |||||||||||||
Derivative instruments not designated as hedging instruments: | |||||||||||||
In addition to the derivatives that are designated as hedges as discussed above, the Company enters into certain foreign exchange forward and option transactions to economically hedge a portion of its payments in ILS and certain revenue transactions in Euros and British pounds. Gains and losses related to such derivative instruments are recorded in financial expenses, net. At December 31, 2013, the notional amounts of foreign exchange forward and options contracts into which the Company entered were $ 18,818 and $ 1,400, respectively. The foreign exchange forward and option transactions will expire through November 2014. | |||||||||||||
The fair value of derivative instruments as of December 31, 2012 totaled $ 436, and is presented as part of prepaid expenses and other current assets. The net fair value of derivative instruments balance as of December 31, 2013 totaled $ 314, and is presented on a gross basis as prepaid expenses and other current assets in the amount of $ 160 and as accrued expenses and other current liabilities in the amount of $ 474. | |||||||||||||
In the years ended December 31, 2011, 2012 and 2013, the Company recorded net financial income (expenses) from hedging transactions in the amount of $ (239), $ 485 and $ (102), respectively. | |||||||||||||
i. | Severance pay: | ||||||||||||
The Israeli Severance Pay Law, 1963 ("Severance Pay Law"), specifies that employees are entitled to severance payment, following the termination of their employment. Under the Severance Pay Law, the severance payment is calculated as one month salary for each year of employment, or a portion thereof. | |||||||||||||
The majority of the Company's liability for severance pay is covered by the provisions of Section 14 of the Severance Pay Law ("Section 14"). Under Section 14 employees are entitled to monthly deposits, at a rate of 8.33% of their monthly salary, continued on their behalf to their insurance funds. Payments in accordance with Section 14 release the Company from any future severance payments in respect of those employees. As a result, the Company does not recognize any liability for severance pay due to these employees and the deposits under Section 14 are not recorded as an asset in the Company's balance sheet. | |||||||||||||
For the Company's employees in Israel who are not subject to section 14, the Company calculated the liability for severance pay pursuant to the Severance Pay Law based on the most recent salary of these employees multiplied by the number of years of employment as of the balance sheet date. The Company's liability for these employees is fully provided for via monthly deposits with severance pay funds, insurance policies and an accrual. The value of these deposits is recorded as an asset on the Company's balance sheet. | |||||||||||||
Severance expense for the years ended December 31, 2011, 2012 and 2013, amounted to $ 881, $ 1,117 and $ 1,727, respectively. | |||||||||||||
j. | U.S. employees defined contribution plan: | ||||||||||||
The U.S. Subsidiary has a 401(K) defined contribution plan covering certain employees in the U.S. All eligible employees may elect to contribute up to 100%, but generally not greater than $ 17 per year (for certain employees over 50 years of age the maximum contribution is $ 22 per year), of their annual compensation to the plan through salary deferrals, subject to Internal Revenue Service limits. | |||||||||||||
The U.S. Subsidiary matches 4% of employee contributions up to the plan with no limitation. During the year ended December 31, 2012 and 2013, the U.S. Subsidiary recorded expenses for matching contributions in amounts of $ 41 and $ 71, respectively. No expenses for matching contributions were recorded in 2011. | |||||||||||||
k. | Revenue recognition: | ||||||||||||
The Company provided an online platform that enables users to create websites using Flash and HTML5 technology and generates revenues primarily from services related to such websites. The Company also offers its users the ability to purchase and manage domain name and software apps that can be integrated as add-ons to their websites. | |||||||||||||
The Company recognizes revenues in accordance with ASC No. 605-10-S99, (SEC Staff Accounting Bulletin ("SAB") No. 104, "Revenue Recognition"), when (i) persuasive evidence of an arrangement exists, (ii) delivery has occurred or services have been rendered to the customer, (iii) the fee is fixed or determinable, and (iv) collectability is reasonably assured. | |||||||||||||
Revenues related to services for websites and purchase and registration of domain names are recognized ratably over the term of the service period. Revenues related to software applications, developed by third party app developers are recognized when earned. The Company accounts for such sales on a net basis by recognizing the commission it retains from each sale. The portion of the gross amount billed to customers that is remitted by the Company to third-party app developers is not reflected in the Company's consolidated statements of operations and comprehensive loss. | |||||||||||||
The Company offers a 14-day money back guaranty ("Guaranty Period"). The Company considers such amount collected from new premium subscriptions as customer deposits until the end of the 14-day trial period. Revenues are recognized once the Guaranty Period has expired. | |||||||||||||
Although, in general, the Company does not grant rights of refund, there are certain instances where such refunds occur. Since the Company collects most of its revenues via online credit card billing, a small portion of its users elect to chargeback due to disputes over the credit card statements and/or claims of false transaction, and accordingly ask for refunds. The Company maintains a provision for chargebacks and refunds in accordance with ASC No. 605, "Revenue Recognition", which is estimated, based primarily on historical experience as well as management judgment, and is recorded through a reduction of revenue. | |||||||||||||
Deferred service revenues primarily include unearned amounts received from customers but not recognized as revenues. | |||||||||||||
Part of the Company's revenue transaction includes multiple elements within a single contract if it is determined that multiple units of accounting exist. | |||||||||||||
Commencing January 1, 2011, the Company adopted Accounting Standards Update ("ASU") No. 2009-13, "Multiple-Deliverable Revenue Arrangements, (amendments to ASC Topic 605, Revenue Recognition)" ("ASU No. 2009-13") . ASU No. 2009-13 requires entities to allocate revenue in an arrangement using estimated selling prices of the delivered goods and services based on a selling price hierarchy. The amendments eliminate the residual method of revenue allocation and require revenue to be allocated using the relative selling price method. | |||||||||||||
The primary types of transactions in which the Company engages for which ASU No. 2009-13 is applicable are agreements that include multiple elements which are delivered at different points in time. Such elements may include some or all of the following: | |||||||||||||
- | Services for websites; | ||||||||||||
- | Purchase and registration of domain name; and | ||||||||||||
- Third-party developed application. | |||||||||||||
The Company considers the sale of each of the above stated elements in bundled agreement to be separate unit of accounting for the arrangement and defers the relative selling price of the undelivered element to the period in which revenue is earned. | |||||||||||||
Pursuant to the guidance under ASU No. 2009-13, when a sales arrangement contains multiple elements, the Company allocates revenue to each element based on a selling price hierarchy. The selling price for a deliverable is based on its VSOE if available, third-party evidence ("TPE") if VSOE is not available, or estimated selling price ("ESP") if neither VSOE nor TPE is available. VSOE of selling price is based on the price charged when the element is sold separately. In determining VSOE, it is required that a substantial majority of the selling prices fall within a reasonable range based on historical discounting trends for specific services. TPE of selling price is established by evaluating largely interchangeable competitor services in stand-alone sales to similarly situated customers. | |||||||||||||
Website services are sold separately and therefore the selling price is based on VSOE. Domain name registrations were sold separately in 2012 and 2013 and therefore the selling price is based on VSOE. Domain name registrations were also sold separately in 2011 and, based on the absolute and relative small number of transactions in 2011, VSOE could not be established and, therefore, the selling price was based on TPE. The change in 2012 from TPE to VSOE was considered a change in accounting estimate in accordance with ASC 250-50-4, "Accounting Change and Error Corrections", which did not affect the Company`s income or related per-share amounts. | |||||||||||||
l. | Research and development costs: | ||||||||||||
Research and development costs are charged to the statements of operations and comprehensive loss as incurred. ASC 985-20, "Software- Costs of Software to Be Sold, Leased, or Marketed", requires capitalization of certain software development costs subsequent to the establishment of technological feasibility. | |||||||||||||
Based on the Company's product development process, technological feasibility is established upon completion of a working model. Costs incurred by the Company between completion of the working models and the point at which the products are ready for general release, have been insignificant. Therefore, all research and development costs are expensed as incurred. | |||||||||||||
m. | Advertising expenses: | ||||||||||||
Advertising expenses consist primarily of cost-per click expenses, social networking expenses, marketing campaigns and display advertisements. Advertising expenses are charged to the statement of operations and comprehensive loss, as incurred. Advertising expenses for the years ended December 31, 2011, 2012 and 2013 amounted to $ 15,914, $ 21,473 and $ 40,994, respectively. | |||||||||||||
n. | Share-based compensation: | ||||||||||||
The Company accounts for share-based compensation in accordance with ASC 718, "Compensation - Stock Compensation" ("ASC No. 718"). ASC No. 718 requires companies to estimate the fair value of equity-based payment awards on the date of grant using an option-pricing model. The value of the portion of the award that is ultimately expected to vest is recognized as an expense over the requisite service periods in the Company's consolidated statements of operations and comprehensive loss. | |||||||||||||
The Company recognizes compensation expenses for the value of its awards granted based on the straight line method over the requisite service period of each of the awards, net of estimated forfeitures. ASC No. 718 requires forfeitures to be estimated at the time of grant and revised, if necessary, in subsequent periods if actual forfeitures differ from those estimates. | |||||||||||||
The Company selected the Black-Scholes option-pricing model as the most appropriate fair value method for its option awards. The option-pricing model requires a number of assumptions, of which the most significant are the expected share price, volatility and the expected option term. | |||||||||||||
The fair value of ordinary share underlying the options has historically been determined by management and approved by the Company's board of directors. Because there has been no public market for the Company's ordinary shares, the management has determined fair value of an ordinary share at the time of grant of the option by considering a number of objective and subjective factors including financing investment rounds, operating and financial performance, the lack of liquidity of share capital and general and industry specific economic outlook, amongst other factors. The fair value of the underlying ordinary shares will be determined by the management until such time as the Company's ordinary shares are listed on an established stock exchange. The Company's management determined the fair value of ordinary shares based on valuations performed using the Option Pricing Method ("OPM") for the years ended December 31, 2011 and 2012 and for the period from January 1, 2013 and up to November 6, 2013. From November 6, 2013 the ordinary shares is publicly traded. | |||||||||||||
The Company applies ASC No. 718 and ASC No. 505-50 "Equity Based Payments to Non-Employees" ("ASC No. 505-50") with respect to options and warrants issued to non-employees consultants. ASC No. 718 requires the use of option valuation models to measure the fair value of the options and warrants at the date of grant. | |||||||||||||
o. | Income taxes: | ||||||||||||
The Company accounts for income taxes in accordance with ASC No. 740, "Income Taxes". This codification prescribes the use of the asset and liability method whereby deferred tax asset and liability account balances are determined based on differences between financial reporting and tax bases of assets and liabilities and for carry-forward tax losses. Deferred taxes are measured using the enacted tax rates and laws that will be in effect when the differences are expected to reverse. The Company provides a valuation allowance, if necessary, to reduce deferred tax assets to their estimated realizable value if it is more likely than not that some portion or all of the deferred tax asset will not be realized. | |||||||||||||
Deferred tax liabilities and assets are classified as current or non-current based on the classification of the related asset or liability for financial reporting, or according to the expected reversal dates of the specific temporary differences, if not related to an asset or liability for financial reporting. | |||||||||||||
The Company accounts for uncertain tax positions in accordance with the provisions of ASC 740, "Income Taxes". Accounting guidance addresses the determination of whether tax benefits claimed or expected to be claimed on a tax return should be recorded in the consolidated financial statements, under which a company may recognize the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. | |||||||||||||
The tax benefits recognized in the consolidated financial statements from such a position should be measured based on the largest benefit that has a greater than fifty percent likelihood of being realized upon ultimate settlement. Accordingly, the Company reports a liability for unrecognized tax benefits resulting from uncertain tax positions taken or expected to be taken in a tax return. The Company recognizes interest and penalties, if any, related to unrecognized tax benefits in tax expense. The Company did not record a provision due to immateriality. | |||||||||||||
p. | Basic and diluted net loss per share: | ||||||||||||
The Company applies the two class method as required by ASC No. 260-10, "Earnings Per Share" ("ASC No. 260-10"). ASC 260-10 requires the income or loss per share for each class of shares (ordinary and preferred shares) to be calculated assuming 100% of the Company's earnings are distributed as dividends to each class of shares based on their contractual rights. No dividends were declared or paid during the reported periods. | |||||||||||||
According to the provisions of ASC No. 260-10, the Company's preferred shares are not participating securities in losses and, therefore, are not included in the computation of net loss per share. | |||||||||||||
Basic and diluted net loss per share is computed based on the weighted-average number of shares of ordinary shares outstanding during each year. Diluted loss per share is computed based on the weighted average number of ordinary shares outstanding during the period, plus dilutive potential shares considered outstanding during the period, in accordance with ASC 260-10. Basic and diluted net loss per share of ordinary shares was the same for each period presented as the inclusion of all potential ordinary shares outstanding was anti-dilutive. | |||||||||||||
For the years ended December 31, 2011, 2012 and 2013, all outstanding preferred shares, options and warrants have been excluded from the calculation of the diluted net loss per share since their effect was anti-dilutive and the total preferred shares and options that have been excluded from the calculations was 13,758,838, 14,085,718 and 14,913,523, respectively. | |||||||||||||
q. | Comprehensive income (loss): | ||||||||||||
The Company accounts for comprehensive income (loss) in accordance with Accounting Standards Codification No. 220, "Comprehensive Income"("ASC No. 220"). This statement establishes standards for the reporting and display of comprehensive income (loss) and its components in a full set of general purpose financial statements. Comprehensive income (loss) generally represents all changes in shareholders' equity during the period except those resulting from investments by, or distributions to shareholders. | |||||||||||||
The Company has determined that its items of comprehensive loss relate to loss on unrealized gain from foreign currency translation adjustments offset by income on hedging derivatives instruments. | |||||||||||||
The total accumulated other comprehensive loss, net was comprised as follows: | |||||||||||||
Year ended December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
Accumulated foreign currency translation differences | $ | - | $ | - | $ | (296 | ) | ||||||
Accumulated income on derivative | - | - | 33 | ||||||||||
Total accumulated other comprehensive loss, net | $ | - | $ | - | $ | (263 | ) | ||||||
For the year ended December 31, 2012, the Company determined that its items of comprehensive income (loss) relate to functional currency translation of the Brazilian Subsidiary, the resulting translation adjustments were not reported as a component of other comprehensive loss in shareholders' equity (deficiency), due to immateriality. | |||||||||||||
r. | Concentration of credit risks: | ||||||||||||
Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash and cash equivalents and restricted deposits. | |||||||||||||
The majority of the Company's and its subsidiaries' cash and cash equivalents and restricted deposits are invested with major bank in Israel, Brazil and the United States. Such investments in the United States may be in excess of insured limits and are not insured in other jurisdictions. Generally, these investments may be redeemed upon demand and, therefore, bear minimal risk. | |||||||||||||
s. | Fair value of financial instruments: | ||||||||||||
The estimated fair value of financial instruments has been determined by the Company using available market information and valuation methodologies. Considerable judgment is required in estimating fair values. Accordingly, the estimates may not be indicative of the amounts the Company could realize in a current market exchange. | |||||||||||||
The following methods and assumptions were used by the Company in estimating the fair value of their financial instruments: | |||||||||||||
The carrying values of cash and cash equivalents, restricted deposits, trade receivables, prepaid expenses and other current assets, trade payables, employees and payroll accruals and accrued expenses and other current liabilities approximate fair values due to the short-term maturities of these instruments. | |||||||||||||
The Company applies ASC No. 820, "Fair Value Measurements and Disclosures" ("ASC No. 820"), with respect to fair value measurements of all financial assets and liabilities. | |||||||||||||
The fair value of foreign currency contracts (used for hedging purposes) is estimated by obtaining current quotes from banks and third party valuations. | |||||||||||||
Fair value is an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or a liability. A three-tier fair value hierarchy is established as a basis for considering such assumptions and for inputs used in the valuation methodologies in measuring fair value: | |||||||||||||
Level 1 - | Observable inputs that reflect quoted prices (unadjusted) for identical assets or liabilities in active markets. | ||||||||||||
Level 2 - | Include other inputs that are directly or indirectly observable in the marketplace. | ||||||||||||
Level 3 - | Unobservable inputs which are supported by little or no market activity. The fair value hierarchy also requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. | ||||||||||||
The fair value hierarchy also requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. | |||||||||||||
In accordance with ASC 820, the Company measures its foreign currency derivative contracts, at fair value using the market approach valuation technique. Foreign currency derivative contracts as detailed in note 2.h are classified within Level 2 value hierarchy, as the valuation inputs are based on quoted prices and market observable data of similar instruments. |
PREPAID_EXPENSES_AND_OTHER_CUR
PREPAID EXPENSES AND OTHER CURRENT ASSETS | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
PREPAID EXPENSES AND OTHER CURRENT ASSETS [Abstract] | ' | ||||||||
PREPAID EXPENSES AND OTHER CURRENT ASSETS | ' | ||||||||
NOTE 3:- PREPAID EXPENSES AND OTHER CURRENT ASSETS | |||||||||
December 31, | |||||||||
2012 | 2013 | ||||||||
Government authorities | $ | 207 | $ | 600 | |||||
Hedging transaction asset | 436 | 160 | |||||||
Prepaid expenses | 1,502 | 3,644 | |||||||
Other current assets | 151 | 326 | |||||||
$ | 2,296 | $ | 4,730 |
PROPERTY_AND_EQUIPMENT
PROPERTY AND EQUIPMENT | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
PROPERTY AND EQUIPMENT [Abstract] | ' | ||||||||
PROPERTY AND EQUIPMENT | ' | ||||||||
NOTE 4:- PROPERTY AND EQUIPMENT | |||||||||
The composition of property and equipment is as follows: | |||||||||
December 31, | |||||||||
2012 | 2013 | ||||||||
Cost: | |||||||||
Leasehold improvements | $ | 2,219 | $ | 4,230 | |||||
Computers, peripheral equipment and electronic equipment | 1,424 | 2,245 | |||||||
Office furniture and equipment | 264 | 482 | |||||||
3,907 | 6,957 | ||||||||
Less accumulated depreciation | 1,625 | 2,726 | |||||||
Depreciated cost | $ | 2,282 | $ | 4,231 | |||||
Depreciation expense amounted to $ 592, $ 871 and $ 1,229 for the years ended December 31, 2011, 2012 and 2013, respectively. | |||||||||
During 2011, the Company moved to new offices. As a result the Company abandoned its former offices and recognized a capital loss of $ 127 due to the disposal of leasehold improvements. |
ACCRUED_EXPENSES_AND_OTHER_CUR
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES [Abstract] | ' | ||||||||
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | ' | ||||||||
NOTE 5:- ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | |||||||||
December 31, | |||||||||
2012 | 2013 | ||||||||
Accrued expenses | $ | 3,162 | $ | 5,303 | |||||
Hedging transaction liability | - | 474 | |||||||
Deferred tax liability | 56 | 126 | |||||||
$ | 3,218 | $ | 5,903 |
CREDIT_LINE_UNAUDITED
CREDIT LINE (UNAUDITED) | 12 Months Ended |
Dec. 31, 2013 | |
CREDIT LINE [Abstract] | ' |
CREDIT LINE | ' |
NOTE 6:- CREDIT LINE | |
On June 24, 2013, the Company entered into a credit line agreement with Silicon Valley Bank (the "Lender") pursuant to which the Lender agreed to make a $ 10,000 line of credit available to the Company until December 31, 2014 (the "Credit Line"). | |
The Credit Line bears U.S. dollar denominated interest at annual equals to the prime rate as quoted in the Wall Street Journal print edition ("Prime Rate") plus 2.25% over the utilized amount of the Credit Line and 0.4% over the unutilized portion of the Credit Line. The Credit Line also includes certain affirmative and negative covenants as further described in the Credit Line agreement. | |
In July 2013 the Company utilized half of the Credit Line, totaling $ 5,000. As part of the Credit Line agreement, the Company issued to the Lender 9,766 warrants to purchase Series E Preferred shares of the Company at an exercise price of $ 20.48 per share. The warrants can be exercised for 7 years term. Following the Company's Initial Public Offering ("IPO") process (refer to note 8b), these warrants were converted into 29,298 warrants of Ordinary shares with an exercise price of $ 6.83. | |
In connection with the issuance of the warrants, the Company recorded $ 273 compensation expenses, which were recorded as financial expenses in the Company's consolidated statement of operations and comprehensive loss. This transaction was accounted for in accordance with ASC 470-20 "Debt with Conversion and Other Options". | |
In November 2013 the Company repaid the utilized Credit Line in the amount of $ 5,000. |
COMMITMENTS_AND_CONTINGENT_LIA
COMMITMENTS AND CONTINGENT LIABILITIES | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
COMMITMENTS AND CONTINGENT LIABILITIES [Abstract] | ' | ||||||||
COMMITMENTS AND CONTINGENT LIABILITIES | ' | ||||||||
NOTE 7:- | COMMITMENTS AND CONTINGENT LIABILITIES | ||||||||
a. | Lease commitments: | ||||||||
The Company and its U.S. Subsidiary rent their facilities under various operating lease agreements, which expire through 2018. In addition the Company leases certain motor vehicles under certain car operating lease agreement which expire through 2017. The minimum rental payments under operating leases as of December 31, 2013, are as follows: | |||||||||
Rental of premises | Lease of | ||||||||
motor vehicles | |||||||||
2014 | $ | 3,881 | $ | 299 | |||||
2015 | 4,043 | 186 | |||||||
2016 | 2,250 | 132 | |||||||
2017 | 2,189 | 7 | |||||||
2018 | 2,069 | - | |||||||
Thereafter | 4,291 | - | |||||||
$ | 18,723 | $ | 624 | ||||||
Total rent expenses for the years ended December 31, 2011, 2012 and 2013 were $ 869, $ 1,376 and $ 2,008, respectively. | |||||||||
Total motor vehicle lease expenses for the years ended December 31, 2011, 2012 and 2013 were $ 185, $ 272 and $ 312, respectively. | |||||||||
b. | Pledges: | ||||||||
The Company obtained bank guarantee in the amount of $ 2,969, in connection with an office lease agreement, credit cards and hedging transactions. | |||||||||
c. | Legal contingencies: | ||||||||
The Company is currently not involved in any claims and legal proceedings. The Company reviews the status of each matter and assesses its potential financial exposure. If the potential loss from any claim or legal proceeding is considered probable and the amount can be reasonably estimated, the Company accrues a liability for the estimated loss. These accruals are reviewed at least quarterly and adjusted to reflect the impact of negotiations, settlements, rulings, advice of legal counsel and other information and events pertaining to a particular matter . | |||||||||
The Company was subject to a patent infringement litigation that was filed against it (and many other entities) on December 7, 2012 by CreateAds LLC. The complaint was filed in the United States District Court for the District of Delaware and alleges infringement of a U.S. Patent. In October 2013, the Company entered into a settlement agreement with CreatAds LLC, pursuant to which the Company agreed to pay CreatAds LLC in return for a full settlement and release of claims. The costs of settlement were immaterial to the Company. |
SHAREHOLDERS_EQUITY
SHAREHOLDERS' EQUITY | 12 Months Ended | ||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||
SHAREHOLDERS' EQUITY [Abstract] | ' | ||||||||||||||||||
SHAREHOLDERS' EQUITY | ' | ||||||||||||||||||
NOTE 8:- | SHAREHOLDERS' EQUITY | ||||||||||||||||||
a. | Composition of shares capital of the Company: | ||||||||||||||||||
31-Dec-12 | 31-Dec-13 | ||||||||||||||||||
Authorized | Issued and outstanding | Authorized | Issued and outstanding | ||||||||||||||||
Number of shares | |||||||||||||||||||
Ordinary shares of ILS 0.01 par value each | 21,055,626 | 6,926,403 | 500,000,000 | 37,493,217 | |||||||||||||||
Preferred A shares | 902,669 | 902,669 | - | - | |||||||||||||||
Preferred B shares | 2,179,935 | 2,179,935 | - | - | |||||||||||||||
Preferred B1 shares | 1,408,550 | 1,408,550 | - | - | |||||||||||||||
Preferred C shares | 913,861 | 913,861 | - | - | |||||||||||||||
Preferred D shares | 1,272,940 | 1,272,940 | - | - | |||||||||||||||
Preferred E shares | 1,303,503 | 1,025,227 | - | - | |||||||||||||||
29,037,084 | 14,629,585 | 500,000,000 | 37,493,217 | ||||||||||||||||
b. | Initial Public Offering | ||||||||||||||||||
In November 2013, the Company completed IPO in which the Company issued and sold 5,712,446 Ordinary Shares at a public offering price of $16.50 per share and the selling shareholders sold 1,987,554 Ordinary Shares. The Company did not receive any proceeds from the sale of Ordinary Shares by the selling shareholders. | |||||||||||||||||||
During the IPO the underwriters received an option to purchase 1,155,000 Ordinary Shares of the company at the price of $16.50 for a period of one month following the IPO date. The total value of the underwriters options based on the Black-Scholes-Merton option pricing model amounted to $1,054 which was included in the additional paid-in capital balance and as IPO offering expenses. | |||||||||||||||||||
During December 2013, the underwriters exercised their option to purchase additional 613,340 Ordinary Shares at the same IPO price per share. | |||||||||||||||||||
The total net proceeds received from the IPO were $93,564 after deducting underwriting discounts and commissions of $7,306 and other offering expenses of $3,506. | |||||||||||||||||||
c. | 1. | Ordinary Shares: | |||||||||||||||||
The ordinary shares of the Company confer on the holders thereof voting rights, rights to receive dividends and rights to participate in distribution of assets upon liquidation after all the preferred shares received their preference amount in full as detailed below. | |||||||||||||||||||
2 | Preferred Shares: | ||||||||||||||||||
Following the Company's IPO, as described in note 8.b, all of the Company Preferred shares were automatically convert into ordinary shares in a conversion ratio of 1-to-3. | |||||||||||||||||||
3 | On October 12, 2013, the Company effected a three-for-one share split by means of a share dividend of two ordinary shares of each ordinary share then outstanding. As a result, the conversion rate of each preferred share, option and warrant was adjusted to reflect such share split. For accounting purposes, this transaction was recorded as a share split and accordingly (unless otherwise noted), all ordinary shares, options, warrants and earnings (losses) per share amounts have been adjusted retroactively for all periods presented in these financial statements. | ||||||||||||||||||
d. | Issuance of shares: | ||||||||||||||||||
In March 2011, the Company entered into a Series E Preferred Share purchase agreement, pursuant to which the Company issued an aggregate amount of 1,025,227 shares of Series E Preferred Shares, for total consideration of $ 20,855, net of issuance expenses in the amount of $ 145. | |||||||||||||||||||
e. | Share based payment: | ||||||||||||||||||
In April 2007, the Company's Board of Directors adopted an Employee Shares Incentive Plan (the "2007 Plan"). Under the 2007 Plan, options may be granted to employees, officers, non-employees consultants and directors of the Company and its Subsidiaries. The 2007 plan was terminated on October 15, 2013, although option awards outstanding as of that date will continue in full force in accordance with the terms under which they were granted. In October 2013, the Company's Board of Directors adopted a new Employee Shares Incentive Plan (the "2013 Plan"). The 2013 Plan provides for the grant of options, restricted shares, RSUs, share appreciation rights, cash-based awards, dividend equivalents and other share-based awards to directors, employees, officers, consultants of the Company and its Subsidiaries. | |||||||||||||||||||
Under the Plans, as of December 31, 2013, an aggregate of 1,025,508 shares were still available for future grant. Each option granted under the Plan expires no later than ten years from the date of grant. The vesting period of the options is generally four years, unless the Board of Directors or the Board's Compensation Committee determines otherwise. Any option which is forfeited or cancelled before expiration becomes available for future grants. | |||||||||||||||||||
The total share-based compensation expense related to all of the Company's equity-based awards, recognized for the years ended December 31, 2011, 2012 and 2013 was comprised as follows: | |||||||||||||||||||
Year ended | |||||||||||||||||||
December 31, | |||||||||||||||||||
2011 | 2012 | 2013 | |||||||||||||||||
Cost of revenues | $ | 40 | $ | 105 | $ | 490 | |||||||||||||
Research and development | 1,939 | 553 | 3,149 | ||||||||||||||||
Sales and marketing | 222 | 101 | 1,185 | ||||||||||||||||
General and administrative | 2,532 | 261 | 2,230 | ||||||||||||||||
Total share-based compensation expense | $ | 4,733 | $ | 1,020 | $ | 7,054 | |||||||||||||
The total equity-based compensation expense related to all of the Company's employees and non-employees consultants recognized for the years ended December 31, 2011, 2012 and 2013, was comprised as follows: | |||||||||||||||||||
Year ended | |||||||||||||||||||
December 31, | |||||||||||||||||||
2011 | 2012 | 2013 | |||||||||||||||||
Employees | $ | 4,692 | $ | 950 | $ | 6,573 | |||||||||||||
Non-employees consultants | 41 | 70 | 481 | ||||||||||||||||
Total share-based compensation expense | $ | 4,733 | $ | 1,020 | $ | 7,054 | |||||||||||||
Total unrecognized compensation cost amounted to $ 50,271 as of December 31, 2013, and is expected to be recognized over a weighted average period of approximately 4.43 years. | |||||||||||||||||||
In March 2011, in parallel to the Series E Preferred financing round of the Company and a small number of additional transactions, the investors purchased Ordinary shares of the Company, at a price per share equal to the price per Preferred Share in the period, from existing shareholders of the Company who are also officers, employees or service providers of the Company. Following such transactions, the Company recorded share-based compensation expense in the amount of $ 4,058 for the years ended December 31, 2011. | |||||||||||||||||||
f. | Options granted to employees: | ||||||||||||||||||
A summary of the activity in options granted to employees for the years ended December 31, 2011, 2012 and 2013 is as follows: | |||||||||||||||||||
Amount | Weighted | Weighted | Aggregate | ||||||||||||||||
of | average | average | intrinsic value | ||||||||||||||||
options | exercise | remaining contractual term | |||||||||||||||||
price | (in years) | ||||||||||||||||||
Balance as of December 31, 2012 | 6,285,630 | $ | 0.6 | 7.82 | $ | 32,671 | |||||||||||||
Granted | 5,978,099 | $ | 4.44 | ||||||||||||||||
Exercised | (1,064,689 | ) | $ | 0.41 | |||||||||||||||
Forfeited | (275,871 | ) | $ | 2.13 | |||||||||||||||
Balance as of December 31, 2013 | 10,923,169 | $ | 2.68 | 8.35 | $ | 263,982 | |||||||||||||
Exercisable as of December 31, 2013 | 4,536,643 | $ | 0.66 | 7.01 | $ | 118,818 | |||||||||||||
Vested and expected to vest as of December 31, 2013 | 10,284,516 | $ | 2.59 | 8.29 | $ | 249,466 | |||||||||||||
The computation of expected volatility is based on actual historical share price volatility of comparable companies. The expected option term represents the period of time that options granted are expected to be outstanding. For stock-option awards which were at the money when granted (plain vanilla stock-options), it is determined based on the simplified method in accordance with SAB No. 110, as adequate historical experience is not available to provide a reasonable estimate. The simplified method will continue to apply until enough historical experience is available to provide a reasonable estimate of the expected term. For stock-option awards which were in the money when granted, a binomial model was used to determine the expected term as an input to the Black-Scholes-Merton option pricing model. The Company has historically not paid dividends and has no foreseeable plans to pay dividends and, therefore, uses an expected dividend yield of zero in the option pricing model. The risk-free interest rate is based on the yield of U.S. treasury bonds with equivalent terms. | |||||||||||||||||||
The following table set forth the parameters used in computation of the options compensation to employees for the years ended December 31, 2011, 2012 and 2013: | |||||||||||||||||||
Year ended | |||||||||||||||||||
December 31, | |||||||||||||||||||
2011 | 2012 | 2013 | |||||||||||||||||
Expected volatility | 65 | % | 70 | % | 58%-65 | % | |||||||||||||
Expected dividends | 0 | % | 0 | % | 0 | % | |||||||||||||
Expected term (in years) | 6.11 | 6.11 | 1.6-6.2 | ||||||||||||||||
Risk free rate | 1.7%-2.3 | % | 1%-1.6 | % | 0.2%-2.6 | % | |||||||||||||
A summary of options data for the years ended December 31, 2011, 2012 and 2013, is as follows: | |||||||||||||||||||
Year ended | |||||||||||||||||||
December 31, | |||||||||||||||||||
2011 | 2012 | 2013 | |||||||||||||||||
Weighted-average grant date fair value of options granted | $ | 0.71 | $ | 2.17 | $ | 8.8 | |||||||||||||
Total intrinsic value of the options exercised | $ | 1,414 | $ | 723 | $ | 28,151 | |||||||||||||
Total fair value of shares vested | $ | 517 | $ | 835 | $ | 5,118 | |||||||||||||
The aggregate intrinsic value is calculated as the difference between the per-share exercise price and the deemed fair value of the Company's Ordinary share for each share subject to an option multiplied by the number of shares subject to options at the date of exercise. The fair value of the Company's Ordinary share is $ 26.85 per share as of December 31, 2013. | |||||||||||||||||||
The following tables summarize information about the Company's outstanding and exercisable options granted to employees as of December 31, 2013: | |||||||||||||||||||
Exercise price | Options outstanding as of | Weighted average remaining | Options exercisable as of December 31, | Weighted average remaining | |||||||||||||||
December 31, 2013 | contractual term | 2013 | contractual term | ||||||||||||||||
(years) | (years) | ||||||||||||||||||
0.003 | 2,724,912 | 9.55 | 191,188 | 9.55 | |||||||||||||||
0.16 | 329,195 | 5.12 | 329,195 | 5.12 | |||||||||||||||
0.3 | 52,924 | 3.75 | 52,924 | 3.75 | |||||||||||||||
0.33 | 2,956,163 | 6.78 | 2,790,580 | 6.78 | |||||||||||||||
0.67 | 712,176 | 7.1 | 533,210 | 7.09 | |||||||||||||||
1.05 | 539,238 | 7.85 | 288,588 | 7.83 | |||||||||||||||
2.33 | 54,000 | 9.92 | - | - | |||||||||||||||
2.34 | 1,113,009 | 8.88 | 270,975 | 8.66 | |||||||||||||||
5.8 | 66,000 | 9.53 | - | - | |||||||||||||||
7.33 | 1,591,470 | 9.54 | 52,781 | 9.56 | |||||||||||||||
10.12 | 231,000 | 9.66 | 21,750 | 9.66 | |||||||||||||||
16.5 | 98,132 | 9.79 | 5,452 | 9.79 | |||||||||||||||
18.48 | 439,950 | 9.92 | - | - | |||||||||||||||
22.07 | 15,000 | 9.92 | - | - | |||||||||||||||
10,923,169 | 8.35 | 4,536,643 | 7.01 | ||||||||||||||||
g. | Options granted to non-employees consultants: | ||||||||||||||||||
The following table summarizes information about the Company's outstanding and exercisable options to purchase Ordinary shares granted to non-employees consultants as of December 31, 2013: | |||||||||||||||||||
Options | |||||||||||||||||||
outstanding | Exercisable | ||||||||||||||||||
as of | as of | ||||||||||||||||||
Issuance | December 31, | Exercise | December 31, | Exercisable | |||||||||||||||
date | 2013 | price | 2013 | Through | |||||||||||||||
9-Sep-07 | 5,293 | $ | 0.3 | 5,293 | 9-Sep-17 | ||||||||||||||
21-Nov-08 | 3,570 | $ | 0.16 | 3,570 | 21-Nov-18 | ||||||||||||||
12-May-09 | 6,750 | $ | 0.16 | 6,750 | 12-May-19 | ||||||||||||||
25-Jan-11 | 33,000 | $ | 0.67 | 24,938 | 25-Jan-21 | ||||||||||||||
9-Jan-13 | 5,400 | $ | 2.34 | 5,400 | 9-Jan-23 | ||||||||||||||
13-Feb-13 | 10,000 | $ | 2.34 | 10,000 | 13-Feb-23 | ||||||||||||||
64,013 | 55,951 | ||||||||||||||||||
The following table set forth the parameters used in computation of the options compensation to non-employees consultants for the years ended December 31, 2011, 2012 and 2013: | |||||||||||||||||||
Year ended | |||||||||||||||||||
December 31, | |||||||||||||||||||
2011 | 2012 | 2013 | |||||||||||||||||
Expected volatility | 65% | 70% | 65% | ||||||||||||||||
Expected dividends | 0% | 0% | 0% | ||||||||||||||||
Expected term (in years) | 10-Jul | 10-Jul | 10-Jun | ||||||||||||||||
Risk free rate | 1.4%-2.8% | 1.8%-2.9% | 0.86%-2.45% | ||||||||||||||||
h. | A summary of RSU activity for the year ended December 31, 2013, is as follows: | ||||||||||||||||||
Number | Weighted | ||||||||||||||||||
of | average | ||||||||||||||||||
shares | grant date | ||||||||||||||||||
fair value | |||||||||||||||||||
Unvested as of December 31, 2012 | - | $ | - | ||||||||||||||||
Granted | 122,668 | $ | 16.5 | ||||||||||||||||
Unvested as of December 31, 2013 | 122,668 | $ | 16.5 |
INCOME_TAXES
INCOME TAXES | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
INCOME TAXES [Abstract] | ' | ||||||||||||
INCOME TAXES | ' | ||||||||||||
NOTE 9:- INCOME TAXES | |||||||||||||
The Company's subsidiaries are separately taxed under the domestic tax laws of the jurisdiction of incorporation of each entity. | |||||||||||||
a. | Corporate tax in Israel: | ||||||||||||
In July 2009, the Knesset passed the Law for Economic Efficiency (Amended Legislation for Implementing the Economic Plan for 2009 and 2010), 2009, which prescribed, among others, an additional gradual reduction in the rates of the Israeli corporate tax and real capital gains tax starting 2011. The tax rate in effect for 2010 and 2011 was 25% and 24%, respectively. | |||||||||||||
Recently, the Law for Change in the Tax Burden (Legislative Amendments) (Taxes), 5772-2011, (the "Tax Burden Law 2011"), was published by the Government of Israel. The Tax Burden Law 2011 cancelled the scheduled progressive reduction of the corporate tax rate that was approved in 2009 and instead set the corporate tax rate at 25% from 2012 and thereafter. | |||||||||||||
On July 30, 2013, the Israeli Parliament (the Knesset) approved the second and third readings of the Economic Plan for 2013-2014 ("Amended Budget Law") which consists, among others, of fiscal changes whose main aim is to enhance long-term collection of taxes. | |||||||||||||
These changes include, among others, raising the Israeli corporate tax rate from 25% to 26.5%, cancelling the lowering of the tax rates applicable to preferred enterprises (9% in development area A and 16% in other areas), taxing revaluation gains and increasing the tax rates on dividends within the scope of the Law for the Encouragement of Capital Investments to 20% effective from January 1, 2014. | |||||||||||||
The change in tax rates did not affect the deferred tax balances. | |||||||||||||
b. | Income (loss) before taxes on income is comprised as follows: | ||||||||||||
Year ended December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
Domestic | $ | (22,758 | ) | $ | (15,652 | ) | $ | (31,555 | ) | ||||
Foreign | 230 | 1,176 | 4,407 | ||||||||||
Loss before taxes on income | $ | (22,528 | ) | $ | (14,476 | ) | $ | (27,148 | ) | ||||
c. | Deferred income taxes: | ||||||||||||
Deferred taxes reflect the net tax effect of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts recorded for tax purposes. Significant components of the Company's deferred tax assets and liabilities are as follows: | |||||||||||||
Year ended | |||||||||||||
December 31, | |||||||||||||
2012 | 2013 | ||||||||||||
Deferred tax assets: | |||||||||||||
Net operating loss carry-forwards | $ | 9,276 | $ | 14,083 | |||||||||
Capital losses carry-forwards | 48 | 52 | |||||||||||
Research and development expenses | 3,738 | 5,856 | |||||||||||
Tax credit carry-forwards | 115 | 148 | |||||||||||
Other | 304 | 740 | |||||||||||
Deferred tax assets before valuation allowance | 13,481 | 20,879 | |||||||||||
Valuation allowance | (13,366 | ) | (20,678 | ) | |||||||||
Deferred tax asset | $ | 115 | $ | 201 | |||||||||
Deferred tax liabilities: | |||||||||||||
Fixed assets | $ | 56 | $ | 126 | |||||||||
Deferred tax liabilities | $ | 56 | $ | 126 | |||||||||
The Company has provided valuation allowances in respect of certain deferred tax assets resulting from tax loss carry-forwards and other reserves and allowances due to its history of losses and uncertainty concerning realization of these deferred tax assets. In addition, a deferred tax liability has been established to reflect the Company's tax depreciation of property and equipment, net which differs from depreciation recorded in the consolidated financial statements. | |||||||||||||
d. | Income taxes are comprised as follows: | ||||||||||||
Year ended | |||||||||||||
December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
Current | $ | 226 | $ | 567 | $ | 1,588 | |||||||
Deferred | (14 | ) | (71 | ) | (16 | ) | |||||||
$ | 212 | $ | 496 | $ | 1,572 | ||||||||
Year ended | |||||||||||||
December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
Domestic | $ | 63 | $ | 105 | $ | 321 | |||||||
Foreign | 149 | 391 | 1,251 | ||||||||||
$ | 212 | $ | 496 | $ | 1,572 | ||||||||
e. | A reconciliation of the Company's theoretical income tax expense to actual income tax expense as follows: | ||||||||||||
Year ended | |||||||||||||
December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
Loss before taxes on income | $ | (22,528 | ) | $ | (14,476 | ) | $ | (27,148 | ) | ||||
Statutory tax rate | 24 | % | 25 | % | 25 | % | |||||||
Theoretical income tax expense | (5,407 | ) | (3,619 | ) | (6,787 | ) | |||||||
Utilization of tax losses and deferred taxes for which valuation allowance was provided, net | 4,721 | 3,558 | 7,312 | ||||||||||
Deferred taxes on losses for which valuation allowance was provided, net | (416 | ) | (146 | ) | (2,075 | ) | |||||||
Non-deductible option expenses | 1,127 | 238 | 1,899 | ||||||||||
Non-deductible expenses | 73 | 46 | 94 | ||||||||||
Tax adjustment in respect of different tax rate of foreign subsidiary | 223 | 305 | 975 | ||||||||||
Taxes in respect of prior years | (74 | ) | - | - | |||||||||
Other | (35 | ) | 114 | 154 | |||||||||
Income tax expense | $ | 212 | $ | 496 | $ | 1,572 | |||||||
f. | Net operating loss carry-forwards | ||||||||||||
As of December 31, 2013, the Company had carry-forward operating and capital tax losses totaling approximately $ 55,440 and $ 210, respectively, out of which approximately $ 54,050 and $ 210 of losses, respectively were attributed to Israel and can be carried forward indefinitely and $ 1,390 were attributed to the U.S. Subsidiary and can be carried forward up until 2033. | |||||||||||||
g. | The Law for the Encouragement of Capital Investments, 1959 (the "Law"): | ||||||||||||
On April 1, 2005, an amendment to the Investment Law came into effect ("the Amendment") and has significantly changed the provisions of the Investment Law. The Amendment limits the scope of enterprises which may be approved by the Investment Center by setting criteria for the approval of a facility as an Approved Enterprise, such as provisions generally requiring that at least 25% of the Approved Enterprise's income will be derived from export. Additionally, the Amendment enacted major changes in the manner in which tax benefits are awarded under the Investment Law so that companies no longer require Investment Center approval in order to qualify for tax benefits. | |||||||||||||
According to the law, the Company is entitled to various tax benefits by virtue of the "Beneficiary Enterprise" status granted to part of its enterprises, defined by this law. | |||||||||||||
During 2010, the Company had applied by Tax Pre-ruling to the Israeli Tax Authorities ("ITA") to receive "Beneficiary Enterprise" status and elect 2009 as year of election. During 2011, the Company received a tax decision from the ITA that approves its request for "Beneficiary Enterprise" status and the Company elect 2009 as its year of election. Under the Investment Law and its Amendment and according to the tax decision, the Company is entitled to various tax benefits, defined by this law, under the "Alternative Benefits" track as a Beneficiary Enterprise. | |||||||||||||
Pursuant to the beneficiary program, the Company is entitled to a tax benefit period of seven to ten years on income derived from this program as follows: the Company is fully tax exempted for a period of the first two years and for the remaining five to eight subsequent years is subject to tax at a rate of 10% - 25% (based on the percentage of foreign ownership of the Company). | |||||||||||||
The benefit period begins in the year in which taxable income is first earned, limited to 12 years from the year of election. | |||||||||||||
If dividends are distributed out of tax exempt profits, the Company will then become liable for tax at the rate applicable to its profits from the Beneficiary enterprise in the year in which the income was earned, as if it had not chosen the alternative track of benefits. | |||||||||||||
The dividend recipient is subject to withholding tax at the rate of 15% applicable to dividends from Beneficiary enterprises, if the dividend is distributed during the tax benefits period or within twelve years thereafter. This limitation does not apply to a foreign investors' company. The Company currently has no plans to distribute dividends and intends to retain future earnings to finance the development of its business. | |||||||||||||
The above benefits are conditioned upon the fulfillment of the conditions stipulated by the law and regulations published thereunder. In the event of failure to comply with these conditions, the benefits may be canceled and the Company may be required to refund the amount of the benefits, in whole or in part, including interest and linked to changes in the Israeli CPI. | |||||||||||||
Management believes that the Company will meet the aforementioned conditions by the year of the elected operations. | |||||||||||||
As a result of the amendment, tax-exempt income generated under the provisions of the new law will subject the Company to taxes upon distribution or liquidation and the Company may be required to record a deferred tax liability with respect to such tax-exempt income. | |||||||||||||
Through December 31, 2013, the Company had not generated income under the provision of the new law. | |||||||||||||
In December 2010, the Israeli Parliament passed the Law for Economic Policy for 2011 and 2012 (Amended Legislation), 2011, which prescribes, among other things, amendments to the Investment Law, effective as of January 1, 2011. According to the amendment, the benefit tracks under the Investment Law were modified and a uniform tax rate will apply to all of the income of an approved or beneficiary enterprise. Companies may elect to irrevocably implement the amendment (while waiving benefits provided under the Investment Law as currently in effect) and subsequently would be subject to the amended tax rates that are: 2011 and 2012 - 15%, 2013 and 2014 - 12.5% and in 2015 and thereafter - 12%. | |||||||||||||
Under the transition provisions of the new legislation, the Company may decide to irrevocably implement the new law while waiving benefits provided under the current law or to remain subject to the current law. | |||||||||||||
The Company does not currently intend to implement the amendment, and intends to continue to comply with the Investment Law as in effect prior to enactment of the amendment. | |||||||||||||
h. | Tax assessments: | ||||||||||||
The Company and its subsidiaries did not have any final tax assessments as of December 31, 2013. |
FINANCIAL_INCOME_EXPENSES_NET
FINANCIAL INCOME (EXPENSES), NET | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
FINANCIAL INCOME (EXPENSES), NET [Abstract] | ' | ||||||||||||
FINANCIAL INCOME (EXPENSES), NET | ' | ||||||||||||
NOTE 10:- FINANCIAL (EXPENSES), NET | |||||||||||||
Year ended | |||||||||||||
December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
Bank charges | $ | (24 | ) | $ | (28 | ) | $ | (62 | ) | ||||
Income (expenses) related to hedging activity | (239 | ) | 485 | (102 | ) | ||||||||
Interest expenses | - | - | (262 | ) | |||||||||
Share based compensation related to warrants granted in connection with credit line | - | - | (273 | ) | |||||||||
Exchange rate loss | - | (24 | ) | (58 | ) | ||||||||
Total income (expenses) | (263 | ) | 433 | (757 | ) | ||||||||
Interest income | 147 | 54 | 154 | ||||||||||
Exchange rate gain | 75 | - | - | ||||||||||
Total financial income | 222 | 54 | 154 | ||||||||||
Total financial income (expenses), net | $ | (41 | ) | $ | 487 | $ | (603 | ) |
BASIC_AND_DILUTED_NET_LOSS_PER
BASIC AND DILUTED NET LOSS PER SHARE | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
BASIC AND DILUTED NET LOSS PER SHARE [Abstract] | ' | ||||||||||||
BASIC AND DILUTED NET LOSS PER SHARE | ' | ||||||||||||
NOTE 11:- BASIC AND DILUTED NET LOSS PER SHARE | |||||||||||||
Year ended | |||||||||||||
December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
Numerator: | |||||||||||||
Net loss | $ | (22,740 | ) | $ | (14,972 | ) | $ | (28,720 | ) | ||||
Dividends accumulated for the period (*) | (30,091 | ) | (3,511 | ) | (2,964 | ) | |||||||
Net loss available to shareholders of Ordinary shares | $ | (52,831 | ) | $ | (18,483 | ) | $ | (31,684 | ) | ||||
Denominator: | |||||||||||||
Shares used in computing net loss per Ordinary shares, basic and diluted | 6,355,428 | 6,822,720 | 11,597,826 | ||||||||||
(*) | Includes also consideration received by the Company for the issuance of Series E preferred share for the year ended December 31, 2011. | ||||||||||||
SEGMENTS_CUSTOMERS_AND_GEOGRAP
SEGMENTS, CUSTOMERS AND GEOGRAPHIC INFORMATION | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
SEGMENTS, CUSTOMERS AND GEOGRAPHIC INFORMATION [Abstract] | ' | ||||||||||||
SEGMENTS, CUSTOMERS AND GEOGRAPHIC INFORMATION | ' | ||||||||||||
NOTE 12:- SEGMENTS, CUSTOMERS AND GEOGRAPHIC INFORMATION | |||||||||||||
a. | The Company applies ASC topic 280, "Segment Reporting", ("ASC No. 280"). The Company operates in one reportable segment. Total revenues are attributed to geographic areas based on the location of the end customer. | ||||||||||||
b. | The following tables present total revenues for the years ended December 31, 2011, 2012 and 2013 and long-lived assets as of December 31, 2012 and 2013: | ||||||||||||
Revenues: | |||||||||||||
Year ended | |||||||||||||
December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
North America | $ | 16,354 | $ | 26,280 | $ | 43,713 | |||||||
Europe | 4,424 | 9,073 | 19,413 | ||||||||||
Latin America | 1,561 | 4,260 | 8,909 | ||||||||||
Asia and others | 2,261 | 4,063 | 8,438 | ||||||||||
$ | 24,600 | $ | 43,676 | $ | 80,473 | ||||||||
Long-lived assets: | |||||||||||||
December 31, | |||||||||||||
2012 | 2013 | ||||||||||||
North America | $ | 194 | $ | 307 | |||||||||
Europe | - | 12 | |||||||||||
Latin America | - | - | |||||||||||
Asia and others | 2,088 | 3,912 | |||||||||||
$ | 2,282 | $ | 4,231 |
SUBSEQUENT_EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Dec. 31, 2013 | |
SUBSEQUENT EVENTS [Abstract] | ' |
SUBSEQUENT EVENTS | ' |
NOTE 13:- SUBSEQUENT EVENTS | |
In February 2014, the Company acquired all the share capital of Appixia Ltd. for cash consideration of approximately $1.3 million. | |
Appixia Ltd. develops a platform for building native mCommerce apps. The acquisition is intended to supports the Company's plans to continue strengthening its technological advantage and the depth of its product offering. The acquisition will be recorded in the Company's financial statements for fiscal year 2014. |
SIGNIFICANT_ACCOUNTING_POLICIE1
SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
SIGNIFICANT ACCOUNTING POLICIES [Abstract] | ' | ||||||||||||
Use of estimates: | ' | ||||||||||||
a. | Use of estimates: | ||||||||||||
The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates, judgments and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. The Company evaluates on an ongoing basis its assumptions, including those related to contingencies, income taxes, deferred taxes and liabilities, share-based compensation cost, as well as in estimates used in applying the revenue recognition policy. The Company's management believes that the estimates, judgment and assumptions used are reasonable based upon information available at the time they are made. These estimates, judgments and assumptions can affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the consolidated financial statements, and the reported amounts of revenue and expenses during the reporting periods. Actual results could differ from those estimates. | |||||||||||||
Principles of consolidation: | ' | ||||||||||||
b. | Principles of consolidation: | ||||||||||||
The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. Intercompany transactions and balances, have been eliminated upon consolidation. | |||||||||||||
Financial statements in U.S. dollars: | ' | ||||||||||||
c. | Financial statements in U.S. dollars: | ||||||||||||
A majority of the Company's revenues are generated in U.S. dollars. In addition, the equity investments were in U.S. dollars and substantial portion of the Company costs are incurred in U.S dollars. The Company's management believes that the U.S. dollar is the currency of the primary economic environment in which the Company operates. Thus, the functional and reporting currency of the Company is the U.S dollar. | |||||||||||||
Accordingly, monetary accounts maintained in currencies other than the U.S. dollar are remeasured into U.S. dollars in accordance with Statement of the Accounting Standard Codification ("ACS") No. 830 "Foreign Currency Matters" ("ASC No. 830"). All transaction gains and losses of the remeasured monetary balance sheet items are reflected in the statement of comprehensive loss as financial income or expenses, as appropriate. | |||||||||||||
The functional currency of the U.S. Subsidiary is the U.S. dollar. | |||||||||||||
The functional currency of the Lithuanian Subsidiary and the Luxembourgian Subsidiary is the U.S. dollar as these subsidiaries' revenues, intercompany transaction, budget and financing are denominated in U.S. dollars. | |||||||||||||
The functional currency of the Brazilian Subsidiary is the Brazilian Real ("BRL"). The Brazilian Subsidiary commenced its operations in 2012. All amounts on the Brazilian Subsidiary's balance sheets have been translated into the U.S. dollar using the exchange rates in effect on the relevant balance sheet dates. All amounts in the Brazilian Subsidiary's statements of operations have been translated into the U.S. dollar using the average exchange rate for the respective period on which those transactions are recorded. The resulting translation adjustments were not reported as a component in comprehensive income (loss) statement as of December 31, 2012, due to immateriality. | |||||||||||||
Cash and cash equivalents: | ' | ||||||||||||
d. | Cash and cash equivalents: | ||||||||||||
Cash equivalents are short-term highly liquid investments that are readily convertible to cash with original maturities of three months or less, at the date acquired. | |||||||||||||
Restricted deposits: | ' | ||||||||||||
e. | Restricted deposits: | ||||||||||||
Restricted deposits are deposits with maturities of up to one year. As of December 31, 2012 and 2013 the Company's bank deposits were in U.S. dollars and New Israel Shekels (ILS) and bore interest at weighted average interest rates of 0.38% and 0.22%, respectively. Restricted deposits are presented at their cost, including accrued interest. These deposits are used as security for the rental of premises, for the Company's credit cards, and as a security for the Company's hedging activities. | |||||||||||||
Property and equipment: | ' | ||||||||||||
Property and equipment: | |||||||||||||
Property and equipment are stated at cost, net of accumulated depreciation. Depreciation is calculated using the straight-line method over the estimated useful lives of the assets at the following annual rates: | |||||||||||||
% | |||||||||||||
Computers, peripheral equipment and electronic equipment | 15 - 33 | ||||||||||||
Office furniture and equipment | 14-Jun | ||||||||||||
Leasehold improvements | Over the shorter of the related lease period or the life of the asset | ||||||||||||
Long-lived assets: | ' | ||||||||||||
g. | Long-lived assets: | ||||||||||||
The long-lived assets of the Company and its subsidiaries are reviewed for impairment in accordance with ASC No. 360, "Property, Plant and Equipment" ("ASC No. 360"), whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. The recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to the future undiscounted cash flows expected to be generated by the assets. If such assets are considered to be impaired, the impairment to be recognized is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets. During the years ended 2011, 2012 and 2013, no impairment losses have been identified. | |||||||||||||
Derivatives instruments: | ' | ||||||||||||
h. | Derivatives instruments: | ||||||||||||
ASC No. 815, "Derivative and Hedging", requires companies to recognize all of their derivative instruments as either assets or liabilities in the statement of financial position at fair value. | |||||||||||||
For those derivative instruments that are designated and qualify as hedging instruments, a company must designate the hedging instrument, based upon the exposure being hedged, as a fair value hedge, cash flow hedge or a hedge of a net investment in a foreign operation. | |||||||||||||
Derivative instruments designated as hedging instruments: | |||||||||||||
For derivative instruments that are designated and qualify as a cash flow hedge (i.e., hedging the exposure to variability in expected future cash flows that is attributable to a particular risk), the effective portion of the gain or loss on the derivative instrument is reported as a component of other comprehensive loss and reclassified into earnings in the same period or periods during which the hedged transaction affects earnings. The remaining gain or loss on the derivative instrument in excess of the cumulative change in the present value of future cash flows of the hedged item, if any, is recognized in current earnings during the period of change. For derivative instruments not designated as hedging instruments, the gain or loss is recognized in current earnings during the period of change. | |||||||||||||
To hedge against the risk of overall changes in cash flows resulting from foreign currency salary payments during the year, the Company has instituted a foreign currency cash flow hedging program. The Company hedges portions of its forecasted salary expenses denominated in ILS. These option contracts are designated as cash flow hedges, as defined by ASC 815, and are all effective, based on third party valuation. | |||||||||||||
As of December 31, 2013, the amount recorded in accumulated other comprehensive income from the Company's currency option transactions is $ 33. Such amount will be recorded in the Company's earnings during 2014. At December 31, 2013, the notional amounts of foreign exchange options contracts into which the Company entered were $ 11,997. The foreign exchange forward and options contracts will expire through June 2014. | |||||||||||||
Derivative instruments not designated as hedging instruments: | |||||||||||||
In addition to the derivatives that are designated as hedges as discussed above, the Company enters into certain foreign exchange forward and option transactions to economically hedge a portion of its payments in ILS and certain revenue transactions in Euros and British pounds. Gains and losses related to such derivative instruments are recorded in financial expenses, net. At December 31, 2013, the notional amounts of foreign exchange forward and options contracts into which the Company entered were $ 18,818 and $ 1,400, respectively. The foreign exchange forward and option transactions will expire through November 2014. | |||||||||||||
The fair value of derivative instruments as of December 31, 2012 totaled $ 436, and is presented as part of prepaid expenses and other current assets. The net fair value of derivative instruments balance as of December 31, 2013 totaled $ 314, and is presented on a gross basis as prepaid expenses and other current assets in the amount of $ 160 and as accrued expenses and other current liabilities in the amount of $ 474. | |||||||||||||
In the years ended December 31, 2011, 2012 and 2013, the Company recorded net financial income (expenses) from hedging transactions in the amount of $ (239), $ 485 and $ (102), respectively. | |||||||||||||
Severance pay: | ' | ||||||||||||
i. | Severance pay: | ||||||||||||
The Israeli Severance Pay Law, 1963 ("Severance Pay Law"), specifies that employees are entitled to severance payment, following the termination of their employment. Under the Severance Pay Law, the severance payment is calculated as one month salary for each year of employment, or a portion thereof. | |||||||||||||
The majority of the Company's liability for severance pay is covered by the provisions of Section 14 of the Severance Pay Law ("Section 14"). Under Section 14 employees are entitled to monthly deposits, at a rate of 8.33% of their monthly salary, continued on their behalf to their insurance funds. Payments in accordance with Section 14 release the Company from any future severance payments in respect of those employees. As a result, the Company does not recognize any liability for severance pay due to these employees and the deposits under Section 14 are not recorded as an asset in the Company's balance sheet. | |||||||||||||
For the Company's employees in Israel who are not subject to section 14, the Company calculated the liability for severance pay pursuant to the Severance Pay Law based on the most recent salary of these employees multiplied by the number of years of employment as of the balance sheet date. The Company's liability for these employees is fully provided for via monthly deposits with severance pay funds, insurance policies and an accrual. The value of these deposits is recorded as an asset on the Company's balance sheet. | |||||||||||||
Severance expense for the years ended December 31, 2011, 2012 and 2013, amounted to $ 881, $ 1,117 and $ 1,727, respectively. | |||||||||||||
U.S. employees defined contribution plan: | ' | ||||||||||||
j. | U.S. employees defined contribution plan: | ||||||||||||
The U.S. Subsidiary has a 401(K) defined contribution plan covering certain employees in the U.S. All eligible employees may elect to contribute up to 100%, but generally not greater than $ 17 per year (for certain employees over 50 years of age the maximum contribution is $ 22 per year), of their annual compensation to the plan through salary deferrals, subject to Internal Revenue Service limits. | |||||||||||||
The U.S. Subsidiary matches 4% of employee contributions up to the plan with no limitation. During the year ended December 31, 2012 and 2013, the U.S. Subsidiary recorded expenses for matching contributions in amounts of $ 41 and $ 71, respectively. No expenses for matching contributions were recorded in 2011. | |||||||||||||
Revenue recognition: | ' | ||||||||||||
k. | Revenue recognition: | ||||||||||||
The Company provided an online platform that enables users to create websites using Flash and HTML5 technology and generates revenues primarily from services related to such websites. The Company also offers its users the ability to purchase and manage domain name and software apps that can be integrated as add-ons to their websites. | |||||||||||||
The Company recognizes revenues in accordance with ASC No. 605-10-S99, (SEC Staff Accounting Bulletin ("SAB") No. 104, "Revenue Recognition"), when (i) persuasive evidence of an arrangement exists, (ii) delivery has occurred or services have been rendered to the customer, (iii) the fee is fixed or determinable, and (iv) collectability is reasonably assured. | |||||||||||||
Revenues related to services for websites and purchase and registration of domain names are recognized ratably over the term of the service period. Revenues related to software applications, developed by third party app developers are recognized when earned. The Company accounts for such sales on a net basis by recognizing the commission it retains from each sale. The portion of the gross amount billed to customers that is remitted by the Company to third-party app developers is not reflected in the Company's consolidated statements of operations and comprehensive loss. | |||||||||||||
The Company offers a 14-day money back guaranty ("Guaranty Period"). The Company considers such amount collected from new premium subscriptions as customer deposits until the end of the 14-day trial period. Revenues are recognized once the Guaranty Period has expired. | |||||||||||||
Although, in general, the Company does not grant rights of refund, there are certain instances where such refunds occur. Since the Company collects most of its revenues via online credit card billing, a small portion of its users elect to chargeback due to disputes over the credit card statements and/or claims of false transaction, and accordingly ask for refunds. The Company maintains a provision for chargebacks and refunds in accordance with ASC No. 605, "Revenue Recognition", which is estimated, based primarily on historical experience as well as management judgment, and is recorded through a reduction of revenue. | |||||||||||||
Deferred service revenues primarily include unearned amounts received from customers but not recognized as revenues. | |||||||||||||
Part of the Company's revenue transaction includes multiple elements within a single contract if it is determined that multiple units of accounting exist. | |||||||||||||
Commencing January 1, 2011, the Company adopted Accounting Standards Update ("ASU") No. 2009-13, "Multiple-Deliverable Revenue Arrangements, (amendments to ASC Topic 605, Revenue Recognition)" ("ASU No. 2009-13") . ASU No. 2009-13 requires entities to allocate revenue in an arrangement using estimated selling prices of the delivered goods and services based on a selling price hierarchy. The amendments eliminate the residual method of revenue allocation and require revenue to be allocated using the relative selling price method. | |||||||||||||
The primary types of transactions in which the Company engages for which ASU No. 2009-13 is applicable are agreements that include multiple elements which are delivered at different points in time. Such elements may include some or all of the following: | |||||||||||||
- | Services for websites; | ||||||||||||
- | Purchase and registration of domain name; and | ||||||||||||
- Third-party developed application. | |||||||||||||
The Company considers the sale of each of the above stated elements in bundled agreement to be separate unit of accounting for the arrangement and defers the relative selling price of the undelivered element to the period in which revenue is earned. | |||||||||||||
Pursuant to the guidance under ASU No. 2009-13, when a sales arrangement contains multiple elements, the Company allocates revenue to each element based on a selling price hierarchy. The selling price for a deliverable is based on its VSOE if available, third-party evidence ("TPE") if VSOE is not available, or estimated selling price ("ESP") if neither VSOE nor TPE is available. VSOE of selling price is based on the price charged when the element is sold separately. In determining VSOE, it is required that a substantial majority of the selling prices fall within a reasonable range based on historical discounting trends for specific services. TPE of selling price is established by evaluating largely interchangeable competitor services in stand-alone sales to similarly situated customers. | |||||||||||||
Website services are sold separately and therefore the selling price is based on VSOE. Domain name registrations were sold separately in 2012 and 2013 and therefore the selling price is based on VSOE. Domain name registrations were also sold separately in 2011 and, based on the absolute and relative small number of transactions in 2011, VSOE could not be established and, therefore, the selling price was based on TPE. The change in 2012 from TPE to VSOE was considered a change in accounting estimate in accordance with ASC 250-50-4, "Accounting Change and Error Corrections", which did not affect the Company`s income or related per-share amounts. | |||||||||||||
Research and development costs: | ' | ||||||||||||
l. | Research and development costs: | ||||||||||||
Research and development costs are charged to the statements of operations and comprehensive loss as incurred. ASC 985-20, "Software- Costs of Software to Be Sold, Leased, or Marketed", requires capitalization of certain software development costs subsequent to the establishment of technological feasibility. | |||||||||||||
Based on the Company's product development process, technological feasibility is established upon completion of a working model. Costs incurred by the Company between completion of the working models and the point at which the products are ready for general release, have been insignificant. Therefore, all research and development costs are expensed as incurred. | |||||||||||||
Advertising expenses: | ' | ||||||||||||
m. | Advertising expenses: | ||||||||||||
Advertising expenses consist primarily of cost-per click expenses, social networking expenses, marketing campaigns and display advertisements. Advertising expenses are charged to the statement of operations and comprehensive loss, as incurred. Advertising expenses for the years ended December 31, 2011, 2012 and 2013 amounted to $ 15,914, $ 21,473 and $ 40,994, respectively. | |||||||||||||
Share-based compensation: | ' | ||||||||||||
n. | Share-based compensation: | ||||||||||||
The Company accounts for share-based compensation in accordance with ASC 718, "Compensation - Stock Compensation" ("ASC No. 718"). ASC No. 718 requires companies to estimate the fair value of equity-based payment awards on the date of grant using an option-pricing model. The value of the portion of the award that is ultimately expected to vest is recognized as an expense over the requisite service periods in the Company's consolidated statements of operations and comprehensive loss. | |||||||||||||
The Company recognizes compensation expenses for the value of its awards granted based on the straight line method over the requisite service period of each of the awards, net of estimated forfeitures. ASC No. 718 requires forfeitures to be estimated at the time of grant and revised, if necessary, in subsequent periods if actual forfeitures differ from those estimates. | |||||||||||||
The Company selected the Black-Scholes option-pricing model as the most appropriate fair value method for its option awards. The option-pricing model requires a number of assumptions, of which the most significant are the expected share price, volatility and the expected option term. | |||||||||||||
The fair value of ordinary share underlying the options has historically been determined by management and approved by the Company's board of directors. Because there has been no public market for the Company's ordinary shares, the management has determined fair value of an ordinary share at the time of grant of the option by considering a number of objective and subjective factors including financing investment rounds, operating and financial performance, the lack of liquidity of share capital and general and industry specific economic outlook, amongst other factors. The fair value of the underlying ordinary shares will be determined by the management until such time as the Company's ordinary shares are listed on an established stock exchange. The Company's management determined the fair value of ordinary shares based on valuations performed using the Option Pricing Method ("OPM") for the years ended December 31, 2011 and 2012 and for the period from January 1, 2013 and up to November 6, 2013. From November 6, 2013 the ordinary shares is publicly traded. | |||||||||||||
The Company applies ASC No. 718 and ASC No. 505-50 "Equity Based Payments to Non-Employees" ("ASC No. 505-50") with respect to options and warrants issued to non-employees consultants. ASC No. 718 requires the use of option valuation models to measure the fair value of the options and warrants at the date of grant. | |||||||||||||
Income taxes: | ' | ||||||||||||
o. | Income taxes: | ||||||||||||
The Company accounts for income taxes in accordance with ASC No. 740, "Income Taxes". This codification prescribes the use of the asset and liability method whereby deferred tax asset and liability account balances are determined based on differences between financial reporting and tax bases of assets and liabilities and for carry-forward tax losses. Deferred taxes are measured using the enacted tax rates and laws that will be in effect when the differences are expected to reverse. The Company provides a valuation allowance, if necessary, to reduce deferred tax assets to their estimated realizable value if it is more likely than not that some portion or all of the deferred tax asset will not be realized. | |||||||||||||
Deferred tax liabilities and assets are classified as current or non-current based on the classification of the related asset or liability for financial reporting, or according to the expected reversal dates of the specific temporary differences, if not related to an asset or liability for financial reporting. | |||||||||||||
The Company accounts for uncertain tax positions in accordance with the provisions of ASC 740, "Income Taxes". Accounting guidance addresses the determination of whether tax benefits claimed or expected to be claimed on a tax return should be recorded in the consolidated financial statements, under which a company may recognize the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. | |||||||||||||
The tax benefits recognized in the consolidated financial statements from such a position should be measured based on the largest benefit that has a greater than fifty percent likelihood of being realized upon ultimate settlement. Accordingly, the Company reports a liability for unrecognized tax benefits resulting from uncertain tax positions taken or expected to be taken in a tax return. The Company recognizes interest and penalties, if any, related to unrecognized tax benefits in tax expense. The Company did not record a provision due to immateriality. | |||||||||||||
Basic and diluted net loss per share: | ' | ||||||||||||
p. | Basic and diluted net loss per share: | ||||||||||||
The Company applies the two class method as required by ASC No. 260-10, "Earnings Per Share" ("ASC No. 260-10"). ASC 260-10 requires the income or loss per share for each class of shares (ordinary and preferred shares) to be calculated assuming 100% of the Company's earnings are distributed as dividends to each class of shares based on their contractual rights. No dividends were declared or paid during the reported periods. | |||||||||||||
According to the provisions of ASC No. 260-10, the Company's preferred shares are not participating securities in losses and, therefore, are not included in the computation of net loss per share. | |||||||||||||
Basic and diluted net loss per share is computed based on the weighted-average number of shares of ordinary shares outstanding during each year. Diluted loss per share is computed based on the weighted average number of ordinary shares outstanding during the period, plus dilutive potential shares considered outstanding during the period, in accordance with ASC 260-10. Basic and diluted net loss per share of ordinary shares was the same for each period presented as the inclusion of all potential ordinary shares outstanding was anti-dilutive. | |||||||||||||
For the years ended December 31, 2011, 2012 and 2013, all outstanding preferred shares, options and warrants have been excluded from the calculation of the diluted net loss per share since their effect was anti-dilutive and the total preferred shares and options that have been excluded from the calculations was 13,758,838, 14,085,718 and 14,913,523, respectively. | |||||||||||||
Comprehensive income (loss): | ' | ||||||||||||
q. | Comprehensive income (loss): | ||||||||||||
The Company accounts for comprehensive income (loss) in accordance with Accounting Standards Codification No. 220, "Comprehensive Income"("ASC No. 220"). This statement establishes standards for the reporting and display of comprehensive income (loss) and its components in a full set of general purpose financial statements. Comprehensive income (loss) generally represents all changes in shareholders' equity during the period except those resulting from investments by, or distributions to shareholders. | |||||||||||||
The Company has determined that its items of comprehensive loss relate to loss on unrealized gain from foreign currency translation adjustments offset by income on hedging derivatives instruments. | |||||||||||||
The total accumulated other comprehensive loss, net was comprised as follows: | |||||||||||||
Year ended December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
Accumulated foreign currency translation differences | $ | - | $ | - | $ | (296 | ) | ||||||
Accumulated income on derivative | - | - | 33 | ||||||||||
Total accumulated other comprehensive loss, net | $ | - | $ | - | $ | (263 | ) | ||||||
For the year ended December 31, 2012, the Company determined that its items of comprehensive income (loss) relate to functional currency translation of the Brazilian Subsidiary, the resulting translation adjustments were not reported as a component of other comprehensive loss in shareholders' equity (deficiency), due to immateriality. | |||||||||||||
Concentration of credit risks: | ' | ||||||||||||
r. | Concentration of credit risks: | ||||||||||||
Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash and cash equivalents and restricted deposits. | |||||||||||||
The majority of the Company's and its subsidiaries' cash and cash equivalents and restricted deposits are invested with major bank in Israel, Brazil and the United States. Such investments in the United States may be in excess of insured limits and are not insured in other jurisdictions. Generally, these investments may be redeemed upon demand and, therefore, bear minimal risk. | |||||||||||||
Fair value of financial instruments: | ' | ||||||||||||
s. | Fair value of financial instruments: | ||||||||||||
The estimated fair value of financial instruments has been determined by the Company using available market information and valuation methodologies. Considerable judgment is required in estimating fair values. Accordingly, the estimates may not be indicative of the amounts the Company could realize in a current market exchange. | |||||||||||||
The following methods and assumptions were used by the Company in estimating the fair value of their financial instruments: | |||||||||||||
The carrying values of cash and cash equivalents, restricted deposits, trade receivables, prepaid expenses and other current assets, trade payables, employees and payroll accruals and accrued expenses and other current liabilities approximate fair values due to the short-term maturities of these instruments. | |||||||||||||
The Company applies ASC No. 820, "Fair Value Measurements and Disclosures" ("ASC No. 820"), with respect to fair value measurements of all financial assets and liabilities. | |||||||||||||
The fair value of foreign currency contracts (used for hedging purposes) is estimated by obtaining current quotes from banks and third party valuations. | |||||||||||||
Fair value is an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or a liability. A three-tier fair value hierarchy is established as a basis for considering such assumptions and for inputs used in the valuation methodologies in measuring fair value: | |||||||||||||
Level 1 - | Observable inputs that reflect quoted prices (unadjusted) for identical assets or liabilities in active markets. | ||||||||||||
Level 2 - | Include other inputs that are directly or indirectly observable in the marketplace. | ||||||||||||
Level 3 - | Unobservable inputs which are supported by little or no market activity. The fair value hierarchy also requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. | ||||||||||||
The fair value hierarchy also requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. | |||||||||||||
In accordance with ASC 820, the Company measures its foreign currency derivative contracts, at fair value using the market approach valuation technique. Foreign currency derivative contracts as detailed in note 2.h are classified within Level 2 value hierarchy, as the valuation inputs are based on quoted prices and market observable data of similar instruments. |
SIGNIFICANT_ACCOUNTING_POLICIE2
SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
SIGNIFICANT ACCOUNTING POLICIES [Abstract] | ' | ||||||||||||
Schedule of Property and Equipment, Estimated Useful Lives | ' | ||||||||||||
Depreciation is calculated using the straight-line method over the estimated useful lives of the assets at the following annual rates: | |||||||||||||
% | |||||||||||||
Computers, peripheral equipment and electronic equipment | 15 - 33 | ||||||||||||
Office furniture and equipment | 14-Jun | ||||||||||||
Leasehold improvements | Over the shorter of the related lease period or the life of the asset | ||||||||||||
Schedule of Total Accumulated Other Comprehensive Loss, Net | ' | ||||||||||||
The total accumulated other comprehensive loss, net was comprised as follows: | |||||||||||||
Year ended December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
Accumulated foreign currency translation differences | $ | - | $ | - | $ | (296 | ) | ||||||
Accumulated income on derivative | - | - | 33 | ||||||||||
Total accumulated other comprehensive loss, net | $ | - | $ | - | $ | (263 | ) |
PREPAID_EXPENSES_AND_OTHER_CUR1
PREPAID EXPENSES AND OTHER CURRENT ASSETS (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
PREPAID EXPENSES AND OTHER CURRENT ASSETS [Abstract] | ' | ||||||||
Schedule of Prepaid Expenses and Other Current Assets | ' | ||||||||
December 31, | |||||||||
2012 | 2013 | ||||||||
Government authorities | $ | 207 | $ | 600 | |||||
Hedging transaction asset | 436 | 160 | |||||||
Prepaid expenses | 1,502 | 3,644 | |||||||
Other current assets | 151 | 326 | |||||||
$ | 2,296 | $ | 4,730 |
PROPERTY_AND_EQUIPMENT_Tables
PROPERTY AND EQUIPMENT (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
PROPERTY AND EQUIPMENT [Abstract] | ' | ||||||||
Schedule of Property and Equipment | ' | ||||||||
The composition of property and equipment is as follows: | |||||||||
December 31, | |||||||||
2012 | 2013 | ||||||||
Cost: | |||||||||
Leasehold improvements | $ | 2,219 | $ | 4,230 | |||||
Computers, peripheral equipment and electronic equipment | 1,424 | 2,245 | |||||||
Office furniture and equipment | 264 | 482 | |||||||
3,907 | 6,957 | ||||||||
Less accumulated depreciation | 1,625 | 2,726 | |||||||
Depreciated cost | $ | 2,282 | $ | 4,231 |
ACCRUED_EXPENSES_AND_OTHER_CUR1
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES [Abstract] | ' | ||||||||
Summary of Accrued Expenses and Other Current Liabilities | ' | ||||||||
December 31, | |||||||||
2012 | 2013 | ||||||||
Accrued expenses | $ | 3,162 | $ | 5,303 | |||||
Hedging transaction liability | - | 474 | |||||||
Deferred tax liability | 56 | 126 | |||||||
$ | 3,218 | $ | 5,903 |
COMMITMENTS_AND_CONTINGENT_LIA1
COMMITMENTS AND CONTINGENT LIABILITIES (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
COMMITMENTS AND CONTINGENT LIABILITIES [Abstract] | ' | ||||||||
Schedule of Future Minimum Rental Payments under Operating Leases | ' | ||||||||
The minimum rental payments under operating leases as of December 31, 2013, are as follows: | |||||||||
Rental of premises | Lease of | ||||||||
motor vehicles | |||||||||
2014 | $ | 3,881 | $ | 299 | |||||
2015 | 4,043 | 186 | |||||||
2016 | 2,250 | 132 | |||||||
2017 | 2,189 | 7 | |||||||
2018 | 2,069 | - | |||||||
Thereafter | 4,291 | - | |||||||
$ | 18,723 | $ | 624 |
SHAREHOLDERS_EQUITY_Tables
SHAREHOLDERS' EQUITY (Tables) | 12 Months Ended | ||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||
SHAREHOLDERS' EQUITY [Abstract] | ' | ||||||||||||||||||
Composition of Shares Capital | ' | ||||||||||||||||||
Composition of shares capital of the Company: | |||||||||||||||||||
31-Dec-12 | 31-Dec-13 | ||||||||||||||||||
Authorized | Issued and outstanding | Authorized | Issued and outstanding | ||||||||||||||||
Number of shares | |||||||||||||||||||
Ordinary shares of ILS 0.01 par value each | 21,055,626 | 6,926,403 | 500,000,000 | 37,493,217 | |||||||||||||||
Preferred A shares | 902,669 | 902,669 | - | - | |||||||||||||||
Preferred B shares | 2,179,935 | 2,179,935 | - | - | |||||||||||||||
Preferred B1 shares | 1,408,550 | 1,408,550 | - | - | |||||||||||||||
Preferred C shares | 913,861 | 913,861 | - | - | |||||||||||||||
Preferred D shares | 1,272,940 | 1,272,940 | - | - | |||||||||||||||
Preferred E shares | 1,303,503 | 1,025,227 | - | - | |||||||||||||||
29,037,084 | 14,629,585 | 500,000,000 | 37,493,217 | ||||||||||||||||
Total Share-Based Compensation Expense | ' | ||||||||||||||||||
The total share-based compensation expense related to all of the Company's equity-based awards, recognized for the years ended December 31, 2011, 2012 and 2013 was comprised as follows: | |||||||||||||||||||
Year ended | |||||||||||||||||||
December 31, | |||||||||||||||||||
2011 | 2012 | 2013 | |||||||||||||||||
Cost of revenues | $ | 40 | $ | 105 | $ | 490 | |||||||||||||
Research and development | 1,939 | 553 | 3,149 | ||||||||||||||||
Sales and marketing | 222 | 101 | 1,185 | ||||||||||||||||
General and administrative | 2,532 | 261 | 2,230 | ||||||||||||||||
Total share-based compensation expense | $ | 4,733 | $ | 1,020 | $ | 7,054 | |||||||||||||
The total equity-based compensation expense related to all of the Company's employees and non-employees consultants recognized for the years ended December 31, 2011, 2012 and 2013, was comprised as follows: | |||||||||||||||||||
Year ended | |||||||||||||||||||
December 31, | |||||||||||||||||||
2011 | 2012 | 2013 | |||||||||||||||||
Employees | $ | 4,692 | $ | 950 | $ | 6,573 | |||||||||||||
Non-employees consultants | 41 | 70 | 481 | ||||||||||||||||
Total share-based compensation expense | $ | 4,733 | $ | 1,020 | $ | 7,054 | |||||||||||||
Schedule of Stock Options Granted to Employees Activity | ' | ||||||||||||||||||
A summary of the activity in options granted to employees for the years ended December 31, 2011, 2012 and 2013 is as follows: | |||||||||||||||||||
Amount | Weighted | Weighted | Aggregate | ||||||||||||||||
of | average | average | intrinsic value | ||||||||||||||||
options | exercise | remaining contractual term | |||||||||||||||||
price | (in years) | ||||||||||||||||||
Balance as of December 31, 2012 | 6,285,630 | $ | 0.6 | 7.82 | $ | 32,671 | |||||||||||||
Granted | 5,978,099 | $ | 4.44 | ||||||||||||||||
Exercised | (1,064,689 | ) | $ | 0.41 | |||||||||||||||
Forfeited | (275,871 | ) | $ | 2.13 | |||||||||||||||
Balance as of December 31, 2013 | 10,923,169 | $ | 2.68 | 8.35 | $ | 263,982 | |||||||||||||
Exercisable as of December 31, 2013 | 4,536,643 | $ | 0.66 | 7.01 | $ | 118.818 | |||||||||||||
Vested and expected to vest as of December 31, 2013 | 10,284,516 | $ | 2.59 | 8.29 | $ | 249,466 | |||||||||||||
Schedule of Stock Option Valuation Assumptions - Compensation to Employees | ' | ||||||||||||||||||
The following table set forth the parameters used in computation of the options compensation to employees for the years ended December 31, 2011, 2012 and 2013: | |||||||||||||||||||
Year ended | |||||||||||||||||||
December 31, | |||||||||||||||||||
2011 | 2012 | 2013 | |||||||||||||||||
Expected volatility | 65 | % | 70 | % | 58%-65 | % | |||||||||||||
Expected dividends | 0 | % | 0 | % | 0 | % | |||||||||||||
Expected term (in years) | 6.11 | 6.11 | 1.6-6.2 | ||||||||||||||||
Risk free rate | 1.7%-2.3 | % | 1%-1.6 | % | 0.2%-2.6 | % | |||||||||||||
Summary of Options Data | ' | ||||||||||||||||||
A summary of options data for the years ended December 31, 2011, 2012 and 2013, is as follows: | |||||||||||||||||||
Year ended | |||||||||||||||||||
December 31, | |||||||||||||||||||
2011 | 2012 | 2013 | |||||||||||||||||
Weighted-average grant date fair value of options granted | $ | 0.71 | $ | 2.17 | $ | 8.8 | |||||||||||||
Total intrinsic value of the options exercised | $ | 1,414 | $ | 723 | $ | 28,151 | |||||||||||||
Total fair value of shares vested | $ | 517 | $ | 835 | $ | 5,118 | |||||||||||||
Schedule of Options Outstanding and Exercisable | ' | ||||||||||||||||||
The following tables summarize information about the Company's outstanding and exercisable options granted to employees as of December 31, 2013: | |||||||||||||||||||
Exercise price | Options outstanding as of | Weighted average remaining | Options exercisable as of December 31, | Weighted average remaining | |||||||||||||||
December 31, 2013 | contractual term | 2013 | contractual term | ||||||||||||||||
(years) | (years) | ||||||||||||||||||
0.003 | 2,724,912 | 9.55 | 191,188 | 9.55 | |||||||||||||||
0.16 | 329,195 | 5.12 | 329,195 | 5.12 | |||||||||||||||
0.3 | 52,924 | 3.75 | 52,924 | 3.75 | |||||||||||||||
0.33 | 2,956,163 | 6.78 | 2,790,580 | 6.78 | |||||||||||||||
0.67 | 712,176 | 7.1 | 533,210 | 7.09 | |||||||||||||||
1.05 | 539,238 | 7.85 | 288,588 | 7.83 | |||||||||||||||
2.33 | 54,000 | 9.92 | - | - | |||||||||||||||
2.34 | 1,113,009 | 8.88 | 270,975 | 8.66 | |||||||||||||||
5.8 | 66,000 | 9.53 | - | - | |||||||||||||||
7.33 | 1,591,470 | 9.54 | 52,781 | 9.56 | |||||||||||||||
10.12 | 231,000 | 9.66 | 21,750 | 9.66 | |||||||||||||||
16.5 | 98,132 | 9.79 | 5,452 | 9.79 | |||||||||||||||
18.48 | 439,950 | 9.92 | - | - | |||||||||||||||
22.07 | 15,000 | 9.92 | - | ||||||||||||||||
10,923,169 | 8.35 | 4,536,643 | 7.01 | ||||||||||||||||
Schedule Stock Options Outstanding and Exercisable to Non-Employees | ' | ||||||||||||||||||
The following table summarizes information about the Company's outstanding and exercisable options to purchase Ordinary shares granted to non-employees consultants as of December 31, 2013: | |||||||||||||||||||
Options | |||||||||||||||||||
outstanding | Exercisable | ||||||||||||||||||
as of | as of | ||||||||||||||||||
Issuance | December 31, | Exercise | December 31, | Exercisable | |||||||||||||||
date | 2013 | price | 2013 | Through | |||||||||||||||
9-Sep-07 | 5,293 | $ | 0.3 | 5,293 | 9-Sep-17 | ||||||||||||||
21-Nov-08 | 3,570 | $ | 0.16 | 3,570 | 21-Nov-18 | ||||||||||||||
12-May-09 | 6,750 | $ | 0.16 | 6,750 | 12-May-19 | ||||||||||||||
25-Jan-11 | 33,000 | $ | 0.67 | 24,938 | 25-Jan-21 | ||||||||||||||
9-Jan-13 | 5,400 | $ | 2.34 | 5,400 | 9-Jan-23 | ||||||||||||||
13-Feb-13 | 10,000 | $ | 2.34 | 10,000 | 13-Feb-23 | ||||||||||||||
64,013 | 55,951 | ||||||||||||||||||
Schedule of Stock Option Valuation Assumptions - Non-Employees | ' | ||||||||||||||||||
The following table set forth the parameters used in computation of the options compensation to non-employees consultants for the years ended December 31, 2011, 2012 and 2013: | |||||||||||||||||||
Year ended | |||||||||||||||||||
December 31, | |||||||||||||||||||
2011 | 2012 | 2013 | |||||||||||||||||
Expected volatility | 65 | % | 70 | % | 65 | % | |||||||||||||
Expected dividends | 0 | % | 0 | % | 0 | % | |||||||||||||
Expected term (in years) | 10-Jul | 10-Jul | 10-Jun | ||||||||||||||||
Risk free rate | 1.4%-2.8 | % | 1.8%-2.9 | % | 0.86%-2.45 | % | |||||||||||||
Schedule of Restricted Stock Unit Activity | ' | ||||||||||||||||||
A summary of RSU activity for the year ended December 31, 2013, is as follows: | |||||||||||||||||||
Number | Weighted | ||||||||||||||||||
of | average | ||||||||||||||||||
shares | grant date | ||||||||||||||||||
fair value | |||||||||||||||||||
Unvested as of December 31, 2012 | - | $ | - | ||||||||||||||||
Granted | 122,668 | $ | 16.5 | ||||||||||||||||
Unvested as of December 31, 2013 | 122,668 | $ | 16.5 |
INCOME_TAXES_Tables
INCOME TAXES (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
INCOME TAXES [Abstract] | ' | ||||||||||||
Schedule of Income (Loss) before Taxes on Income | ' | ||||||||||||
Income (loss) before taxes on income is comprised as follows: | |||||||||||||
Year ended December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
Domestic | $ | (22,758 | ) | $ | (15,652 | ) | $ | (31,555 | ) | ||||
Foreign | 230 | 1,176 | 4,407 | ||||||||||
Loss before taxes on income | $ | (22,528 | ) | $ | (14,476 | ) | $ | (27,148 | ) | ||||
Schedule of Deferred Income Taxes | ' | ||||||||||||
Significant components of the Company's deferred tax assets and liabilities are as follows: | |||||||||||||
Year ended | |||||||||||||
December 31, | |||||||||||||
2012 | 2013 | ||||||||||||
Deferred tax assets: | |||||||||||||
Net operating loss carry-forwards | $ | 9,276 | $ | 14,083 | |||||||||
Capital losses carry-forwards | 48 | 52 | |||||||||||
Research and development expenses | 3,738 | 5,856 | |||||||||||
Tax credit carry-forwards | 115 | 148 | |||||||||||
Other | 304 | 740 | |||||||||||
Deferred tax assets before valuation allowance | 13,481 | 20,879 | |||||||||||
Valuation allowance | (13,366 | ) | (20,678 | ) | |||||||||
Deferred tax asset | $ | 115 | $ | 201 | |||||||||
Deferred tax liabilities: | |||||||||||||
Fixed assets | $ | 56 | $ | 126 | |||||||||
Deferred tax liabilities | $ | 56 | $ | 126 | |||||||||
Schedule of Income Taxes | ' | ||||||||||||
Income taxes are comprised as follows: | |||||||||||||
Year ended | |||||||||||||
December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
Current | $ | 226 | $ | 567 | $ | 1,588 | |||||||
Deferred | (14 | ) | (71 | ) | (16 | ) | |||||||
$ | 212 | $ | 496 | $ | 1,572 | ||||||||
Year ended | |||||||||||||
December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
Domestic | $ | 63 | $ | 105 | $ | 321 | |||||||
Foreign | 149 | 391 | 1,251 | ||||||||||
$ | 212 | $ | 496 | $ | 1,572 | ||||||||
Reconciliation of Effective Tax Rate to Statutory Rate | ' | ||||||||||||
A reconciliation of the Company's theoretical income tax expense to actual income tax expense as follows: | |||||||||||||
Year ended | |||||||||||||
December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
Loss before taxes on income | $ | (22,528 | ) | $ | (14,476 | ) | $ | (27,148 | ) | ||||
Statutory tax rate | 24 | % | 25 | % | 25 | % | |||||||
Theoretical income tax expense | (5,407 | ) | (3,619 | ) | (6,787 | ) | |||||||
Utilization of tax losses and deferred taxes for which valuation allowance was provided, net | 4,721 | 3,558 | 7,312 | ||||||||||
Deferred taxes on losses for which valuation allowance was provided, net | (416 | ) | (146 | ) | (2,075 | ) | |||||||
Non-deductible option expenses | 1,127 | 238 | 1,899 | ||||||||||
Non-deductible expenses | 73 | 46 | 94 | ||||||||||
Tax adjustment in respect of different tax rate of foreign subsidiary | 223 | 305 | 975 | ||||||||||
Taxes in respect of prior years | (74 | ) | - | - | |||||||||
Other | (35 | ) | 114 | 154 | |||||||||
Income tax expense | $ | 212 | $ | 496 | $ | 1,572 |
FINANCIAL_INCOME_EXPENSES_NET_
FINANCIAL INCOME (EXPENSES), NET (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
FINANCIAL INCOME (EXPENSES), NET [Abstract] | ' | ||||||||||||
Schedule of Financial Income (Expenses), Net | ' | ||||||||||||
Year ended | |||||||||||||
December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
Bank charges | $ | (24 | ) | $ | (28 | ) | $ | (62 | ) | ||||
Income (expenses) related to hedging activity | (239 | ) | 485 | (102 | ) | ||||||||
Interest expenses | - | - | (262 | ) | |||||||||
Share based compensation related to warrants granted in connection with credit line | - | - | (273 | ) | |||||||||
Exchange rate loss | - | (24 | ) | (58 | ) | ||||||||
Total income (expenses) | (263 | ) | 433 | (757 | ) | ||||||||
Interest income | 147 | 54 | 154 | ||||||||||
Exchange rate gain | 75 | - | - | ||||||||||
Total financial income | 222 | 54 | 154 | ||||||||||
Total financial income (expenses), net | $ | (41 | ) | $ | 487 | $ | (603 | ) |
BASIC_AND_DILUTED_NET_LOSS_PER1
BASIC AND DILUTED NET LOSS PER SHARE (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
BASIC AND DILUTED NET LOSS PER SHARE [Abstract] | ' | ||||||||||||
Schedule of Basic and Diluted Net Loss Per Share | ' | ||||||||||||
Year ended | |||||||||||||
December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
Numerator: | |||||||||||||
Net loss | $ | (22,740 | ) | $ | (14,972 | ) | $ | (28,720 | ) | ||||
Dividends accumulated for the period (*) | (30,091 | ) | (3,511 | ) | (2,964 | ) | |||||||
Net loss available to shareholders of Ordinary shares | $ | (52,831 | ) | $ | (18,483 | ) | $ | (31,684 | ) | ||||
Denominator: | |||||||||||||
Shares used in computing net loss per Ordinary shares, basic and diluted | 6,355,428 | 6,822,720 | 11,597,826 | ||||||||||
(*) | Includes also consideration received by the Company for the issuance of Series E preferred share for the year ended December 31, 2011. |
SEGMENTS_CUSTOMERS_AND_GEOGRAP1
SEGMENTS, CUSTOMERS AND GEOGRAPHIC INFORMATION (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
SEGMENTS, CUSTOMERS AND GEOGRAPHIC INFORMATION [Abstract] | ' | ||||||||||||
Schedule of Revenues by Geographical Areas | ' | ||||||||||||
Revenues: | |||||||||||||
Year ended | |||||||||||||
December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
North America | $ | 16,354 | $ | 26,280 | $ | 43,713 | |||||||
Europe | 4,424 | 9,073 | 19,413 | ||||||||||
Latin America | 1,561 | 4,260 | 8,909 | ||||||||||
Asia and others | 2,261 | 4,063 | 8,438 | ||||||||||
$ | 24,600 | $ | 43,676 | $ | 80,473 | ||||||||
Schedule of Long-lived Assets by Geographical Areas | ' | ||||||||||||
Long-lived assets: | |||||||||||||
December 31, | |||||||||||||
2012 | 2013 | ||||||||||||
North America | $ | 194 | $ | 307 | |||||||||
Europe | - | 12 | |||||||||||
Latin America | - | - | |||||||||||
Asia and others | 2,088 | 3,912 | |||||||||||
$ | 2,282 | $ | 4,231 |
GENERAL_Details
GENERAL (Details) (IPO [Member], USD $) | 1 Months Ended |
In Thousands, except Share data, unless otherwise specified | Nov. 30, 2013 |
IPO [Member] | ' |
Sale of Stock [Line Items] | ' |
Proceeds from stock issuance, IPO | $93,564 |
Issuance of Ordinary Shares in IPO, net, shares | 5,712,446 |
Sale of stock, price per share | $16.50 |
Underwriting discounts and commissions | 7,306 |
Other offering expense | $3,506 |
SIGNIFICANT_ACCOUNTING_POLICIE3
SIGNIFICANT ACCOUNTING POLICIES (Narrative) (Details) (USD $) | 12 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Outstanding stock options and warrants excluded from calculation of diluted net loss per ordinary share | 14,913,523 | 14,085,718 | 13,758,838 |
Advertising expense | $40,994 | $21,473 | $15,914 |
Severance pay expenses | 1,727 | 1,117 | 881 |
Severance pay rate | 8.33% | ' | ' |
Restricted deposits, weighted average interest rate | 0.22% | 0.38% | ' |
Maximium plan contribution, percent of annual salary | 100.00% | ' | ' |
Maximum annual contribution to plan, per employee | 17 | ' | ' |
Employer matching contribution, percent of employee's contribution | 4.00% | ' | ' |
Defined contribution plan expenses | 71 | 41 | ' |
Income (expenses) related to hedging activity | -102 | 485 | -239 |
Comprehensive income (loss): | ' | ' | ' |
Foreign currency translation differences | -296 | ' | ' |
Accumulated income on derivative | 33 | ' | ' |
Other comprehensive loss for the period | -263 | ' | ' |
Designated as Hedging Instrument [Member] | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Derivative notional amount | 11,997 | ' | ' |
Comprehensive income (loss): | ' | ' | ' |
Accumulated income on derivative | 33 | ' | ' |
Not Designated as Hedging Instrument [Member] | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Foreign currency derivative assets, fair value | 160 | ' | ' |
Foreign currency derivative liabilities, fair value | 474 | ' | ' |
Foreign currency derivative fair value, net | 314 | 436 | ' |
Not Designated as Hedging Instrument [Member] | Foreign Exchange Forward [Member] | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Derivative notional amount | 18,818 | ' | ' |
Not Designated as Hedging Instrument [Member] | Option Contracts [Member] | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Derivative notional amount | 1,400 | ' | ' |
Certain employees over 50 years of age [Member] | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Maximum annual contribution to plan, per employee | $22 | ' | ' |
SIGNIFICANT_ACCOUNTING_POLICIE4
SIGNIFICANT ACCOUNTING POLICIES (Schedule Of Property Plant And Equipment Estimated Useful Lives) (Details) | 12 Months Ended |
Dec. 31, 2013 | |
Leasehold improvements [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Depreciation rate, description | 'Over the shorter of the related lease period or the life of the asset |
Maximum [Member] | Computers, peripheral equipment and electronic equipment [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Annual depreciation rate | 33.00% |
Maximum [Member] | Office furniture and equipment [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Annual depreciation rate | 14.00% |
Minimum [Member] | Computers, peripheral equipment and electronic equipment [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Annual depreciation rate | 15.00% |
Minimum [Member] | Office furniture and equipment [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Annual depreciation rate | 6.00% |
PREPAID_EXPENSES_AND_OTHER_CUR2
PREPAID EXPENSES AND OTHER CURRENT ASSETS (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
PREPAID EXPENSES AND OTHER CURRENT ASSETS [Abstract] | ' | ' |
Government authorities | $600 | $207 |
Hedging transaction assets | 160 | 436 |
Prepaid expenses | 3,644 | 1,502 |
Other current assets | 326 | 151 |
Total prepaid expenses and other current assets | $4,730 | $2,296 |
PROPERTY_AND_EQUIPMENT_Details
PROPERTY AND EQUIPMENT (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Cost | $6,957 | $3,907 | ' |
Less accumulated depreciation | 2,726 | 1,625 | ' |
Depreciated cost | 4,231 | 2,282 | ' |
Depreciation | 1,229 | 871 | 592 |
Capital loss on disposal of property, plant and equipment assets | ' | ' | 127 |
Leasehold improvements [Member] | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Cost | 4,230 | 2,219 | ' |
Computers, peripheral equipment and electronic equipment [Member] | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Cost | 2,245 | 1,424 | ' |
Office furniture and equipment [Member] | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Cost | $482 | $264 | ' |
ACCRUED_EXPENSES_AND_OTHER_CUR2
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES [Abstract] | ' | ' |
Accrued expenses | $5,303 | $3,162 |
Hedging transaction liability | 474 | ' |
Deferred tax liability | 126 | 56 |
Total accrued expenses and other current liabilities | $5,903 | $3,218 |
CREDIT_LINE_Details
CREDIT LINE (Details) (USD $) | 12 Months Ended | 1 Months Ended | 12 Months Ended | |||||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Nov. 30, 2013 | Jul. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 |
Credit Line [Member] | Credit Line [Member] | Credit Line [Member] | Credit Line [Member] | Credit Line [Member] | ||||
Warrant [Member] | Warrant [Member] | |||||||
Series E Preferred Stock [Member] | Common Stock [Member] | |||||||
Line of Credit Facility [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Credit facility, initiation date | ' | ' | ' | ' | ' | 24-Jun-13 | ' | ' |
Credit facility, maximum borrowing amount | ' | ' | ' | ' | ' | $10,000 | ' | ' |
Credit facility, expiration date | ' | ' | ' | ' | ' | 31-Dec-14 | ' | ' |
Debt instrument, variable interest reference rate | ' | ' | ' | ' | ' | 'Prime Rate | ' | ' |
Debt instrument, spread on variable reference rate | ' | ' | ' | ' | ' | 2.25% | ' | ' |
Credit facility, commitment fee percentage | ' | ' | ' | ' | ' | 0.40% | ' | ' |
Proceeds from Credit line utilization | 5,000 | ' | ' | ' | 5,000 | ' | ' | ' |
Repayment of line of credit | $5,000 | ' | ' | $5,000 | ' | ' | ' | ' |
Number of shares called by warrants | ' | ' | ' | ' | ' | ' | 9,766 | 29,298 |
Exercise price of warrants | ' | ' | ' | ' | ' | ' | 20.48 | 6.83 |
Exercisable term | ' | ' | ' | ' | ' | ' | '7 years | ' |
COMMITMENTS_AND_CONTINGENT_LIA2
COMMITMENTS AND CONTINGENT LIABILITIES (Narrative) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Commitments And Contingencies [Line Items] | ' | ' | ' |
Rent expense | $2,008 | $1,376 | $869 |
Guarantee obligation amount | 2,969 | ' | ' |
Motor Vehicles [Member] | ' | ' | ' |
Commitments And Contingencies [Line Items] | ' | ' | ' |
Rent expense | $312 | $272 | $185 |
COMMITMENTS_AND_CONTINGENT_LIA3
COMMITMENTS AND CONTINGENT LIABILITIES (Schedule of Minimum Future Rentals of Premises under Operating Leases) (Details) (USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Rental of premises [Member] | ' |
Other Commitments [Line Items] | ' |
2014 | $3,881 |
2015 | 4,043 |
2016 | 2,250 |
2017 | 2,189 |
2018 | 2,069 |
Thereafter | 4,291 |
Future minimum rentals | 18,723 |
Vehicles [Member] | ' |
Other Commitments [Line Items] | ' |
2014 | 299 |
2015 | 186 |
2016 | 132 |
2017 | 7 |
2018 | ' |
Thereafter | ' |
Future minimum rentals | $624 |
SHAREHOLDERS_EQUITY_Compositio
SHAREHOLDERS' EQUITY (Composition of Shares Capital) (Details) (ILS) | Dec. 31, 2013 | Dec. 31, 2012 |
Class of Stock [Line Items] | ' | ' |
Ordinary shares, Authorized | 500,000,000 | 21,055,626 |
Ordinary shares, Issued | 37,493,217 | 6,926,403 |
Ordinary shares, Outstanding | 37,493,217 | 6,926,403 |
Preferred shares, Authorized | 0 | 7,981,458 |
Preferred shares, Issued | 0 | 7,703,182 |
Preferred shares, Outstanding | 0 | 7,703,182 |
Share capital, Authorized | 500,000,000 | 29,037,084 |
Share capital, Issued and outstanding | 37,493,217 | 14,629,585 |
Ordinary shares, par value | 0.01 | 0.01 |
Preferred A shares [Member] | ' | ' |
Class of Stock [Line Items] | ' | ' |
Preferred shares, Authorized | ' | 902,669 |
Preferred shares, Issued | ' | 902,669 |
Preferred shares, Outstanding | ' | 902,669 |
Preferred B shares [Member] | ' | ' |
Class of Stock [Line Items] | ' | ' |
Preferred shares, Authorized | ' | 2,179,935 |
Preferred shares, Issued | ' | 2,179,935 |
Preferred shares, Outstanding | ' | 2,179,935 |
Preferred B1 shares [Member] | ' | ' |
Class of Stock [Line Items] | ' | ' |
Preferred shares, Authorized | ' | 1,408,550 |
Preferred shares, Issued | ' | 1,408,550 |
Preferred shares, Outstanding | ' | 1,408,550 |
Preferred C shares [Member] | ' | ' |
Class of Stock [Line Items] | ' | ' |
Preferred shares, Authorized | ' | 913,861 |
Preferred shares, Issued | ' | 913,861 |
Preferred shares, Outstanding | ' | 913,861 |
Preferred D shares [Member] | ' | ' |
Class of Stock [Line Items] | ' | ' |
Preferred shares, Authorized | ' | 1,272,940 |
Preferred shares, Issued | ' | 1,272,940 |
Preferred shares, Outstanding | ' | 1,272,940 |
Preferred E shares [Member] | ' | ' |
Class of Stock [Line Items] | ' | ' |
Preferred shares, Authorized | ' | 1,303,503 |
Preferred shares, Issued | ' | 1,025,227 |
Preferred shares, Outstanding | ' | 1,025,227 |
SHAREHOLDERS_EQUITY_Narrative_
SHAREHOLDERS' EQUITY (Narrative) (Details) (USD $) | 12 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | ||||||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Nov. 30, 2013 | Nov. 30, 2013 | Dec. 31, 2013 | Nov. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Mar. 31, 2011 |
IPO [Member] | IPO [Member] | IPO [Member] | IPO [Member] | Employee Stock Option [Member] | Employee Shares Incentive Plan ("the Plan") [Member] | Preferred E shares [Member] | ||||
Shareholders [Member] | Underwriters [Member] | Underwriters [Member] | Employee Stock Option [Member] | |||||||
Stockholders Equity Note [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Exercise of options, shares | ' | ' | ' | ' | ' | 613,340 | ' | 1,064,689 | ' | ' |
Proceeds from stock issuance, IPO | ' | ' | ' | $93,564 | ' | ' | ' | ' | ' | ' |
Sale of stock, price per share | ' | ' | ' | $16.50 | ' | ' | ' | ' | ' | ' |
Shares issued during period, number of shares | ' | ' | ' | 5,712,446 | 1,987,554 | ' | ' | ' | ' | 1,025,227 |
Shares issued, price per share | ' | ' | ' | $16.50 | ' | ' | $16.50 | ' | ' | ' |
Underwriting discounts and commissions | ' | ' | ' | 7,306 | ' | ' | ' | ' | ' | ' |
Shares issued during period, total consideration | 93,564 | ' | ' | ' | ' | ' | ' | ' | ' | 20,855 |
Other offering expense | ' | ' | ' | 3,506 | ' | ' | ' | ' | ' | ' |
Stock issuance costs | ' | ' | ' | ' | ' | ' | ' | ' | ' | 145 |
Options granted | ' | ' | ' | ' | ' | ' | ' | 5,978,099 | ' | ' |
Shares available for future grant | ' | ' | ' | ' | ' | ' | ' | ' | 1,025,508 | ' |
Number of shares purchasable by option. | ' | ' | ' | ' | ' | ' | 1,155,000 | ' | ' | ' |
Total value of options granted to underwriters. | ' | ' | ' | ' | ' | ' | 1,054 | ' | ' | ' |
Compensation expense related to issuance of warrants | 273 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unrecognized compensation cost | 50,271 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted-average period for unrecognized compensation cost to be recognized | '4 years 5 months 5 days | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share-based compensation expenses related to shares purchased by related party | ' | ' | $4,058 | ' | ' | ' | ' | ' | ' | ' |
Fair value of an ordinary share | $26.85 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
SHAREHOLDERS_EQUITY_Schedule_o
SHAREHOLDERS' EQUITY (Schedule of Stock-Based Compensation) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Stock-based compensation related to options and shares issued to employees and others | $7,054 | $1,020 | $4,733 |
Employees [Member] | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Stock-based compensation related to options and shares issued to employees and others | 6,573 | 950 | 4,692 |
Non-Employees [Member] | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Stock-based compensation related to options and shares issued to employees and others | 481 | 70 | 41 |
Cost of Revenues [Member] | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Stock-based compensation related to options and shares issued to employees and others | 490 | 105 | 40 |
Research and Development [Member] | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Stock-based compensation related to options and shares issued to employees and others | 3,149 | 553 | 1,939 |
Selling and Marketing [Member] | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Stock-based compensation related to options and shares issued to employees and others | 1,185 | 101 | 222 |
General and Administrative [Member] | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Stock-based compensation related to options and shares issued to employees and others | $2,230 | $261 | $2,532 |
SHAREHOLDERS_EQUITY_Summary_Of
SHAREHOLDERS' EQUITY (Summary Of Employee Options Activity) (Details) (Employee Stock Options [Member], USD $) | 12 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Employee Stock Options [Member] | ' | ' |
Number of options | ' | ' |
Outstanding, balance | 6,285,630 | ' |
Granted | 5,978,099 | ' |
Exercised | -1,064,689 | ' |
Forfeited | -275,871 | ' |
Outstanding, balance | 10,923,169 | 6,285,630 |
Options vested and expected to vest at the end of the year | 10,284,516 | ' |
Exercisable options at the end of the year | 4,636,643 | ' |
Weighted average exercise price | ' | ' |
Outstanding, weighted average exercise price | $0.60 | ' |
Granted, weighted average exercise price | $4.44 | ' |
Exercised, weighted average exercise price | $0.41 | ' |
Forfeited, weighted average exercise price | $2.13 | ' |
Outstanding, weighted average exercise price | $2.68 | $0.60 |
Options vested and expected to vest at the end of the year | $2.59 | ' |
Exercisable, weighted average exercise price | $0.66 | ' |
Additional Disclosures | ' | ' |
Outstanding, weighted average remaining contractual term | '8 years 4 months 6 days | '7 years 9 months 26 days |
Exercisable, weighted average remaining contractual term | '7 years 4 days | ' |
Options vested and expected to vest, weighted average remaining contractual term | '8 years 3 months 15 days | ' |
Outstanding at the beginning of the year, aggregate intrinsic value | $32,671 | ' |
Outstanding at the end of the year, aggregate intrinsic value | 263,982 | 32,671 |
Options vested and expected to vest at the end of the year, aggregate intrinsic value | 249,466 | ' |
Exercisable, aggregate intrinsic value | $118,818 | ' |
SHAREHOLDERS_EQUITY_Schedule_o1
SHAREHOLDERS' EQUITY (Schedule of Stock Option Valuation Assumptions) (Details) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Employee Stock Option [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Expected volatility, minimum | 58.00% | ' | ' |
Expected volatility | ' | 70.00% | 65.00% |
Expected volatility, maximum | 65.00% | ' | ' |
Expected dividends | 0.00% | 0.00% | 0.00% |
Expected term | ' | '6 years 1 month 10 days | '6 years 1 month 10 days |
Risk free rate, minimum | 0.20% | 1.00% | 1.70% |
Risk free rate, maximum | 2.60% | 1.60% | 2.30% |
Employee Stock Option [Member] | Minimum [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Expected term | '1 year 7 months 6 days | ' | ' |
Employee Stock Option [Member] | Maximum [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Expected term | '6 years 2 months 12 days | ' | ' |
Non-Employee Stock Option [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Expected volatility | 65.00% | 70.00% | 65.00% |
Expected dividends | 0.00% | 0.00% | 0.00% |
Risk free rate, minimum | 0.86% | 1.80% | 1.40% |
Risk free rate, maximum | 2.45% | 2.90% | 2.80% |
Non-Employee Stock Option [Member] | Minimum [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Expected term | '6 years | '7 years | '7 years |
Non-Employee Stock Option [Member] | Maximum [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Expected term | '10 years | '10 years | '10 years |
Recovered_Sheet1
SHAREHOLDERS' EQUITY (Summary of Options Data) (Details) (Employee Stock Option [Member], USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Employee Stock Option [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Weighted-average grant date fair value of options granted | $8.80 | $2.17 | $0.71 |
Total intrinsic value of the options exercised | $28,151 | $723 | $1,414 |
Total fair value of share vested | $5,118 | $835 | $517 |
Recovered_Sheet2
SHAREHOLDERS' EQUITY (Schedule Of Options Outstanding and Exercisable by Exercise Price) (Details) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' |
Options Outstanding | 10,923,169 | 6,285,630 |
Weighted average remaining contractual life | '8 years 4 months 6 days | ' |
Number of exercisable options outstanding | 4,536,643 | ' |
Weighted average remainging contractual life of options | '7 years 4 days | ' |
Employee Stock Options [Member] | $0.003 [Member] | ' | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' |
Exercise price per share | 0.003 | ' |
Options Outstanding | 2,724,912 | ' |
Weighted average remaining contractual life | '9 years 6 months 18 days | ' |
Number of exercisable options outstanding | 191,188 | ' |
Weighted average remainging contractual life of options | '9 years 6 months 18 days | ' |
Employee Stock Options [Member] | $0.16 [Member] | ' | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' |
Exercise price per share | 0.16 | ' |
Options Outstanding | 329,195 | ' |
Weighted average remaining contractual life | '5 years 1 month 13 days | ' |
Number of exercisable options outstanding | 329,195 | ' |
Weighted average remainging contractual life of options | '5 years 1 month 13 days | ' |
Employee Stock Options [Member] | $0.30 [Member] | ' | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' |
Exercise price per share | 0.3 | ' |
Options Outstanding | 52,924 | ' |
Weighted average remaining contractual life | '3 years 9 months | ' |
Number of exercisable options outstanding | 52,924 | ' |
Weighted average remainging contractual life of options | '3 years 9 months | ' |
Employee Stock Options [Member] | $0.33 [Member] | ' | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' |
Exercise price per share | 0.33 | ' |
Options Outstanding | 2,956,163 | ' |
Weighted average remaining contractual life | '6 years 9 months 11 days | ' |
Number of exercisable options outstanding | 2,790,580 | ' |
Weighted average remainging contractual life of options | '6 years 9 months 11 days | ' |
Employee Stock Options [Member] | $0.67 [Member] | ' | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' |
Exercise price per share | 0.67 | ' |
Options Outstanding | 712,176 | ' |
Weighted average remaining contractual life | '7 years 1 month 6 days | ' |
Number of exercisable options outstanding | 533,210 | ' |
Weighted average remainging contractual life of options | '7 years 1 month 2 days | ' |
Employee Stock Options [Member] | $1.05 [Member] | ' | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' |
Exercise price per share | 1.05 | ' |
Options Outstanding | 539,238 | ' |
Weighted average remaining contractual life | '7 years 10 months 6 days | ' |
Number of exercisable options outstanding | 288,588 | ' |
Weighted average remainging contractual life of options | '7 years 9 months 29 days | ' |
Employee Stock Options [Member] | $2.33 [Member] | ' | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' |
Exercise price per share | 2.33 | ' |
Options Outstanding | 54,000 | ' |
Weighted average remaining contractual life | '9 years 11 months 1 day | ' |
Number of exercisable options outstanding | ' | ' |
Weighted average remainging contractual life of options | ' | ' |
Employee Stock Options [Member] | $2.34 [Member] | ' | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' |
Exercise price per share | 2.34 | ' |
Options Outstanding | 1,113,009 | ' |
Weighted average remaining contractual life | '8 years 10 months 17 days | ' |
Number of exercisable options outstanding | 270,975 | ' |
Weighted average remainging contractual life of options | '8 years 7 months 28 days | ' |
Employee Stock Options [Member] | $5.80 [Member] | ' | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' |
Exercise price per share | 5.8 | ' |
Options Outstanding | 66,000 | ' |
Weighted average remaining contractual life | '9 years 6 months 11 days | ' |
Number of exercisable options outstanding | ' | ' |
Weighted average remainging contractual life of options | ' | ' |
Employee Stock Options [Member] | $7.33 [Member] | ' | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' |
Exercise price per share | 7.33 | ' |
Options Outstanding | 1,591,470 | ' |
Weighted average remaining contractual life | '9 years 6 months 15 days | ' |
Number of exercisable options outstanding | 52,781 | ' |
Weighted average remainging contractual life of options | '9 years 6 months 22 days | ' |
Employee Stock Options [Member] | $10.12 [Member] | ' | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' |
Exercise price per share | 10.12 | ' |
Options Outstanding | 231,000 | ' |
Weighted average remaining contractual life | '9 years 7 months 28 days | ' |
Number of exercisable options outstanding | 21,750 | ' |
Weighted average remainging contractual life of options | '9 years 7 months 28 days | ' |
Employee Stock Options [Member] | $16.5 [Member] | ' | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' |
Exercise price per share | 16.5 | ' |
Options Outstanding | 98,132 | ' |
Weighted average remaining contractual life | '9 years 9 months 15 days | ' |
Number of exercisable options outstanding | 5,452 | ' |
Weighted average remainging contractual life of options | '9 years 9 months 15 days | ' |
Employee Stock Options [Member] | $18.48 [Member] | ' | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' |
Exercise price per share | 18.48 | ' |
Options Outstanding | 439,950 | ' |
Weighted average remaining contractual life | '9 years 11 months 1 day | ' |
Number of exercisable options outstanding | ' | ' |
Weighted average remainging contractual life of options | ' | ' |
Employee Stock Options [Member] | $22.07 [Member] | ' | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' |
Exercise price per share | 22.07 | ' |
Options Outstanding | 15,000 | ' |
Weighted average remaining contractual life | '9 years 11 months 1 day | ' |
Number of exercisable options outstanding | ' | ' |
Weighted average remainging contractual life of options | ' | ' |
SHAREHOLDERS_EQUITY_Options_Gr
SHAREHOLDERS' EQUITY (Options Granted to Non-Employee Consultants) (Details) (Non-Employee Stock Option [Member], USD $) | 12 Months Ended |
Dec. 31, 2013 | |
September 9, 2007 [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Options outstanding | 5,293 |
Exercise price | $0.30 |
Exercisable | 5,293 |
Exercisable Through | 9-Sep-17 |
November 21, 2008 [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Options outstanding | 3,570 |
Exercise price | $0.16 |
Exercisable | 3,570 |
Exercisable Through | 21-Nov-18 |
May 12, 2009 [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Options outstanding | 6,750 |
Exercise price | $0.16 |
Exercisable | 6,750 |
Exercisable Through | 12-May-19 |
January 25, 2011 [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Options outstanding | 33,000 |
Exercise price | $0.67 |
Exercisable | 24,938 |
Exercisable Through | 25-Jan-21 |
January 9, 2013 [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Options outstanding | 5,400 |
Exercise price | $2.34 |
Exercisable | 5,400 |
Exercisable Through | 9-Jan-23 |
February 13, 2013 [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Options outstanding | 10,000 |
Exercise price | $2.34 |
Exercisable | 10,000 |
Exercisable Through | 13-Feb-23 |
SHAREHOLDERS_EQUITY_Schedule_o2
SHAREHOLDERS' EQUITY (Schedule of Restricted Stock Unit Activity) (Details) (Restricted Stock Units (RSUs) [Member], USD $) | 12 Months Ended |
Dec. 31, 2013 | |
Restricted Stock Units (RSUs) [Member] | ' |
Number of shares | ' |
Unvested as of December 31, 2012 | ' |
Granted | 122,668 |
Unvested as of December 31, 2013 | 122,668 |
Weighted average grant date fair value | ' |
Unvested as of December 31, 2012 | ' |
Granted | $16.50 |
Unvested as of December 31, 2013 | $16.50 |
INCOME_TAXES_Narrative_Details
INCOME TAXES (Narrative) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Income Tax Disclosure [Line Items] | ' | ' | ' |
Corporate income tax rate | 25.00% | 25.00% | 24.00% |
Operating loss carry-forwards | $55,440 | ' | ' |
Capital loss carry-forwards | 210 | ' | ' |
Export income threshold to achieve preferred enterprise status | 25.00% | ' | ' |
Amended corporate tax rate, 2011 & 2012 | 15.00% | ' | ' |
Amended corporate tax rate, 2013 & 2014 | 12.50% | ' | ' |
Amended corporate tax rate, 2015 and thereafter | 12.00% | ' | ' |
Israeli Tax Authority [Member] | ' | ' | ' |
Income Tax Disclosure [Line Items] | ' | ' | ' |
Operating loss carry-forwards | 54,050 | ' | ' |
Capital loss carry-forwards | 210 | ' | ' |
U.S. Tax Authority [Member] | ' | ' | ' |
Income Tax Disclosure [Line Items] | ' | ' | ' |
Operating loss carry-forwards | $1,390 | ' | ' |
Scenario, Forecast [Member] | ' | ' | ' |
Income Tax Disclosure [Line Items] | ' | ' | ' |
Corporate income tax rate | 26.50% | ' | ' |
Dividend tax rate | 20.00% | ' | ' |
Preferred Enterprise Status [Member] | ' | ' | ' |
Income Tax Disclosure [Line Items] | ' | ' | ' |
Corporate income tax rate | 16.00% | ' | ' |
Beneficiary Enterprise Status [Member] | ' | ' | ' |
Income Tax Disclosure [Line Items] | ' | ' | ' |
Income tax holiday, period of eligibility | '12 years | ' | ' |
Beneficiary Enterprise Status [Member] | Minimum [Member] | ' | ' | ' |
Income Tax Disclosure [Line Items] | ' | ' | ' |
Corporate income tax rate | 10.00% | ' | ' |
Income tax holiday, tax benefit period | '7 years | ' | ' |
Beneficiary Enterprise Status [Member] | Maximum [Member] | ' | ' | ' |
Income Tax Disclosure [Line Items] | ' | ' | ' |
Corporate income tax rate | 25.00% | ' | ' |
Income tax holiday, tax benefit period | '10 years | ' | ' |
INCOME_TAXES_Income_Loss_Befor
INCOME TAXES (Income (Loss) Before Taxes on Income) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
INCOME TAXES [Abstract] | ' | ' | ' |
Domestic | ($31,555) | ($15,652) | ($22,758) |
Foreign | 4,407 | 1,176 | 230 |
Loss before taxes on income | ($27,148) | ($14,476) | ($22,528) |
INCOME_TAXES_Deferred_Income_T
INCOME TAXES (Deferred Income Taxes) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Deferred tax assets: | ' | ' |
Net operating loss carry-forwards | $14,083 | $9,276 |
Capital losses carry-forwards | 52 | 48 |
Research and development expenses | 5,856 | 3,738 |
Tax credit carryforwards | 148 | 115 |
Other | 740 | 304 |
Deferred tax assets before valuation allowance | 20,879 | 13,481 |
Valuation allowance | -20,678 | -13,366 |
Deferred tax asset | 201 | 115 |
Deferred tax liabilities: | ' | ' |
Fixed assets | 126 | 56 |
Deferred tax liabilities | $126 | $56 |
INCOME_TAXES_Schedule_of_Curre
INCOME TAXES (Schedule of Current and Deferred Income Taxes) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
INCOME TAXES [Abstract] | ' | ' | ' |
Current | $1,588 | $567 | $226 |
Deferred | -16 | -71 | -14 |
Domestic | 321 | 105 | 63 |
Foreign | 1,251 | 391 | 149 |
Income tax expenses | $1,572 | $496 | $212 |
INCOME_TAXES_Reconciliation_of
INCOME TAXES (Reconciliation of Income Tax Expense) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
INCOME TAXES [Abstract] | ' | ' | ' |
Loss before taxes on income | ($27,148) | ($14,476) | ($22,528) |
Statutory tax rate | 25.00% | 25.00% | 24.00% |
Theoretical income tax expense | -6,787 | -3,619 | -5,407 |
Utilization of tax losses and deferred taxes for which valuation allowance was provided, net | 7,312 | 3,558 | 4,721 |
Deferred taxes on losses for which valuation allowance was provided, net | -2,075 | -146 | -416 |
Non-deductible option expenses | 1,899 | 238 | 1,127 |
Non-deductible expenses | 94 | 46 | 73 |
Tax adjustment in respect of different tax rate of foreign subsidiary | 975 | 305 | 223 |
Taxes in respect of prior years | ' | ' | -74 |
Other | 154 | 114 | -35 |
Income tax expenses | $1,572 | $496 | $212 |
FINANCIAL_INCOME_EXPENSES_NET_1
FINANCIAL INCOME (EXPENSES), NET (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
FINANCIAL INCOME (EXPENSES), NET [Abstract] | ' | ' | ' |
Bank charges | ($62) | ($28) | ($24) |
Income (expenses) related to hedging activity | -102 | 485 | -239 |
Interest expenses | -262 | ' | ' |
Share-based compensation expenses related to warrants granted in connection with credit line | -273 | ' | ' |
Exchange rate loss | -58 | -24 | ' |
Total income (expenses) | -757 | 433 | -263 |
Interest income | 154 | 54 | 147 |
Exchange rate gain | ' | ' | 75 |
Total financial income | 154 | 54 | 222 |
Total financial income (expenses), net | ($603) | $487 | ($41) |
BASIC_AND_DILUTED_NET_LOSS_PER2
BASIC AND DILUTED NET LOSS PER SHARE (Details) (USD $) | 12 Months Ended | |||||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |||
Numerator: | ' | ' | ' | |||
Net loss | ($28,720) | ($14,972) | ($22,740) | |||
Dividends accumulated for the period () | -2,964 | [1] | -3,511 | [1] | -30,091 | [1] |
Net loss available to shareholders of Ordinary shares | ($31,684) | ($18,483) | ($52,831) | |||
Denominator: | ' | ' | ' | |||
Shares used in computing net loss per Ordinary shares, basic and diluted | 11,597,826 | 6,822,720 | 6,355,428 | |||
[1] | Includes also consideration received by the Company for the issuance of Series E preferred share for the year ended December 31, 2011. |
SEGMENTS_CUSTOMERS_AND_GEOGRAP2
SEGMENTS, CUSTOMERS AND GEOGRAPHIC INFORMATION (Revenues by Geographical Areas from External Customers) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Revenues | $80,473 | $43,676 | $24,600 |
North America [Member] | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Revenues | 43,713 | 26,280 | 16,354 |
Europe [Member] | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Revenues | 19,413 | 9,073 | 4,424 |
Latin America [Member] | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Revenues | 8,909 | 4,260 | 1,561 |
Asia and others [Member] | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Revenues | $8,438 | $4,063 | $2,261 |
SEGMENTS_CUSTOMERS_AND_GEOGRAP3
SEGMENTS, CUSTOMERS AND GEOGRAPHIC INFORMATION (Schedule of Long-lived Assets by Geographical Areas) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Long lived assets | $4,231 | $2,282 |
North America [Member] | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Long lived assets | 307 | 194 |
Europe [Member] | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Long lived assets | 12 | ' |
Latin America [Member] | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Long lived assets | ' | ' |
Asia and others [Member] | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Long lived assets | $3,912 | $2,088 |
SUBSEQUENT_EVENTS_Details
SUBSEQUENT EVENTS (Details) (Subsequent Event [Member], USD $) | 1 Months Ended |
In Millions, unless otherwise specified | Feb. 28, 2014 |
Subsequent Event [Member] | ' |
Subsequent Event [Line Items] | ' |
Cash consideration for share capital | $1.30 |