CyberArk Software (CYBR) 20-F 15 Mar 18 2017 FY Annual report (foreign) Financial data

Document and Entity Information

Document and Entity Information	12 Months Ended
	Dec. 31, 2017shares
Document And Entity Information [Abstract]
Document Type	20-F
Amendment Flag	false
Document Period End Date	Dec. 31, 2017
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	FY
Trading Symbol	CYBR
Entity Registrant Name	CyberArk Software Ltd.
Entity Central Index Key	1,598,110
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	Yes
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding	35,274,888

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
CURRENT ASSETS:
Cash and cash equivalents	$ 161,261	$ 172,957
Short-term bank deposits	107,647	86,829
Marketable securities	34,025	15,246
Trade receivables (net of allowance for doubtful debt accounts of $23 and $113 at December 31, 2016 and 2017, respectively)	45,315	33,330
Prepaid expenses and other current assets	7,407	4,804
Total current assets	355,655	313,166
LONG-TERM ASSETS:
Property and equipment, net	9,230	4,760
Intangible assets, net	15,664	14,035
Goodwill	69,217	35,145
Marketable securities	27,407	20,443
Severance pay fund	3,692	3,332
Prepaid expenses and other long-term assets	2,368	1,761
Deferred tax assets	19,343	10,389
Total long-term assets	146,921	89,865
TOTAL ASSETS	502,576	403,031
CURRENT LIABILITIES:
Trade payables	1,960	2,699
Employees and payroll accruals	25,253	18,470
Accrued expenses and other current liabilities	10,209	6,876
Deferred revenues	66,986	50,111
Total current liabilities	104,408	78,156
LONG-TERM LIABILITIES:
Deferred revenues	38,249	23,395
Accrued severance pay	5,712	5,035
Other long-term liabilities	242	229
Total long-term liabilities	44,203	28,659
TOTAL LIABILITIES	148,611	106,815
COMMITMENTS AND CONTINGENCIES
SHAREHOLDERS' EQUITY:
Ordinary shares of NIS 0.01 par value - Authorized: 250,000,000 shares at December 31, 2016 and 2017; Issued and outstanding: 34,250,590 shares and 35,274,888 shares at December 31, 2016 and 2017, respectively	91	88
Additional paid-in capital	249,874	221,609
Accumulated other comprehensive income (loss)	107	(175)
Retained earnings	103,893	74,694
Total shareholders' equity	353,965	296,216
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	$ 502,576	$ 403,031

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) $ in Thousands	Dec. 31, 2017USD ($)shares	Dec. 31, 2016USD ($)shares
Statement of Financial Position [Abstract]
Ordinary shares, authorized	250,000,000	250,000,000
Ordinary shares, issued	35,274,888	34,250,590
Ordinary shares, outstanding	35,274,888	34,250,590
Net of allowance for doubtful debt accounts | $	$ 113	$ 23

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Revenues:
License	$ 147,640	$ 131,530	$ 100,113
Maintenance and professional services	114,061	85,083	60,699
Revenues	261,701	216,613	160,812
Cost of revenues:
License	7,911	4,726	5,088
Maintenance and professional services	33,937	25,425	17,572
Cost of revenues	41,848	30,151	22,660
Gross profit	219,853	186,462	138,152
Operating expenses:
Research and development	42,389	34,614	21,734
Sales and marketing	126,739	93,775	66,206
General and administrative	30,399	22,117	16,990
Total operating expenses	199,527	150,506	104,930
Operating income	20,326	35,956	33,222
Financial income (expenses), net	4,103	245	(1,479)
Income before taxes on income	24,429	36,201	31,743
Taxes on income	(8,414)	(8,077)	(5,949)
Net income	$ 16,015	$ 28,124	$ 25,794
Basic net income per ordinary share	$ 0.46	$ 0.83	$ 0.80
Diluted net income per ordinary share	$ 0.44	$ 0.78	$ 0.73
Change in unrealized losses on marketable securities:
Unrealized loss arising during the year	$ (29)	$ (141)
Change in unrealized losses on marketable securities, total	(29)	(141)
Change in unrealized gain on cash flow hedges:
Unrealized gain arising during the year	1,470	249	1
Loss (gain) reclassified into earnings	(1,159)	(190)	239
Change in unrealized gain on cash flow hedges, net	311	59	240
Other comprehensive income (loss), net of taxes of $(46), $16 and $(41) for the years 2015, 2016 and 2017, respectively	282	(82)	240
Total comprehensive income	$ 16,297	$ 28,042	$ 26,034

CONSOLIDATED STATEMENTS OF COM5

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Income Statement [Abstract]
Other comprehensive income (loss), tax	$ (41)	$ 16	$ (46)

STATEMENTS OF CHANGES IN SHAREH

STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY - USD ($) $ in Thousands	Ordinary Shares [Member]	Additional paid-in capital [Member]	Accumulated other comprehensive income (loss) [Member]	Retained Earnings [Member]	Total
Balance at Dec. 31, 2014	$ 79	$ 134,486	$ (333)	$ 20,776	$ 155,008
Balance, shares at Dec. 31, 2014	30,501,352
Exercise of options and vested RSU's granted to employees	$ 5	1,819			1,824
Exercise of options and vested RSU's granted to employees, shares	1,888,487
Other comprehensive income (loss), net of tax			240		240
Share-based compensation		7,049			7,049
Issuance of ordinary shares upon public offering, net	$ 2	52,573			52,575
Issuance of ordinary shares upon public offering, net, shares	900,000
Tax benefit related to share-based compensation and issuance expenses		4,180			4,180
Net income				25,794	25,794
Balance at Dec. 31, 2015	$ 86	200,107	(93)	46,570	246,670
Balance, shares at Dec. 31, 2015	33,289,839
Exercise of options and vested RSU's granted to employees	$ 2	2,501			2,503
Exercise of options and vested RSU's granted to employees, shares	960,751
Other comprehensive income (loss), net of tax			(82)		(82)
Share-based compensation		17,535			17,535
Tax benefit related to share-based compensation		1,466			1,466
Net income				28,124	28,124
Balance at Dec. 31, 2016	$ 88	221,609	(175)	74,694	296,216
Balance, shares at Dec. 31, 2016	34,250,590
Cumulative effect adjustment resulting from adoption of new accounting pronouncements (see Note 2y)		376		13,184	13,560
Exercise of options and vested RSU's granted to employees	$ 3	2,621			2,624
Exercise of options and vested RSU's granted to employees, shares	1,024,298
Other comprehensive income (loss), net of tax			282		282
Share-based compensation		25,268			25,268
Net income				16,015	16,015
Balance at Dec. 31, 2017	$ 91	$ 249,874	$ 107	$ 103,893	$ 353,965
Balance, shares at Dec. 31, 2017	35,274,888

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Cash flows from operating activities:
Net income	$ 16,015	$ 28,124	$ 25,794
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	7,856	6,488	2,254
Share-based compensation expense	25,237	17,535	7,049
Amortization of premium on marketable securities	382	275
Tax benefit related to share-based compensation		(1,466)	(3,808)
Deferred income taxes, net	5,856	(1,130)	(4,093)
Increase in trade receivables	(11,631)	(12,920)	(187)
Increase in prepaid expenses and other current and long-term assets	(3,278)	(1,485)	(1,183)
Increase (decrease) in trade payables	(1,288)	(177)	322
Increase in short-term and long-term deferred revenues	31,729	19,117	21,254
Increase in employees and payroll accruals	6,316	2,610	5,011
Increase (decrease) in accrued expenses and other current and long-term liabilities	3,226	(927)	6,353
Increase in accrued severance pay, net	317	266	394
Net cash provided by operating activities	80,737	56,310	59,160
Cash flows from investing activities:
Proceeds from short and long-term deposits			49,329
Investment in short and long-term deposits	(20,722)	(82,940)	(619)
Investment in marketable securities	(43,604)	(40,433)
Proceeds from maturities of marketable securities	17,355	4,307
Purchase of property and equipment	(6,757)	(2,795)	(2,066)
Payments for business acquisitions, net of cash acquired (Schedule A)	(41,329)		(53,656)
Net cash used in investing activities	(95,057)	(121,861)	(7,012)
Cash flows from financing activities:
Issuance of shares, net			52,575
Tax benefit related to share-based compensation		1,466	3,808
Proceeds from exercise of stock options	2,624	2,503	1,824
Net cash provided by financing activities	2,624	3,969	58,207
Increase (decrease) in cash and cash equivalents	(11,696)	(61,582)	110,355
Cash and cash equivalents at the beginning of the year	172,957	234,539	124,184
Cash and cash equivalents at the end of the year	161,261	172,957	234,539
Non-cash activities:
Purchase of property and equipment on credit	981	683	338
Supplemental disclosure of cash flow activities:
Cash paid during the year for taxes	$ 3,371	$ 10,577	$ 4,760

CONSOLIDATED STATEMENTS OF CAS8

CONSOLIDATED STATEMENTS OF CASH FLOWS (Schedule A - payments for business acquired) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2015
Business Acquisition [Line Items]
Goodwill	$ 69,217	$ 35,145
ViewFinity [Member]
Business Acquisition [Line Items]
Working capital, net (excluding ($7) and 478 and 379 of cash and cash equivalents acquired)		497
Property and equipment		124
Other long-term assets		62
Goodwill		20,765
Other intangible assets		9,990
Deferred revenues		(931)
Total		30,507
Cash and cash equivalents acquired		(7)
Cybertinel [Member]
Business Acquisition [Line Items]
Working capital, net (excluding ($7) and 478 and 379 of cash and cash equivalents acquired)		(245)
Property and equipment		340
Other long-term assets		34
Goodwill		13,201
Other intangible assets		7,760
Deferred tax		(1,009)
Deferred revenues		(44)
Total		20,037
Cash and cash equivalents acquired		478
Agata [Member]
Business Acquisition [Line Items]
Goodwill		1,179
Other intangible assets		1,933
Total		$ 3,112
Conjur [Member]
Business Acquisition [Line Items]
Working capital, net (excluding ($7) and 478 and 379 of cash and cash equivalents acquired)	(451)
Property and equipment	12
Goodwill	34,072
Other intangible assets	6,888
Deferred tax	808
Total	41,329
Cash and cash equivalents acquired	$ 379

GENERAL

GENERAL	12 Months Ended
	Dec. 31, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]
GENERAL	NOTE 1: GENERAL a. CyberArk Software Ltd. (together with its subsidiaries, the “ ” b. In March 2015, the Company completed a public offering in which certain shareholders sold 4,600,000 ordinary shares ( at a public offering price of $51.00 per share. The Company did not receive any proceeds from the sale of ordinary shares by the selling shareholders and the related offering expenses were recorded c. In June 2015, the Company completed an additional public offering in which the Company issued and sold 900,000 ordinary shares at a public offering price of $61.00 per share. d. In August 2015, the Company acquired all of the share capital of Cybertinel Ltd. (“Cybertinel”) for total gross consideration of $20,515. Cybertinel, an Israeli company, specializes in cyber threat detection technology. In September 2015, the Company acquired certain assets of Agata Ltd “ ”) for total consideration of $3,112 In October 2015, the Company acquired all of the share capital of Viewfinity, Inc. (“Viewfinity”) for total gross consideration of $30,500. Viewfinity is a provider of Windows least privilege management and application control. gross e. Unaudited pro forma results of operations: The following table presents unaudited pro forma revenue, net income and basic and diluted net income for periods presented assuming the acquisition of Conjur occurred on January 1, 2016. The pro forma information is not necessarily indicative of the results of operations, which actually would have occurred had the acquisition been consummated on that date, nor does it purport to represent the results of operations for future periods: Conjur: December 31, 2016 2017 (Unaudited) Pro forma revenue $ 217,570 $ 262,169 Pro forma net income $ 23,705 $ 13,985 Basic net income per ordinary share $ 0.70 $ 0.40 Diluted net income per ordinary share $ 0.66 $ 0.39

SIGNIFICANT ACCOUNTING POLICIES

SIGNIFICANT ACCOUNTING POLICIES	12 Months Ended
	Dec. 31, 2017
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 ( “ ”) 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, share-based compensation, value of intangible assets and goodwill 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 financial statements of CyberArk Software Ltd. and its wholly-owned subsidiaries. All 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 a substantial portion of the Company's costs are incurred in U.S. dollars and New Israeli Shekels ( “ ”) Accordingly, monetary accounts maintained in currencies other than the U.S. dollar are re-measured into U.S. dollars in accordance with Statement of the Accounting Standard Codification ( “ ” “ ” “ ” d. Cash and cash equivalents: Cash equivalents are short-term highly liquid deposits that are readily convertible to cash with original maturities of three months or less, at the date acquired. e. Short-term bank deposits: Short-term bank deposits are deposits with maturities of up to one year. As of December 31, 2016 and 2017, the Company's bank deposits are denominated in U.S. dollars and NIS and bear yearly interest at weighted average deposits rates of 1.26% and 1.69%, respectively. Short-term bank deposits are presented at their cost, including accrued interest. A portion of these deposits is used as security for the rental of premises and as a security for the Company's hedging activities. f. Investments in marketable securities: The Company accounts for investments in debt marketable securities in accordance with ASC No. 320, “ ” The Company's securities are reviewed for impairment in accordance with ASC 320-10-35. If such assets are considered to be impaired, the impairment charge is recognized in earnings when a decline in the fair value of its investments below the cost basis is judged to be Other-Than-Temporary Impairment (OTTI). Factors considered in making such a determination include the duration and severity of the impairment, the reason for the decline in value, the potential recovery period and the Company's intent to sell, including whether it is more likely than not that the Company will be required to sell the investment before recovery of cost basis. Based on the above factors, the Company concluded that unrealized losses on its available-for-sale securities, for the years ended December 31, 2015 2016 and 2017 were not OTTI. g. 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, software and related equipment 16 - 33 Office furniture and equipment 7 - 20 Leasehold improvements Over the shorter of the related lease period or the life of the asset h. Long-lived assets: The long-lived assets of the Company are reviewed for impairment in accordance with ASC No. 360, “ ” “ ” i. Business combination: The Company accounts for its business acquisitions in accordance with Accounting Standards Codification ASC No. 805, “ ” j. Goodwill and other intangible assets: Goodwill and certain other purchased intangible assets have been recorded in the Company's financial statements as a result of acquisitions. Goodwill represents excess of the purchase price in a business combination over the fair value of identifiable tangible and intangible assets acquired of businesses acquired. Goodwill is not amortized, but rather is subject to an impairment test. ASC No. 350, “ ” “ ” For the years ended December 31, 2015, 2016 and 2017, no impairment losses were identified. Purchased intangible assets with finite lives are carried at cost, less accumulated amortization. Amortization is computed over the estimated useful lives of the respective assets which range from two to eleven years. Acquired customer relationship and backlog are amortized over their estimated useful lives in proportion to the economic benefits realized. Other intangible assets consist primarily of technology are amortized over their estimated useful lives on a straight-line basis. k. Derivative instruments: ASC No. 815, “ ” 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. For derivative instruments that are designated and qualify as a cash flow hedge (i.e., hedging the exposure to variability in expected future cash flows that is attributable to a particular risk), the effective portion of the gain or loss on the derivative instrument is reported as a component of other comprehensive income and reclassified into earnings in the same period or periods during which the hedged transaction affects earnings. The remaining gain or loss on the derivative instrument in excess of the cumulative change in the present value of future cash flows of the hedged item, if any, is recognized in current earnings during the period of change. To hedge against the risk of 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 expenses denominated in NIS. These forward and option contracts are designated as cash flow hedges, as defined by ASC 815, and are all effective, as their critical terms match underlying transactions being hedged. As of December 31, 2016 and 2017, the amount recorded in accumulated other comprehensive income (loss) from the Company's currency forward and option transactions was $(34) (net of tax of $6) and $277 (net of tax of $38), respectively. At December 31, 2017, the notional amounts of foreign exchange forward contracts into which the Company entered were $17,366. The foreign exchange forward contracts will expire by September 2018. The fair value of derivative instruments assets balance as of December 31, 2016 and 2017, totaled $32 and $315, respectively. The fair value of derivative instruments liabilities balance as of December 31, 2016 and 2017, totaled $72 and $0, respectively. In addition to the derivatives that are designated as hedges as discussed above, the Company enters into certain foreign exchange forward transactions to economically hedge certain account receivables in Euros and GBP. For the years ended December 31, 2015, 2016 and 2017, the Company recorded financial income (loss), net from hedging transactions of $260, $270 and $(796), respectively. l. Severance pay: The Israeli Severance Pay Law, 1963 ( “ ” The majority of the Company's liability for severance pay is covered by the provisions of Section 14 of the Severance Pay Law ( “ ” 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 accruals. The value of these deposits is recorded as an asset on the Company's balance sheet. Severance expense for the years ended December 31, 2015, 2016 and 2017, amounted to $1,794, $2,503 and $2,707, respectively. m. U.S. defined contribution plan: The U.S. subsidiary has a 401(k) defined contribution plan covering certain full time and part time employees in the U.S, excluding leased employees and contractors. All eligible employees may elect to contribute up to an annual maximum, of the lesser of 100% of their annual compensation to the plan through salary deferrals, subject to Internal Revenue Service limits, but not greater than $18 per year (for certain employees over 50 years of age the maximum contribution is $24 per year). The U.S. subsidiary matches amounts equal to 100% of the first 3% of the employee’s compensation that they contribute to the defined contribution plan and 50% of the next 2% of their compensation that they contribute to the defined contribution plan with a limit of $10.8 per year. For the years ended December 31, 2015, 2016 and 2017, the U.S. subsidiary recorded expenses for matching contributions of $907, $1,259 and $1,677, respectively. n. Revenue recognition: The Company generates revenues from licensing the rights to use its software products, maintenance and professional services. The Company sells its products through its direct sales force and indirectly through resellers. The Company accounts for its software licensing sales in accordance with ASC 985-605, “ ” “ ” “ ” Maintenance and professional services are sold separately and therefore the selling price (VSOE) is based on stand-alone transactions. Under the residual method, at the outset of the arrangement with the customer, the Company defers revenue for the fair value of its undelivered elements and recognizes revenue for the remainder of the arrangement fee attributable to the elements initially delivered in the arrangement (software element) when all other criteria in ASC 985-605 have been met. Any discount in the arrangement is allocated to the delivered element. Software license revenues are recognized when persuasive evidence of an arrangement exists, the software license has been delivered, there are no uncertainties surrounding product acceptance, there are no significant future performance obligations, the license fees are fixed or determinable and collection of the license fee is considered probable. Fees for arrangements with payment terms extending beyond customary payment terms are considered not to be fixed or determinable, in which case revenue is deferred and recognized when payments become due from the customer provided that all other revenue recognition criteria have been met. The Company recognizes revenues from the sale of term license arrangements ratably on a straight-line basis, over the term of the underlying contract, and is typically one year or to a lesser extent, three years. Revenues from maintenance and support contracts are recognized ratably, on a straight-line basis over the term of the related contract and revenues from professional services consist mostly of time and material services which are recognized as the services are performed. Professional services are not considered to be essential to the functionality of the software. The Company's software license, maintenance and professional services sold through resellers are non-exchangeable, non-refundable, non-returnable and without any rights of price protection. Accordingly, the Company considers resellers as customers. Deferred revenue includes unearned amounts received under maintenance and support contracts, professional services and amounts received from customers for licenses that do not meet the revenue recognition criteria as of the balance sheet date. o. Research and development costs: Research and development costs are charged to the statements of comprehensive income as incurred. ASC 985-20, “ ” 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 model and the point at which the product is ready for general release, have been insignificant. Therefore, all research and development costs are expensed as incurred. p. Internal use software: The costs to obtain or develop for internal use software with respect to the Company’s Enterprise Resource Planning (“ERP”) system, are capitalized based on qualifying criteria, which includes a determination of whether such costs are incurred during the application stage. Such costs are amortized over the software’s estimated life. Costs incurred to develop software applications consist of (a) certain external direct costs of materials and services incurred in developing or obtaining internal-use computer software, and (b) payroll and payroll-related costs for employees who are directly associated with, and who devote time to, the project. q. Marketing expenses: Marketing expenses consist primarily of marketing campaigns and tradeshows. Marketing expenses are charged to the statement of comprehensive income, as incurred. Marketing expenses for the years ended December 31, 2015, 2016 and 2017, amounted to $7,498, $10,622 and $14,106, respectively. r. Share-based compensation: The Company accounts for share-based compensation in accordance with ASC 718, “ ” “ ” 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. The Company has selected the Black-Scholes-Merton option-pricing model as the most appropriate fair value method for its option awards. The fair value of restricted stock units (“RSU”) and performance stock units (“PSU”) is based on the closing market value of the underlying shares at the date of grant. 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. s. Income taxes: The Company accounts for income taxes in accordance with ASC No. 740-10, “Income Taxes” (“ASC No. 740-10”). ASC No. 740-10 prescribes the use of the asset and liability method whereby deferred tax asset and liability account balances are determined based on temporary differences between financial reporting and tax bases of assets and liabilities and are measured using the enacted tax rates and laws that will be in effect when the differences are expected to reverse. The Company 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. The Company established reserves for uncertain tax positions based on the evaluation of whether or not the Company's uncertain tax position is “more likely than not” to be sustained upon examination. The Company records interest and penalties pertaining to its uncertain tax positions in the financial statements as income tax expense. t. Basic and diluted net income per share: Basic net income per ordinary share is computed by dividing net income for each reporting period by the weighted-average number of ordinary shares outstanding during each year. Diluted income per ordinary share is computed by dividing net income for each reporting period by the weighted average number of ordinary shares outstanding during the period, plus dilutive potential ordinary shares considered outstanding during the period, in accordance with ASC 260-10 “Earnings Per Share”. The total weighted average number of shares related to outstanding options, RSU's and PSU’s that have been excluded from the calculation of diluted net earnings per share was 484,726, 1,381,114 and 1,880,018 for the years ended December 31, 2015, 2016 and 2017, respectively. u. Comprehensive income (loss): The Company accounts for comprehensive income (loss) in accordance with Accounting Standards Codification No. 220, “ ” “ ” v. Concentration of credit risks: Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash and cash equivalents, short-term bank deposits, marketable securities, trade receivables, severance pay funds and derivative instruments. The majority of the Company's cash and cash equivalents and short-term bank deposits are invested with major banks in Israel and the United States. Such investments in the United States are primarily in excess of insured limits and are not insured in other jurisdictions. Generally, these investments may be redeemed upon demand and the Company believes that the financial institutions that hold Company’s cash deposits The Company's marketable securities consist of investments, which are highly rated by credit agencies, in government, corporate and government sponsored enterprises debentures. The Company's investment policy limits the amount that the Company may invest in any one type of investment or issuer, in order to reduce credit risk concentrations. The trade receivables of the Company are mainly derived from sales to diverse set of customers located primarily in the United States, Europe and Asia. The Company performs ongoing credit evaluations of its customers and, to date, has not experienced any significant losses. The Company has entered into forward contracts with major banks in Israel to protect against the risk of changes in exchange rates. The derivative instruments hedge a portion of the Company's non-dollar currency exposure. w. 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, short-term bank deposits, trade receivables, prepaid expenses and other current assets, trade payables, employees and payroll accruals and accrued expenses and other current liabilities approximate their fair values due to the short-term maturities of these instruments. The Company applies ASC No. 820, “ ” “ ” 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 Level 1 - Inputs are unadjusted quoted prices in active markets for identical assets or liabilities that can be accessed at the measurement date. Level 2 - Inputs are quoted prices for similar assets and liabilities in active markets or inputs that are observable for the assets or liabilities, either directly or indirectly through market corroboration, for substantially the full term of the financial instruments. Level 3 - Inputs are unobservable inputs based on the Company's own assumptions used to measure assets and liabilities at fair value. The inputs require significant management judgment or estimation. 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 instruments, at fair value using the market approach valuation technique. Foreign currency derivative contracts as detailed in note 2.k are classified within Level 2 value hierarchy, as the valuation inputs are based on quoted prices and market observable data of similar instruments. x. Legal contingencies: From time to time, the Company becomes involved in legal proceedings or is subject to claims arising in its ordinary course of business. Such matters are generally subject to many uncertainties and outcomes are not predictable with assurance. The Company accrues for contingencies when the loss is probable and it can reasonably estimate the amount of any such loss. Except as set forth in Note 8c, the Company is currently not a party to any material legal or administrative proceedings and, is not aware of any material pending or threatened material legal or administrative proceedings against the Company. y. Recently adopted accounting pronouncements: In March 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-09 Compensation-Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting. This standard simplifies various aspects related to how share-based payments are accounted for and presented in the financial statements, including income taxes, forfeitures and statutory tax withholding requirements. The guidance is effective for the Company beginning in the first quarter of 2017. This standard requires to recognize excess tax benefits as income taxes in the period in which they occur. This standard also requires the Company to classify excess tax benefits as an operating activity instead of financing activity in the consolidated statements of cash flows. The standard also provides an accounting policy election to account for forfeitures as they occur. The Company elected to account for forfeitures as they occur. In October 2016, the FASB issued ASU 2016-16, Income Taxes (Topic 740); Intra-Entity Transfers of Assets Other than Inventory. This guidance was issued to improve the accounting for income tax consequences of intra-entity transfers of assets other than inventory. Under the amendment an entity should recognize the income tax consequences of an intra-entity transfer of an asset other than inventory when the transfer occurs. The update is effective for annual periods beginning after December 15, 2017, and interim periods thereafter. The Company early adopted the standard in the first quarter of 2017. The net cumulative effect of the adoption of these standards increased deferred taxes, additional paid-in capital and retained earnings by $13.6 million, $0.4 million and $13.2 million, respectively. z. Recently issued accounting standards: In May 2014, FASB issued ASU 2014-09, Revenue from Contracts with Customers (Topic 606) (ASU 2014-09), an updated standard on revenue recognition and issued subsequent amendments to the initial guidance in March 2016, April 2016, May 2016 and December 2016 within ASU 2016-08, 2016-10, 2016-12 and 2016-20, respectively. The core principle of the new standard is for companies to recognize revenue to depict the transfer of goods and services to customers in amounts that reflect the consideration to which the company expects to be entitled in exchange for those goods and services. In addition, the new standard requires expanded disclosures. The Company has adopted the standard effective January 1, 2018 using the modified retrospective method. The most significant impact of the new standard relates to the way the Company accounts for term license arrangements and costs to obtain customer contracts. Specifically, under the current revenue standard, the Company recognizes both the term license and maintenance revenues ratably over the contract period whereas under the new revenue standard term license revenues are recognized upfront, upon delivery, and the associated maintenance revenues are recognized over the contract period. The Company has also considered the impact of the guidance in ASC 340-40, “Other Assets and Deferred Costs” under the new standard. Under the Company’s current accounting policy, sales commissions are expensed as incurred. The new standard requires the capitalization of all incremental costs that the Company incurs to obtain a contract with a customer that it would not have incurred if the contract had not been obtained, provided the Company expects to recover the costs. The Company applied the new standard with respect to existing contracts which are not substantially completed as of January 1, 2018. As a result, In February 2016, the FASB issued ASU 2016-02. ASU 2016-02 changes the current lease accounting standard by requiring the recognition of lease assets and lease liabilities for all leases, including those currently classified as operating leases. This new guidance is to be applied under a modified retrospective application to the earliest reporting period presented for reporting periods beginning after December 15, 2018. Early adoption is permitted. The Company is currently evaluating the potential impact of this new guidance on its financial statements. In June 2016, the FASB Issued ASU 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. The new standard requires financial assets measured at amortized cost be presented at the net amount expected to be collected, through an allowance for credit losses that is deducted from the amortized cost basis. The standard will be effective for the Company beginning January 1, 2020, with early adoption permitted. The Company is evaluating the impact of adopting this new accounting guidance on its consolidated financial statements . In November 2016, the FASB issued ASU 2016-18, “Statement of Cash Flows (Topic 230): Restricted Cash”, which requires companies to include amounts generally described as restricted cash and restricted cash equivalents in cash and cash equivalents when reconciling beginning-of-period and end-of-period total amounts shown on the statement of cash flows. This ASU is effective for annual and interim periods beginning after December 15, 2017. The adoption of this standard will not have a material impact on the Company’s consolidated financial statements of cash flows. In January 2017, FASB issued ASU 2017-01, Business Combinations (Topic 805) Clarifying the Definition of Business. ASU 2017-01 clarifies the definition of a business with the objective of adding guidance to assist entities with evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. The update to the standard is effective for interim and annual periods beginning after December 15, 2017, and applied prospectively. The Company does not expect that the adoption of this standard will have a material impact on the consolidated financial statements. In January 2017, the FASB issued ASU 2017-04, simplifying the Test for Goodwill Impairment (Topic 350). This standard eliminates Step 2 from the goodwill impairment test, instead requiring an entity to recognize a goodwill impairment charge for the amount by which the goodwill carrying amount exceeds the reporting unit's fair value. This guidance is effective for interim and annual goodwill impairment tests in fiscal years beginning after December 15, 2019 with early adoption permitted. This guidance must be applied on a prospective basis. The Company is currently evaluating the potential effect of the guidance on its consolidated financial statements. In August 2017, the FASB issued ASU 2017-12, “Targeted Improvements to Accounting for Hedging Activities.” The standard better aligns an entity’s hedging activities and financial reporting for hedging relationships through changes to both the designation and measurement guidance for qualifying hedging relationships and the presentation of hedge results in the financial statements. The standard will prospectively make hedge accounting easier to apply to hedging activities and also enhances disclosure requirements for how hedge transactions are reflected in the financial statements when hedge accounting is elected. The standard is effective for fiscal years beginning after December 15, 2018, with early adoption permitted. The Company is evaluating the impact of adopting this new accounting guidance on its consolidated financial statements.

MARKETABLE SECURITIES

MARKETABLE SECURITIES	12 Months Ended
	Dec. 31, 2017
Investments, Debt and Equity Securities [Abstract]
MARKETABLE SECURITIES	NOTE 3: MARKETABLE SECURITIES The following tables summarize the amortized cost, unrealized gains and losses, and fair value of available-for-sale marketable securities as of December 31, 2016 and 2017: December 31, 2016 Amortized cost Gross unrealized losses Gross unrealized gains Fair value Corporate debentures $ 32,734 $ (154 ) $ - $ 32,580 U.S. Agencies debentures 2,457 (14 ) - 2,443 Government treasuries 666 - - 666 Total $ 35,857 $ (168 ) $ - $ 35,689 December 31, 2017 Amortized cost Gross unrealized losses Gross unrealized gains Fair value Corporate debentures $ 58,321 $ (175 ) $ 6 $ 58,152 U.S. Agencies debentures 3,311 (31 ) - 3,280 Total $ 61,632 $ (206 ) $ 6 $ 61,432 *) Out of the unrealized losses, an amount of $84 has been in a continuous unrealized losses position for twelve months or longer. The following table summarizes the amortized cost and fair value of available-for-sale marketable securities as of December 31, 2016 and 2017, by contractual years-to maturity: December 31, 2016 2017 Amortized cost Fair value Amortized cost Fair value Due within one year $ 15,269 $ 15,246 $ 34,082 $ 34,025 Due between one and four years 20,588 20,443 27,550 27,407 $ 35,857 $ 35,689 $ 61,632 $ 61,432

PREPAID EXPENSES AND OTHER CURR

PREPAID EXPENSES AND OTHER CURRENT ASSETS	12 Months Ended
	Dec. 31, 2017
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
PREPAID EXPENSES AND OTHER CURRENT ASSETS	NOTE 4: PREPAID EXPENSES AND OTHER CURRENT ASSETS December 31, 2016 2017 Prepaid expenses $ 3,169 $ 4,089 Hedging transaction assets 379 315 Government authorities 947 2,533 Other current assets 309 470 $ 4,804 $ 7,407

PROPERTY AND EQUIPMENT, NET

PROPERTY AND EQUIPMENT, NET	12 Months Ended
	Dec. 31, 2017
Property, Plant and Equipment [Abstract]
PROPERTY AND EQUIPMENT, NET	NOTE 5: PROPERTY AND EQUIPMENT, NET The composition of property and equipment is as follows: December 31, 2016 2017 Cost: Computers, software and related equipment *) $ 5,792 $ 9,149 Leasehold improvements 1,621 3,200 Office furniture and equipment 1,353 2,167 8,766 14,516 Less - accumulated depreciation 4,006 5,286 Depreciated cost $ 4,760 $ 9,230 *) For the year ended December 31, 2016, the costs capitalized were not material. For the year ended December 31, 2017, the Company capitalized $1,027, including $31 share-based compensation costs, relating to its internal use software development for its ERP system. Depreciation expense amounted to $1,129, $1,965 and $2,597 for the years ended December 31, 2015, 2016 and 2017, respectively.

GOODWILL AND OTHER INTANGIBLE A

GOODWILL AND OTHER INTANGIBLE ASSETS, NET	12 Months Ended
	Dec. 31, 2017
Goodwill and Intangible Assets Disclosure [Abstract]
GOODWILL AND OTHER INTANGIBLE ASSETS, NET	NOTE 6: GOODWILL AND OTHER INTANGIBLE ASSETS, NET Changes in the carrying amount of goodwill: December 31, 2016 2017 Balance as of beginning of the year $ 35,145 $ 35,145 Goodwill acquired - 34,072 Closing balance $ 35,145 $ 69,217 The composition of intangible assets is as follows: December 31, 2016 2017 Original amount: Technology $ 14,073 $ 20,717 Customer relationships 5,120 5,120 Other 490 664 19,683 26,501 Less - accumulated amortization 5,648 10,837 Intangible assets, net $ 14,035 $ 15,664 Amortization expense amounted to $1,125, $4,523 and $5,259 for the years ended December 31, 2015, 2016, and 2017, respectively. The estimated future amortization expense of intangible assets as of December 31, 2017 is as follows: 2018 $ 5,486 2019 4,505 2020 2,737 2021 1,655 2022 723 Thereafter 558 $ 15,664

ACCRUED EXPENSES AND OTHER CURR

ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES	12 Months Ended
	Dec. 31, 2017
Payables and Accruals [Abstract]
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES	NOTE 7: ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES December 31, 2016 2017 Government authorities $ 3,722 $ 5,433 Accrued expenses 2,602 2,974 Unrecognized tax benefits 474 1,119 Hedging transaction liabilities 78 683 $ 6,876 $ 10,209

COMMITMENTS AND CONTINGENT LIAB

COMMITMENTS AND CONTINGENT LIABILITIES	12 Months Ended
	Dec. 31, 2017
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENT LIABILITIES	NOTE 8: COMMITMENTS AND CONTINGENT LIABILITIES a. Lease commitments: The Company leases its facilities under various operating lease agreements, which expire through 2022. In addition, the Company leases certain motor vehicles under certain car operating lease agreements which expire through 2020. The minimum lease payments under operating leases as of December 31, 2017 are as follows: Lease of premises Lease of motor vehicles 2018 $ 5,271 $ 375 2019 5,238 256 2020 4,220 79 2021 1,437 - 2022 938 - $ 17,104 $ 710 Total premises lease expense for the years ended December 31, 2015, 2016 and 2017 was $2,653, $3,649 and $4,760, respectively. Total motor vehicle lease expense for the years ended December 31, 2015, 2016 and 2017 was $435, $511 and $544, respectively. b. Pledges and bank guarantees: The Company pledged a bank deposit of $1,260, mainly in respect of an office lease agreement and hedging transactions. This balance is presented as part of short-term bank deposits and other long-term assets. The Company obtained bank guarantees of $1,003, primarily in connection with an office lease agreement. c. Legal contingencies: On April 25, 2017, a complaint was filed against the Company, in a U.S court, alleging breach of contract in connection with a sale made to one of its customers. The customer is seeking damages in the amount of $763 plus recovery for certain implementation and replacement costs allegedly incurred by it. The Company has denied any and all liability. The lawsuit is still pending and discovery is ongoing, and the Company continues to evaluate the customer’s claims. As of December 31, 2017, the Company is unable to assess the outcome of the claim, due to its early stage and therefore no provision has been recorded.

FAIR VALUE MEASUREMENTS

FAIR VALUE MEASUREMENTS	12 Months Ended
	Dec. 31, 2017
Fair Value Disclosures [Abstract]
FAIR VALUE MESUREMENTS	NOTE 9: FAIR VALUE MEASUREMENTS The following tables present the fair value of money market funds and marketable securities for the year ended December 31, 2016 and 2017: December 31, 2016 2017 Level 1 Level 2 Total Level 1 Level 2 Total Cash equivalents: Money market funds $ 1,906 $ - $ 1,906 $ 1,749 $ - $ 1,749 Marketable securities: Corporate debentures - 32,580 32,580 - 58 152 58 152 U.S. Agencies debentures - 2,443 2,443 - 3 280 3 280 Government treasuries - 666 666 - - - Total assets measured at fair value $ 1,906 $ 35,689 $ 37,595 $ 1,749 $ 61 432 $ 63 181

SHAREHOLDERS' EQUITY

SHAREHOLDERS' EQUITY	12 Months Ended
	Dec. 31, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
SHAREHOLDERS' EQUITY	NOTE 10: SHAREHOLDERS' EQUITY a. Composition of share capital of the Company: December 31, 2016 2017 Authorized Issued and outstanding Authorized Issued and outstanding Number of shares Ordinary shares of NIS 0.01 par value each 250,000,000 34,250,590 250,000,000 35,274,888 b. Ordinary shares: The ordinary shares of the Company confer upon the holders the right to receive notices of and to participate and vote in general meetings of the Company, rights to receive dividends and rights to participate in distribution of assets upon liquidation. c. Share-based compensation: Under the Company's 2014 share incentive plan (the “2014 ” In 2017, the Company granted PSU’s to its Chairman of the Board and Chief Executive Officer, whereby the vesting is determined based on the Company`s achievement of annual performance targets and continued employment over the vesting period. Under the 2014 Plan, as of December 31, 2017, an aggregate number of 1,188,093 ordinary shares were reserved for future grant. Any share underlying an award that is cancelled, terminated or forfeited for any reason without having been exercised will automatically be available for grant under the 2014 Plan. The total share-based compensation expense related to all of the Company's equity-based awards, recognized for the years ended December 31, 2015, 2016 and 2017 is comprised as follows: Year ended December 31, 2015 2016 2017 Cost of revenues $ 499 $ 1,386 $ 2,289 Research and development 1 4,660 6,110 Sales and marketing 2,214 5,765 8,642 General and administrative 2,829 5,724 8,196 Total share-based compensation expense $ 7,049 $ 17,535 $ 25,237 The total unrecognized compensation cost amounted to $59,583 as of December 31, 2017, and is expected to be recognized over a weighted average period of 2.66 years. d. Options granted to employees: A summary of the activity in options granted to employees for the year ended December 31, 2017 is as follows: Amount of options Weighted average exercise price Weighted average remaining contractual term (in years) Aggregate intrinsic value Balance as of December 31, 2016 3,038,357 $ 22.58 6.70 $ 77,346 Granted 427,650 $ 48.91 Exercised (753,711 ) $ 3.48 Forfeited (171,878 ) $ 45.23 Balance as of December 31, 2017 2,540,418 $ 31.15 6.99 $ 39,659 Exercisable as of December 31, 2017 1,694,564 $ 22.54 6.15 $ 39,118 The computation of expected volatility is based on actual historical share price volatility of comparable companies and the Company’s historical equity volatility. 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. 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 sets forth the parameters used in computation of the options compensation to employees for the years ended December 31, 2015, 2016 and 2017: Year ended December 31, 2015 2016 2017 Expected volatility 45 % 45 % 45%-48 % Expected dividends 0 % 0 % 0 % Expected term (in years) 5.78-6.12 5.25-6.10 5.25-6.25 Risk free rate 1.37%-1.68 % 1.30%- 1.70 % 1.77%- 2.05 % A summary of options data for the years ended December 31, 2015, 2016 and 2017, is as follows: Year ended December 31, 2015 2016 2017 Weighted-average grant date fair value of options granted $ 24.56 $ 19.16 $ 21.81 Total intrinsic value of the options exercised $ 110,191 $ 37,618 $ 33,614 The aggregate intrinsic value is calculated as the difference between the per-share exercise price and the deemed fair value of an ordinary share for each share subject to an option multiplied by the number of shares subject to options at the date of exercise. The following tables summarize information about the Company's outstanding and exercisable options granted to employees as of December 31, 2017: Exercise price Options outstanding as of December 31, 2017 Weighted average remaining contractual term Options exercisable as of December 31, 2017 Weighted average remaining contractual term (years) (years) $ 0.20 – 2.21 669,752 4.42 669,752 4.42 $ 6.47 – 14.00 376,103 6.20 372,779 6.20 $ 37.44 – 44.37 270,269 8.42 97,108 8.06 $ 45.58 – 51.86 744,621 8.68 258,483 8.31 $ 52.48 – 64.93 479,673 7.75 296,442 7.51 2,540,418 6.99 1,694,564 6.15 e. A summary of RSUs and PSUs activity for the year ended December 31, 2017 is as follows: Amount of RSU's and PSU’s Weighted average grant date fair value Unvested as of December 31, 2016 729,705 $ 48.14 Granted 776,876 $ 47.67 Vested (270,587 ) $ 49.25 Forfeited (125,095 ) $ 47.33 Unvested as of December 31, 2017 1,110,899 $ 47.63 The total fair value of RSU’s and PSU’s vested (based on fair value of the Company's ordinary shares at vesting date) during the years ended December 31, 2015, 2016 and 2017 was $998, $5,981 and $12,547, respectively.

INCOME TAXES

INCOME TAXES	12 Months Ended
	Dec. 31, 2017
Income Tax Disclosure [Abstract]
INCOME TAXES	NOTE 11: INCOME TAXES CyberArk Software Ltd.'s subsidiaries are separately taxed under the domestic tax laws of the jurisdiction of incorporation of each entity. a. Corporate tax in Israel: Ordinary taxable income of the Company is subject to a corporate tax rate as follows: 2015– 26.5%, 2016 – 25% and 2017 – 24% In December 2016, the Israeli Parliament approved the Economic Efficiency Law (Legislative Amendments for Applying the Economic Policy for the 2017 and 2018 Budget Years), which reduces the corporate income tax rate to 24% effective from January 1, 2017 and to 23% effective from January 1, 2018. b. Income before taxes on income is comprised as follows: Year ended December 31, 2015 2016 2017 Domestic $ 28,285 $ 32,077 $ 13,937 Foreign 3,458 4,124 10,492 $ 31,743 $ 36,201 $ 24,429 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: December 31, 2016 2017 Deferred tax assets: Carry-forwards losses and credits $ 1,956 $ 11,703 Capital losses carry-forwards 50 90 Research and development expenses 4,119 1,448 Deferred revenues 4,222 4,316 Issuance expenses 124 - Share-based compensation 2,979 4,347 Accruals and other 1,612 1,183 Deferred tax assets before valuation allowance 15,062 23,087 Less: Valuation allowance 50 90 Net deferred tax asset $ 15,012 $ 22,997 Deferred tax liabilities: Intangible assets $ 3,961 $ 3,096 Property and equipment and other 662 558 Deferred tax liabilities $ 4,623 $ 3,654 As of December 31, 2017, approximately $23,787 of undistributed earnings held by the company’s foreign subsidiaries are designated as indefinitely reinvested. If we were to repatriate these earnings to Israel, we would subject to income taxes and to an adjustment for foreign tax credits and foreign withholding taxes. Determination of the amount of unrecognized deferred tax liability related to these earnings is not practicable. d. Income taxes are comprised as follows: Year ended December 31, 2015 2016 2017 Current $ 10,042 $ 9,207 $ 2,558 Deferred (4,093 ) (1,130 ) 5,856 $ 5,949 $ 8,077 $ 8,414 Year ended December 31, 2015 2016 2017 Domestic $ 5,208 $ 4,906 $ 3,033 Foreign 741 3,171 5,381 $ 5,949 $ 8,077 $ 8,414 e. A reconciliation of the Company's theoretical income tax expense to actual income tax expense is as follows: Year ended December 31, 2015 2016 2017 Income before income taxes $ 31,743 $ 36,201 $ 24,429 Statutory tax rate 26.5 % 25.0 % 24.0 % Theoretical income tax expense 8,412 9,050 5,863 Utilization of tax losses and deferred taxes for which valuation allowance was provided, net (771 ) (72 ) (5,050 ) Deferred taxes on losses for which valuation allowance was provided, net (1,713 ) - - Non-deductible expenses 2,295 2,569 2,081 Unrecognized tax benefits 8 81 645 Foreign and preferred enterprise tax rates differential (2,303 ) (3,468 ) (1,792 ) Impact of Tax Cuts and Jobs Act of 2017 - - 6,492 Other 21 (83 ) 175 Income tax expense $ 5,949 $ 8,077 $ 8,414 f. Net operating loss carry-forwards: As of December 31, 2017, the Company had net operating and capital tax losses totaling approximately $41,643 and $390, respectively, out of which approximately $2,936 and $390 of losses, respectively, were attributed to Israel and can be carried forward indefinitely and $38,707 and none, respectively, were attributed to the U.S. subsidiary and can be carried forward for up to 20 years. Utilization of some of U.S. net operating losses are subject to annual limitation due to the “ ” g. Tax benefits under the Law for the Encouragement of Capital Investments, 1959: The Company has been granted “ ” “ ” The period of tax benefits detailed above is subject to limits of 12 years from the year of commencement of production, or 14 years from granting of approval, whichever is earlier. The tax-exempt income attributable to the “ ” “ ” Entitlement to the above benefits is conditional upon the Company fulfilling the conditions stipulated by the above law, regulations published thereunder and the letters of approval for the specific investments in “ ” On April 1, 2005, an amendment to the Investment Law came into effect ( “ ” Such an enterprise is a “ ” “ ” As of December 31, 2017, approximately $14,669 was derived from tax exempt profits earned by the Company's “ ” “ ” “ ” “ ” If the Company's retained tax-exempt income is distributed, the income would be taxed at the applicable corporate tax rate as if it had not elected the alternative tax benefits under the Investment Law and an income tax liability of up to $3,601 would be incurred as of December 31, 2017. On December 29, 2010, the Knesset approved an additional amendment to the Law for the Encouragement of Capital Investments, 1959 (“2010 Amendment”). According to the 2010 Amendment, a reduced uniform corporate tax rate for exporting industrial enterprises (over 25%) was established. The reduced tax rate will not be program dependent and will apply to the “Preferred Enterprise's” (as such term is defined in the Investment Law) entire income. Pursuant to the 2010 Amendment, a “Preferred Enterprise” is entitled to a reduced corporate tax rate of 15% in 2011 and 2012, unless the Preferred Enterprise is located in a specified development zone, in which case the rate will be 10%. Such corporate tax rate was determined to be 16% for 2014 until 2016. On March 2013, the Company notified the Israeli Tax Authorities that it had transferred from Beneficiary Enterprise status to Preferred Enterprise status onwards. Amendment to the Law for the Encouragement of Capital Investments, 1959 (“Amendment 73”): In December 2016, the Israeli Knesset passed Amendment 73 to the Investment Law which included a number of changes to the Investments Law regimes. Certain changes were scheduled to come into effect beginning January 1, 2017, provided that regulations are promulgated by the Finance Ministry to implement the "Nexus Principles" based on OECD guidelines recently published as part of the Base Erosion and Profit Shifting (BEPS) project. The regulations have been approved on May 1, 2017 and accordingly, these changes have come into effect. Applicable benefits under the new regime include: Introduction of a benefit regime for "Preferred Technology Enterprises", granting a 12% tax rate in central Israel - on income deriving from Intellectual Property, subject to a number of conditions being fulfilled, including a minimal amount or ratio of annual R&D expenditure and R&D employees, as well as having at least 25% of annual income derived from exports. Preferred Technological Enterprise (“PTE”) is defined as an enterprise which meets the aforementioned conditions and for which total consolidated revenues of its parent company and all subsidiaries are less than NIS 10 billion. A 12% capital gains tax rate on the sale of a preferred intangible asset to a foreign affiliated enterprise, provided that the asset was initially purchased from a foreign resident at an amount of NIS 200 million or more. A withholding tax rate of 20% for dividends paid from PTE income (with an exemption from such withholding tax applying to dividends paid to an Israeli company). Such rate may be reduced to 4% on dividends paid to a foreign resident company, subject to certain conditions regarding percentage of foreign ownership of the distributing entity. h. Tax benefits under the Law for the Encouragement of Industry (Taxation), 1969: Management believes that the Company currently qualifies as an “industrial company” under the above law and as such, is entitled to certain tax benefits including accelerated depreciation, deduction of public offering expenses in three equal annual installments and amortization of other intangible property rights for tax purposes. i. Tax Benefits for Research and Development Israeli tax law (section 20a to the Israeli Tax Ordinance) allows, under certain conditions, a tax deduction for research and development expenses, including capital expenses, for the year in which they are paid. Such expenses must relate to scientific research in industry, agriculture, transportation, or energy, and must be approved by the relevant Israeli government ministry, determined by the field of research. Furthermore, the research and development must be for the promotion of the company’s business and carried out by or on behalf of the company seeking such tax deduction. However, the amount of such deductible expenses is reduced by the sum of any funds received through government grants for the finance of such scientific research and development projects. As for expenses incurred in scientific research that is not approved by the relevant Israeli government ministry, they will be deductible over a three-year period starting from the tax year in which they are paid. The Company believes that it is eligible for the above mentioned benefits. j. Tax Reform- United States of America The U.S. Tax Cuts and Jobs Act of 2017 (“TCJA”) was approved by US Congress on December 20, 2017 and signed into law by US President Donald J. Trump on December 22, 2017. This legislation makes complex and significant changes to the U.S. Internal Revenue Code. Such changes include a reduction in the corporate tax rate and limitations on certain corporate deductions and credits, among other changes. The changes include, but are not limited to: Rate Reduction The TCJA reduces the U.S. federal corporate income tax rate from 35% to 21% for tax years beginning after December 31, 2017. In addition, the TCJA makes certain changes to the depreciation rules and implements new limits on the deductibility of certain expenses and deduction. The Company recorded a reduction of its deferred tax assets as of December 31, 2017 of approximately Deemed Repatriation Transition Tax The Deemed Repatriation Transition Tax is a tax on previously untaxed accumulated and current earnings and profits (“E&P”) of certain foreign subsidiaries. To determine the amount of the Transition Tax, the Company must determine, in addition to other factors, the amount of post-1986 E&P of its foreign subsidiaries, as well as the amount of non-U.S. income taxes paid on such earnings. The Company’s US subsidiary has one foreign subsidiary which impact of the Transaction Tax is expected to be immaterial. The SEC staff has issued SAB 118 which will allow the Company to record provisional amounts during a measurement period. The Company has concluded that a reasonable estimate could be developed for the effects of the tax reform. However, due to the short time frame between the enactment of the reform and the year end, its fundamental changes, the accounting complexity, and the expected ongoing guidance and accounting interpretations over the next 12 months, the Company considers the accounting of the deferred tax remeasurement and other items to be incomplete. k. Tax assessments: As of December 31, 2017, CyberArk Software Ltd.’s tax years until December 31, 2012 are subject to statutes of limitation. The Company is currently under examination by the Israeli Tax Authorities for the tax years 2013 through 2015. As of that date, the U.K. subsidiary's tax years until December 31, 2013 are also subject to statutes of limitation. The U.S. subsidiary's tax years ended from December 31, 2011 and 2014 through 2017 are still open, as the statutes of limitation have not yet expired. The U.S. subsidiary is currently under examination by the U.S. Internal Revenue Service for the tax years 2015 and 2016. l. Unrecognized tax benefits: A reconciliation of the opening and closing amounts of total unrecognized tax benefits is as follows: Year ended December 31, 2016 2017 Opening balance $ 362 $ 474 Increase related to prior year tax positions 53 348 Increase related to current year tax positions 59 297 Closing balance $ 474 $ 1,119 During the years ended December 31, 2015, 2016 and 2017, the Company recorded $5, $18 and $56, respectively, for interest expense related to uncertain tax positions. As of December 31, 2016 and 2017, accrued interest was $47 and $103, respectively. Although the Company believes that it has adequately provided for any reasonably foreseeable outcomes related to tax audits and settlement, there is no assurance that the final tax outcome of its tax audits will not be different from that which is reflected in the Company’s income tax provisions. Such differences could have a material effect on the Company’s income tax provision, cash flow from operating activities and net income in the period in which such determination is made.

FINANCIAL INCOME (EXPENSES), NE

FINANCIAL INCOME (EXPENSES), NET	12 Months Ended
	Dec. 31, 2017
Other Income and Expenses [Abstract]
FINANCIAL INCOME (EXPENSES), NET	NOTE 12: FINANCIAL INCOME (EXPENSES), NET Year ended December 31, 2015 2016 2017 Bank charges $ (86 ) $ (144 ) $ (158 ) Exchange rate income (losses), net (1,723 ) (969 ) 1,735 (1,809 ) (1,113 ) 1,577 Interest income 330 1,358 2,526 Financial income (expenses), net $ (1,479 ) $ 245 $ 4,103

BASIC AND DILUTED NET INCOME PE

BASIC AND DILUTED NET INCOME PER SHARE	12 Months Ended
	Dec. 31, 2017
Earnings Per Share [Abstract]
BASIC AND DILUTED NET INCOME PER SHARE	NOTE 13: BASIC AND DILUTED NET INCOME PER SHARE Year ended December 31, 2015 2016 2017 Numerator: Net income available to shareholders of ordinary shares $ 25,794 $ 28,124 $ 16,015 Denominator: Shares used in computing net income per ordinary shares, basic 32,124,772 33,741,359 34,824,312 Year ended December 31, 2015 2016 2017 Numerator: Net income available to shareholders of ordinary shares $ 25,794 $ 28,124 $ 16,015 Denominator: Shares used in computing net income per ordinary shares, diluted 35,322,716 35,838,863 36,175,824

SEGMENTS, CUSTOMERS AND GEOGRAP

SEGMENTS, CUSTOMERS AND GEOGRAPHIC INFORMATION	12 Months Ended
	Dec. 31, 2017
Segment Reporting [Abstract]
SEGMENTS, CUSTOMERS AND GEOGRAPHIC INFORMATION	NOTE 14: SEGMENTS, CUSTOMERS AND GEOGRAPHIC INFORMATION a. The Company applies ASC Topic 280, “ ” “ ” b. The following tables present total revenues for the years ended December 31, 2015, 2016 and 2017 and long-lived assets as of December 31, 2016 and 2017: Revenues: Year ended December 31, 2015 2016 2017 United States $ 92,034 $ 125,749 $ 145,453 Israel 5,203 6,818 7,282 United Kingdom 16,746 21,699 24,837 Europe, the Middle East and Africa *) 28,695 39,577 49,659 Other 18,134 22,770 34,470 $ 160,812 $ 216,613 $ 261,701 For the year ended December 31, 2016, 12.1% of the Company's total revenues were derived from one channel partner. For the years ended December 31, 2015 and 2017, no single customer contributed more than 10% to the Company's total revenues. Long-lived assets: December 31, 2016 2017 United States $ 1,421 $ 1,252 Israel 3,014 7,493 United Kingdom 90 233 Europe, the Middle East and Africa *) 24 39 Other 211 213 $ 4 760 $ 9,230 *) Excluding United Kingdom and Israel

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	12 Months Ended
	Dec. 31, 2017
Subsequent Events [Abstract]
SUBSEQUENT EVENTS	NOTE 15: SUBSEQUENT EVENTS On March 12, 2018, the Company acquired all of the share capital of Vaultive Ltd (“Vaultive”) for total gross cash consideration of approximately $19 million. Vaultive is a privately-owned Israeli company, whose technology would enable the Company to advance its privilege account security for the cloud.

SIGNIFICANT ACCOUNTING POLICI24

SIGNIFICANT ACCOUNTING POLICIES (Policies)	12 Months Ended
	Dec. 31, 2017
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, share-based compensation, value of intangible assets and goodwill 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 financial statements of CyberArk Software Ltd. and its wholly-owned subsidiaries. All 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 a substantial portion of the Company's costs are incurred in U.S. dollars and New Israeli Shekels ( “ ”) Accordingly, monetary accounts maintained in currencies other than the U.S. dollar are re-measured into U.S. dollars in accordance with Statement of the Accounting Standard Codification ( “ ” “ ” “ ”
Cash and cash equivalents	d. Cash and cash equivalents: Cash equivalents are short-term highly liquid deposits that are readily convertible to cash with original maturities of three months or less, at the date acquired.
Short-term bank deposits	e. Short-term bank deposits: Short-term bank deposits are deposits with maturities of up to one year. As of December 31, 2016 and 2017, the Company's bank deposits are denominated in U.S. dollars and NIS and bear yearly interest at weighted average deposits rates of 1.26% and 1.69%, respectively. Short-term bank deposits are presented at their cost, including accrued interest. A portion of these deposits is used as security for the rental of premises and as a security for the Company's hedging activities.
Investments in marketable securities	f. Investments in marketable securities: The Company accounts for investments in debt marketable securities in accordance with ASC No. 320, “ ” The Company's securities are reviewed for impairment in accordance with ASC 320-10-35. If such assets are considered to be impaired, the impairment charge is recognized in earnings when a decline in the fair value of its investments below the cost basis is judged to be Other-Than-Temporary Impairment (OTTI). Factors considered in making such a determination include the duration and severity of the impairment, the reason for the decline in value, the potential recovery period and the Company's intent to sell, including whether it is more likely than not that the Company will be required to sell the investment before recovery of cost basis. Based on the above factors, the Company concluded that unrealized losses on its available-for-sale securities, for the years ended December 31, 2015 2016 and 2017 were not OTTI.
Property and equipment	g. 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, software and related equipment 16 - 33 Office furniture and equipment 7 - 20 Leasehold improvements Over the shorter of the related lease period or the life of the asset
Long-lived assets	h. Long-lived assets: The long-lived assets of the Company are reviewed for impairment in accordance with ASC No. 360, “ ” “ ”
Business combination	i. Business combination: The Company accounts for its business acquisitions in accordance with Accounting Standards Codification ASC No. 805, “ ”
Goodwill and other intangible assets	j. Goodwill and other intangible assets: Goodwill and certain other purchased intangible assets have been recorded in the Company's financial statements as a result of acquisitions. Goodwill represents excess of the purchase price in a business combination over the fair value of identifiable tangible and intangible assets acquired of businesses acquired. Goodwill is not amortized, but rather is subject to an impairment test. ASC No. 350, “ ” “ ” For the years ended December 31, 2015, 2016 and 2017, no impairment losses were identified. Purchased intangible assets with finite lives are carried at cost, less accumulated amortization. Amortization is computed over the estimated useful lives of the respective assets which range from two to eleven years. Acquired customer relationship and backlog are amortized over their estimated useful lives in proportion to the economic benefits realized. Other intangible assets consist primarily of technology are amortized over their estimated useful lives on a straight-line basis.
Derivative instruments	k. Derivative instruments: ASC No. 815, “ ” 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. For derivative instruments that are designated and qualify as a cash flow hedge (i.e., hedging the exposure to variability in expected future cash flows that is attributable to a particular risk), the effective portion of the gain or loss on the derivative instrument is reported as a component of other comprehensive income and reclassified into earnings in the same period or periods during which the hedged transaction affects earnings. The remaining gain or loss on the derivative instrument in excess of the cumulative change in the present value of future cash flows of the hedged item, if any, is recognized in current earnings during the period of change. To hedge against the risk of 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 expenses denominated in NIS. These forward and option contracts are designated as cash flow hedges, as defined by ASC 815, and are all effective, as their critical terms match underlying transactions being hedged. As of December 31, 2016 and 2017, the amount recorded in accumulated other comprehensive income (loss) from the Company's currency forward and option transactions was $(34) (net of tax of $6) and $277 (net of tax of $38), respectively. At December 31, 2017, the notional amounts of foreign exchange forward contracts into which the Company entered were $17,366. The foreign exchange forward contracts will expire by September 2018. The fair value of derivative instruments assets balance as of December 31, 2016 and 2017, totaled $32 and $315, respectively. The fair value of derivative instruments liabilities balance as of December 31, 2016 and 2017, totaled $72 and $0, respectively. In addition to the derivatives that are designated as hedges as discussed above, the Company enters into certain foreign exchange forward transactions to economically hedge certain account receivables in Euros and GBP. For the years ended December 31, 2015, 2016 and 2017, the Company recorded financial income (loss), net from hedging transactions of $260, $270 and $(796), respectively.
Severance pay	l. Severance pay: The Israeli Severance Pay Law, 1963 ( “ ” The majority of the Company's liability for severance pay is covered by the provisions of Section 14 of the Severance Pay Law ( “ ” 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 accruals. The value of these deposits is recorded as an asset on the Company's balance sheet. Severance expense for the years ended December 31, 2015, 2016 and 2017, amounted to $1,794, $2,503 and $2,707, respectively.
U.S. defined contribution plan	m. U.S. defined contribution plan: The U.S. subsidiary has a 401(k) defined contribution plan covering certain full time and part time employees in the U.S, excluding leased employees and contractors. All eligible employees may elect to contribute up to an annual maximum, of the lesser of 100% of their annual compensation to the plan through salary deferrals, subject to Internal Revenue Service limits, but not greater than $18 per year (for certain employees over 50 years of age the maximum contribution is $24 per year). The U.S. subsidiary matches amounts equal to 100% of the first 3% of the employee’s compensation that they contribute to the defined contribution plan and 50% of the next 2% of their compensation that they contribute to the defined contribution plan with a limit of $10.8 per year. For the years ended December 31, 2015, 2016 and 2017, the U.S. subsidiary recorded expenses for matching contributions of $907, $1,259 and $1,677, respectively.
Revenue recognition	n. Revenue recognition: The Company generates revenues from licensing the rights to use its software products, maintenance and professional services. The Company sells its products through its direct sales force and indirectly through resellers. The Company accounts for its software licensing sales in accordance with ASC 985-605, “ ” “ ” “ ” Maintenance and professional services are sold separately and therefore the selling price (VSOE) is based on stand-alone transactions. Under the residual method, at the outset of the arrangement with the customer, the Company defers revenue for the fair value of its undelivered elements and recognizes revenue for the remainder of the arrangement fee attributable to the elements initially delivered in the arrangement (software element) when all other criteria in ASC 985-605 have been met. Any discount in the arrangement is allocated to the delivered element. Software license revenues are recognized when persuasive evidence of an arrangement exists, the software license has been delivered, there are no uncertainties surrounding product acceptance, there are no significant future performance obligations, the license fees are fixed or determinable and collection of the license fee is considered probable. Fees for arrangements with payment terms extending beyond customary payment terms are considered not to be fixed or determinable, in which case revenue is deferred and recognized when payments become due from the customer provided that all other revenue recognition criteria have been met. The Company recognizes revenues from the sale of term license arrangements ratably on a straight-line basis, over the term of the underlying contract, and is typically one year or to a lesser extent, three years. Revenues from maintenance and support contracts are recognized ratably, on a straight-line basis over the term of the related contract and revenues from professional services consist mostly of time and material services which are recognized as the services are performed. Professional services are not considered to be essential to the functionality of the software. The Company's software license, maintenance and professional services sold through resellers are non-exchangeable, non-refundable, non-returnable and without any rights of price protection. Accordingly, the Company considers resellers as customers. Deferred revenue includes unearned amounts received under maintenance and support contracts, professional services and amounts received from customers for licenses that do not meet the revenue recognition criteria as of the balance sheet date.
Research and development costs	o. Research and development costs: Research and development costs are charged to the statements of comprehensive income as incurred. ASC 985-20, “ ” 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 model and the point at which the product is ready for general release, have been insignificant. Therefore, all research and development costs are expensed as incurred.
Internal use software	p. Internal use software: The costs to obtain or develop for internal use software with respect to the Company’s Enterprise Resource Planning (“ERP”) system, are capitalized based on qualifying criteria, which includes a determination of whether such costs are incurred during the application stage. Such costs are amortized over the software’s estimated life. Costs incurred to develop software applications consist of (a) certain external direct costs of materials and services incurred in developing or obtaining internal-use computer software, and (b) payroll and payroll-related costs for employees who are directly associated with, and who devote time to, the project.
Marketing expenses	q. Marketing expenses: Marketing expenses consist primarily of marketing campaigns and tradeshows. Marketing expenses are charged to the statement of comprehensive income, as incurred. Marketing expenses for the years ended December 31, 2015, 2016 and 2017, amounted to $7,498, $10,622 and $14,106, respectively.
Share-based compensation	r. Share-based compensation: The Company accounts for share-based compensation in accordance with ASC 718, “ ” “ ” 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. The Company has selected the Black-Scholes-Merton option-pricing model as the most appropriate fair value method for its option awards. The fair value of restricted stock units (“RSU”) and performance stock units (“PSU”) is based on the closing market value of the underlying shares at the date of grant. 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.
Income taxes	s. Income taxes: The Company accounts for income taxes in accordance with ASC No. 740-10, “Income Taxes” (“ASC No. 740-10”). ASC No. 740-10 prescribes the use of the asset and liability method whereby deferred tax asset and liability account balances are determined based on temporary differences between financial reporting and tax bases of assets and liabilities and are measured using the enacted tax rates and laws that will be in effect when the differences are expected to reverse. The Company 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. The Company established reserves for uncertain tax positions based on the evaluation of whether or not the Company's uncertain tax position is “more likely than not” to be sustained upon examination. The Company records interest and penalties pertaining to its uncertain tax positions in the financial statements as income tax expense.
Basic and diluted net income per share	t. Basic and diluted net income per share: Basic net income per ordinary share is computed by dividing net income for each reporting period by the weighted-average number of ordinary shares outstanding during each year. Diluted income per ordinary share is computed by dividing net income for each reporting period by the weighted average number of ordinary shares outstanding during the period, plus dilutive potential ordinary shares considered outstanding during the period, in accordance with ASC 260-10 “Earnings Per Share”. The total weighted average number of shares related to outstanding options, RSU's and PSU’s that have been excluded from the calculation of diluted net earnings per share was 484,726, 1,381,114 and 1,880,018 for the years ended December 31, 2015, 2016 and 2017, respectively.
Comprehensive income (loss)	u. Comprehensive income (loss): The Company accounts for comprehensive income (loss) in accordance with Accounting Standards Codification No. 220, “ ” “ ”
Concentration of credit risks	v. Concentration of credit risks: Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash and cash equivalents, short-term bank deposits, marketable securities, trade receivables, severance pay funds and derivative instruments. The majority of the Company's cash and cash equivalents and short-term bank deposits are invested with major banks in Israel and the United States. Such investments in the United States are primarily in excess of insured limits and are not insured in other jurisdictions. Generally, these investments may be redeemed upon demand and the Company believes that the financial institutions that hold Company’s cash deposits The Company's marketable securities consist of investments, which are highly rated by credit agencies, in government, corporate and government sponsored enterprises debentures. The Company's investment policy limits the amount that the Company may invest in any one type of investment or issuer, in order to reduce credit risk concentrations. The trade receivables of the Company are mainly derived from sales to diverse set of customers located primarily in the United States, Europe and Asia. The Company performs ongoing credit evaluations of its customers and, to date, has not experienced any significant losses. The Company has entered into forward contracts with major banks in Israel to protect against the risk of changes in exchange rates. The derivative instruments hedge a portion of the Company's non-dollar currency exposure.
Fair value of financial instruments	w. 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, short-term bank deposits, trade receivables, prepaid expenses and other current assets, trade payables, employees and payroll accruals and accrued expenses and other current liabilities approximate their fair values due to the short-term maturities of these instruments. The Company applies ASC No. 820, “ ” “ ” 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 Level 1 - Inputs are unadjusted quoted prices in active markets for identical assets or liabilities that can be accessed at the measurement date. Level 2 - Inputs are quoted prices for similar assets and liabilities in active markets or inputs that are observable for the assets or liabilities, either directly or indirectly through market corroboration, for substantially the full term of the financial instruments. Level 3 - Inputs are unobservable inputs based on the Company's own assumptions used to measure assets and liabilities at fair value. The inputs require significant management judgment or estimation. 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 instruments, at fair value using the market approach valuation technique. Foreign currency derivative contracts as detailed in note 2.k are classified within Level 2 value hierarchy, as the valuation inputs are based on quoted prices and market observable data of similar instruments.
Legal contingencies	x. Legal contingencies: From time to time, the Company becomes involved in legal proceedings or is subject to claims arising in its ordinary course of business. Such matters are generally subject to many uncertainties and outcomes are not predictable with assurance. The Company accrues for contingencies when the loss is probable and it can reasonably estimate the amount of any such loss. Except as set forth in Note 8c, the Company is currently not a party to any material legal or administrative proceedings and, is not aware of any material pending or threatened material legal or administrative proceedings against the Company.
Recently adopted accounting pronouncements	y. Recently adopted accounting pronouncements: In March 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-09 Compensation-Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting. This standard simplifies various aspects related to how share-based payments are accounted for and presented in the financial statements, including income taxes, forfeitures and statutory tax withholding requirements. The guidance is effective for the Company beginning in the first quarter of 2017. This standard requires to recognize excess tax benefits as income taxes in the period in which they occur. This standard also requires the Company to classify excess tax benefits as an operating activity instead of financing activity in the consolidated statements of cash flows. The standard also provides an accounting policy election to account for forfeitures as they occur. The Company elected to account for forfeitures as they occur. In October 2016, the FASB issued ASU 2016-16, Income Taxes (Topic 740); Intra-Entity Transfers of Assets Other than Inventory. This guidance was issued to improve the accounting for income tax consequences of intra-entity transfers of assets other than inventory. Under the amendment an entity should recognize the income tax consequences of an intra-entity transfer of an asset other than inventory when the transfer occurs. The update is effective for annual periods beginning after December 15, 2017, and interim periods thereafter. The Company early adopted the standard in the first quarter of 2017. The net cumulative effect of the adoption of these standards increased deferred taxes, additional paid-in capital and retained earnings by $13.6 million, $0.4 million and $13.2 million, respectively.
Recently issued accounting standards	z. Recently issued accounting standards: In May 2014, FASB issued ASU 2014-09, Revenue from Contracts with Customers (Topic 606) (ASU 2014-09), an updated standard on revenue recognition and issued subsequent amendments to the initial guidance in March 2016, April 2016, May 2016 and December 2016 within ASU 2016-08, 2016-10, 2016-12 and 2016-20, respectively. The core principle of the new standard is for companies to recognize revenue to depict the transfer of goods and services to customers in amounts that reflect the consideration to which the company expects to be entitled in exchange for those goods and services. In addition, the new standard requires expanded disclosures. The Company has adopted the standard effective January 1, 2018 using the modified retrospective method. The most significant impact of the new standard relates to the way the Company accounts for term license arrangements and costs to obtain customer contracts. Specifically, under the current revenue standard, the Company recognizes both the term license and maintenance revenues ratably over the contract period whereas under the new revenue standard term license revenues are recognized upfront, upon delivery, and the associated maintenance revenues are recognized over the contract period. The Company has also considered the impact of the guidance in ASC 340-40, “Other Assets and Deferred Costs” under the new standard. Under the Company’s current accounting policy, sales commissions are expensed as incurred. The new standard requires the capitalization of all incremental costs that the Company incurs to obtain a contract with a customer that it would not have incurred if the contract had not been obtained, provided the Company expects to recover the costs. The Company applied the new standard with respect to existing contracts which are not substantially completed as of January 1, 2018. As a result, In February 2016, the FASB issued ASU 2016-02. ASU 2016-02 changes the current lease accounting standard by requiring the recognition of lease assets and lease liabilities for all leases, including those currently classified as operating leases. This new guidance is to be applied under a modified retrospective application to the earliest reporting period presented for reporting periods beginning after December 15, 2018. Early adoption is permitted. The Company is currently evaluating the potential impact of this new guidance on its financial statements. In June 2016, the FASB Issued ASU 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. The new standard requires financial assets measured at amortized cost be presented at the net amount expected to be collected, through an allowance for credit losses that is deducted from the amortized cost basis. The standard will be effective for the Company beginning January 1, 2020, with early adoption permitted. The Company is evaluating the impact of adopting this new accounting guidance on its consolidated financial statements . In November 2016, the FASB issued ASU 2016-18, “Statement of Cash Flows (Topic 230): Restricted Cash”, which requires companies to include amounts generally described as restricted cash and restricted cash equivalents in cash and cash equivalents when reconciling beginning-of-period and end-of-period total amounts shown on the statement of cash flows. This ASU is effective for annual and interim periods beginning after December 15, 2017. The adoption of this standard will not have a material impact on the Company’s consolidated financial statements of cash flows. In January 2017, FASB issued ASU 2017-01, Business Combinations (Topic 805) Clarifying the Definition of Business. ASU 2017-01 clarifies the definition of a business with the objective of adding guidance to assist entities with evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. The update to the standard is effective for interim and annual periods beginning after December 15, 2017, and applied prospectively. The Company does not expect that the adoption of this standard will have a material impact on the consolidated financial statements. In January 2017, the FASB issued ASU 2017-04, simplifying the Test for Goodwill Impairment (Topic 350). This standard eliminates Step 2 from the goodwill impairment test, instead requiring an entity to recognize a goodwill impairment charge for the amount by which the goodwill carrying amount exceeds the reporting unit's fair value. This guidance is effective for interim and annual goodwill impairment tests in fiscal years beginning after December 15, 2019 with early adoption permitted. This guidance must be applied on a prospective basis. The Company is currently evaluating the potential effect of the guidance on its consolidated financial statements. In August 2017, the FASB issued ASU 2017-12, “Targeted Improvements to Accounting for Hedging Activities.” The standard better aligns an entity’s hedging activities and financial reporting for hedging relationships through changes to both the designation and measurement guidance for qualifying hedging relationships and the presentation of hedge results in the financial statements. The standard will prospectively make hedge accounting easier to apply to hedging activities and also enhances disclosure requirements for how hedge transactions are reflected in the financial statements when hedge accounting is elected. The standard is effective for fiscal years beginning after December 15, 2018, with early adoption permitted. The Company is evaluating the impact of adopting this new accounting guidance on its consolidated financial statements.

GENERAL (Tables)

GENERAL (Tables)	12 Months Ended
	Dec. 31, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Schedule of Pro Forma Results	The following table presents unaudited pro forma revenue, net income and basic and diluted net income for periods presented assuming the acquisition of Conjur occurred on January 1, 2016. The pro forma information is not necessarily indicative of the results of operations, which actually would have occurred had the acquisition been consummated on that date, nor does it purport to represent the results of operations for future periods: Conjur: December 31, 2016 2017 (Unaudited) Pro forma revenue $ 217,570 $ 262,169 Pro forma net income $ 23,705 $ 13,985 Basic net income per ordinary share $ 0.70 $ 0.40 Diluted net income per ordinary share $ 0.66 $ 0.39

SIGNIFICANT ACCOUNTING POLICI26

SIGNIFICANT ACCOUNTING POLICIES (Tables)	12 Months Ended
	Dec. 31, 2017
Accounting Policies [Abstract]
Schedule of Depreciation Rates	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, software and related equipment 16 - 33 Office furniture and equipment 7 - 20 Leasehold improvements Over the shorter of the related lease period or the life of the asset

MARKETABLE SECURITIES (Table)

MARKETABLE SECURITIES (Table)	12 Months Ended
	Dec. 31, 2017
Investments, Debt and Equity Securities [Abstract]
Schedule of summarizes the amortized cost, unrealized gains and losses, and fair value of available-for-sale marketable securities	The following tables summarize the amortized cost, unrealized gains and losses, and fair value of available-for-sale marketable securities as of December 31, 2016 and 2017: December 31, 2016 Amortized cost Gross unrealized losses Gross unrealized gains Fair value Corporate debentures $ 32,734 $ (154 ) $ - $ 32,580 U.S. Agencies debentures 2,457 (14 ) - 2,443 Government treasuries 666 - - 666 Total $ 35,857 $ (168 ) $ - $ 35,689 December 31, 2017 Amortized cost Gross unrealized losses Gross unrealized gains Fair value Corporate debentures $ 58,321 $ (175 ) $ 6 $ 58,152 U.S. Agencies debentures 3,311 (31 ) - 3,280 Total $ 61,632 $ (206 ) $ 6 $ 61,432 *) Out of the unrealized losses, an amount of $84 has been in a continuous unrealized losses position for twelve months or longer.
Schedule of summarizes the amortized cost and fair value of available-for-sale marketable securities	The following table summarizes the amortized cost and fair value of available-for-sale marketable securities as of December 31, 2016 and 2017, by contractual years-to maturity: December 31, 2016 2017 Amortized cost Fair value Amortized cost Fair value Due within one year $ 15,269 $ 15,246 $ 34,082 $ 34,025 Due between one and four years 20,588 20,443 27,550 27,407 $ 35,857 $ 35,689 $ 61,632 $ 61,432

PREPAID EXPENSES AND OTHER CU28

PREPAID EXPENSES AND OTHER CURRENT ASSETS (Tables)	12 Months Ended
	Dec. 31, 2017
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Schedule of Prepaid Expenses And Other Current Assets	December 31, 2016 2017 Prepaid expenses $ 3,169 $ 4,089 Hedging transaction assets 379 315 Government authorities 947 2,533 Other current assets 309 470 $ 4,804 $ 7,407

PROPERTY AND EQUIPMENT, NET (Ta

PROPERTY AND EQUIPMENT, NET (Tables)	12 Months Ended
	Dec. 31, 2017
Property, Plant and Equipment [Abstract]
Schedule of Property And Equipment	The composition of property and equipment is as follows: December 31, 2016 2017 Cost: Computers, software and related equipment *) $ 5,792 $ 9,149 Leasehold improvements 1,621 3,200 Office furniture and equipment 1,353 2,167 8,766 14,516 Less - accumulated depreciation 4,006 5,286 Depreciated cost $ 4,760 $ 9,230 *) For the year ended December 31, 2016, the costs capitalized were not material. For the year ended December 31, 2017, the Company capitalized $1,027, including $31 share-based compensation costs, relating to its internal use software development for its ERP system.

GOODWILL AND OTHER INTANGIBLE30

GOODWILL AND OTHER INTANGIBLE ASSETS, NET (Tables)	12 Months Ended
	Dec. 31, 2017
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of carrying amount of goodwill	Changes in the carrying amount of goodwill: December 31, 2016 2017 Balance as of beginning of the year $ 35,145 $ 35,145 Goodwill acquired - 34,072 Closing balance $ 35,145 $ 69,217
Schedule of Intangible Assets	The composition of intangible assets is as follows: December 31, 2016 2017 Original amount: Technology $ 14,073 $ 20,717 Customer relationships 5,120 5,120 Other 490 664 19,683 26,501 Less - accumulated amortization 5,648 10,837 Intangible assets, net $ 14,035 $ 15,664
Schedule of Future Amortization Expense	The estimated future amortization expense of intangible assets as of December 31, 2017 is as follows: 2018 $ 5,486 2019 4,505 2020 2,737 2021 1,655 2022 723 Thereafter 558 $ 15,664

ACCRUED EXPENSES AND OTHER CU31

ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Tables)	12 Months Ended
	Dec. 31, 2017
Payables and Accruals [Abstract]
Schedule of Accrued Expenses And Other Current Liabilities	December 31, 2016 2017 Government authorities $ 3,722 $ 5,433 Accrued expenses 2,602 2,974 Unrecognized tax benefits 474 1,119 Hedging transaction liabilities 78 683 $ 6,876 $ 10,209

COMMITMENTS AND CONTINGENT LI32

COMMITMENTS AND CONTINGENT LIABILITIES (Tables)	12 Months Ended
	Dec. 31, 2017
Commitments and Contingencies Disclosure [Abstract]
Schedule of Minimum Lease Payments	The Company leases its facilities under various operating lease agreements, which expire through 2022. In addition, the Company leases certain motor vehicles under certain car operating lease agreements which expire through 2020. The minimum lease payments under operating leases as of December 31, 2017 are as follows: Lease of premises Lease of motor vehicles 2018 $ 5,271 $ 375 2019 5,238 256 2020 4,220 79 2021 1,437 - 2022 938 - $ 17,104 $ 710

FAIR VALUE MEASUREMENTS (Table)

FAIR VALUE MEASUREMENTS (Table)	12 Months Ended
	Dec. 31, 2017
Fair Value Disclosures [Abstract]
Schedule of fair value of financial assets and liabilities	The following tables present the fair value of money market funds and marketable securities for the year ended December 31, 2016 and 2017: December 31, 2016 2017 Level 1 Level 2 Total Level 1 Level 2 Total Cash equivalents: Money market funds $ 1,906 $ - $ 1,906 $ 1,749 $ - $ 1,749 Marketable securities: Corporate debentures - 32,580 32,580 - 58 152 58 152 U.S. Agencies debentures - 2,443 2,443 - 3 280 3 280 Government treasuries - 666 666 - - - Total assets measured at fair value $ 1,906 $ 35,689 $ 37,595 $ 1,749 $ 61 432 $ 63 181

SHAREHOLDERS' EQUITY (Tables)

SHAREHOLDERS' EQUITY (Tables)	12 Months Ended
	Dec. 31, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Schedule of Shares Capital	Composition of share capital of the Company: December 31, 2016 2017 Authorized Issued and outstanding Authorized Issued and outstanding Number of shares Ordinary shares of NIS 0.01 par value each 250,000,000 34,250,590 250,000,000 35,274,888
Schedule of 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, 2015, 2016 and 2017 is comprised as follows: Year ended December 31, 2015 2016 2017 Cost of revenues $ 499 $ 1,386 $ 2,289 Research and development 1 4,660 6,110 Sales and marketing 2,214 5,765 8,642 General and administrative 2,829 5,724 8,196 Total share-based compensation expense $ 7,049 $ 17,535 $ 25,237
Schedule of Stock Option Activity	A summary of the activity in options granted to employees for the year ended December 31, 2017 is as follows: Amount of options Weighted average exercise price Weighted average remaining contractual term (in years) Aggregate intrinsic value Balance as of December 31, 2016 3,038,357 $ 22.58 6.70 $ 77,346 Granted 427,650 $ 48.91 Exercised (753,711 ) $ 3.48 Forfeited (171,878 ) $ 45.23 Balance as of December 31, 2017 2,540,418 $ 31.15 6.99 $ 39,659 Exercisable as of December 31, 2017 1,694,564 $ 22.54 6.15 $ 39,118
Schedule of Fair Value Assumptions	The following table sets forth the parameters used in computation of the options compensation to employees for the years ended December 31, 2015, 2016 and 2017: Year ended December 31, 2015 2016 2017 Expected volatility 45 % 45 % 45%-48 % Expected dividends 0 % 0 % 0 % Expected term (in years) 5.78-6.12 5.25-6.10 5.25-6.25 Risk free rate 1.37%-1.68 % 1.30%- 1.70 % 1.77%- 2.05 %
Schedule of Options Data	A summary of options data for the years ended December 31, 2015, 2016 and 2017, is as follows: Year ended December 31, 2015 2016 2017 Weighted-average grant date fair value of options granted $ 24.56 $ 19.16 $ 21.81 Total intrinsic value of the options exercised $ 110,191 $ 37,618 $ 33,614
Schedule of Outstanding and Exercisable Options	The following tables summarize information about the Company's outstanding and exercisable options granted to employees as of December 31, 2017: Exercise price Options outstanding as of December 31, 2017 Weighted average remaining contractual term Options exercisable as of December 31, 2017 Weighted average remaining contractual term (years) (years) $ 0.20 – 2.21 669,752 4.42 669,752 4.42 $ 6.47 – 14.00 376,103 6.20 372,779 6.20 $ 37.44 – 44.37 270,269 8.42 97,108 8.06 $ 45.58 – 51.86 744,621 8.68 258,483 8.31 $ 52.48 – 64.93 479,673 7.75 296,442 7.51 2,540,418 6.99 1,694,564 6.15
Schedule of RSUs and PSUs Activity	A summary of RSUs and PSUs activity for the year ended December 31, 2017 is as follows: Amount of RSU's and PSU’s Weighted average grant date fair value Unvested as of December 31, 2016 729,705 $ 48.14 Granted 776,876 $ 47.67 Vested (270,587 ) $ 49.25 Forfeited (125,095 ) $ 47.33 Unvested as of December 31, 2017 1,110,899 $ 47.63

INCOME TAXES (Tables)

INCOME TAXES (Tables)	12 Months Ended
	Dec. 31, 2017
Income Tax Disclosure [Abstract]
Schedule of Income Before Income Taxes	Income before taxes on income is comprised as follows: Year ended December 31, 2015 2016 2017 Domestic $ 28,285 $ 32,077 $ 13,937 Foreign 3,458 4,124 10,492 $ 31,743 $ 36,201 $ 24,429
Schedule of Deferred Tax Assets and Liabilities	Significant components of the Company's deferred tax assets and liabilities are as follows: December 31, 2016 2017 Deferred tax assets: Carry-forwards losses and credits $ 1,956 $ 11,703 Capital losses carry-forwards 50 90 Research and development expenses 4,119 1,448 Deferred revenues 4,222 4,316 Issuance expenses 124 - Share-based compensation 2,979 4,347 Accruals and other 1,612 1,183 Deferred tax assets before valuation allowance 15,062 23,087 Less: Valuation allowance 50 90 Net deferred tax asset $ 15,012 $ 22,997 Deferred tax liabilities: Intangible assets $ 3,961 $ 3,096 Property and equipment and other 662 558 Deferred tax liabilities $ 4,623 $ 3,654
Schedule of Income Taxes	Income taxes are comprised as follows: Year ended December 31, 2015 2016 2017 Current $ 10,042 $ 9,207 $ 2,558 Deferred (4,093 ) (1,130 ) 5,856 $ 5,949 $ 8,077 $ 8,414 Year ended December 31, 2015 2016 2017 Domestic $ 5,208 $ 4,906 $ 3,033 Foreign 741 3,171 5,381 $ 5,949 $ 8,077 $ 8,414
Schedule of Reconciliation of Income Taxes	A reconciliation of the Company's theoretical income tax expense to actual income tax expense is as follows: Year ended December 31, 2015 2016 2017 Income before income taxes $ 31,743 $ 36,201 $ 24,429 Statutory tax rate 26.5 % 25.0 % 24.0 % Theoretical income tax expense 8,412 9,050 5,863 Utilization of tax losses and deferred taxes for which valuation allowance was provided, net (771 ) (72 ) (5,050 ) Deferred taxes on losses for which valuation allowance was provided, net (1,713 ) - - Non-deductible expenses 2,295 2,569 2,081 Unrecognized tax benefits 8 81 645 Foreign and preferred enterprise tax rates differential (2,303 ) (3,468 ) (1,792 ) Impact of Tax Cuts and Jobs Act of 2017 - - 6,492 Other 21 (83 ) 175 Income tax expense $ 5,949 $ 8,077 $ 8,414
Schedule of Unrecognized Tax Benefits	A reconciliation of the opening and closing amounts of total unrecognized tax benefits is as follows: Year ended December 31, 2016 2017 Opening balance $ 362 $ 474 Increase related to prior year tax positions 53 348 Increase related to current year tax positions 59 297 Closing balance $ 474 $ 1,119

FINANCIAL INCOME (EXPENSES), 36

FINANCIAL INCOME (EXPENSES), NET (Tables)	12 Months Ended
	Dec. 31, 2017
Other Income and Expenses [Abstract]
Schedule of Financial Income (Expenses)	Year ended December 31, 2015 2016 2017 Bank charges $ (86 ) $ (144 ) $ (158 ) Exchange rate income (losses), net (1,723 ) (969 ) 1,735 (1,809 ) (1,113 ) 1,577 Interest income 330 1,358 2,526 Financial income (expenses), net $ (1,479 ) $ 245 $ 4,103

BASIC AND DILUTED NET INCOME 37

BASIC AND DILUTED NET INCOME PER SHARE (Tables)	12 Months Ended
	Dec. 31, 2017
Earnings Per Share [Abstract]
Schedule of Basic and Diluted Income per Share	Year ended December 31, 2015 2016 2017 Numerator: Net income available to shareholders of ordinary shares $ 25,794 $ 28,124 $ 16,015 Denominator: Shares used in computing net income per ordinary shares, basic 32,124,772 33,741,359 34,824,312 Year ended December 31, 2015 2016 2017 Numerator: Net income available to shareholders of ordinary shares $ 25,794 $ 28,124 $ 16,015 Denominator: Shares used in computing net income per ordinary shares, diluted 35,322,716 35,838,863 36,175,824

SEGMENTS, CUSTOMERS AND GEOGR38

SEGMENTS, CUSTOMERS AND GEOGRAPHIC INFORMATION (Tables)	12 Months Ended
	Dec. 31, 2017
Segment Reporting [Abstract]
Schedule of Revenue by Geographic Location	The following tables present total revenues for the years ended December 31, 2015, 2016 and 2017 and long-lived assets as of December 31, 2016 and 2017: Revenues: Year ended December 31, 2015 2016 2017 United States $ 92,034 $ 125,749 $ 145,453 Israel 5,203 6,818 7,282 United Kingdom 16,746 21,699 24,837 Europe, the Middle East and Africa *) 28,695 39,577 49,659 Other 18,134 22,770 34,470 $ 160,812 $ 216,613 $ 261,701 *) Excluding United Kingdom and Israel
Schedule of Long-Lived Assets by Geographic Location	For the year ended December 31, 2016, 12.1% of the Company's total revenues were derived from one channel partner. For the years ended December 31, 2015 and 2017, no single customer contributed more than 10% to the Company's total revenues. Long-lived assets: December 31, 2016 2017 United States $ 1,421 $ 1,252 Israel 3,014 7,493 United Kingdom 90 233 Europe, the Middle East and Africa *) 24 39 Other 211 213 $ 4 760 $ 9,230 *) Excluding United Kingdom and Israel

GENERAL (Narrative) (Details)

GENERAL (Narrative) (Details) - USD ($) $ / shares in Units, $ in Thousands	1 Months Ended						12 Months Ended
	May 31, 2017	Oct. 31, 2015	Sep. 30, 2015	Aug. 31, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
General [Line Items]
Ordinary shares issued for service					4,000,000	4,600,000
Public offering price						$ 51
Total net proceeds received from offering									$ 52,575
Acquisition costs							$ 677
Secondary Offering [Member]
General [Line Items]
Ordinary shares issued for service					900,000
Public offering price					$ 61
Total net proceeds received from offering					$ 52,575
Underwriting discounts and commissions					2,196
Other offering expense					$ 129
Cybertinel [Member]
General [Line Items]
Total consideration				$ 20,515
ViewFinity [Member]
General [Line Items]
Total consideration		$ 30,500
Agata [Member]
General [Line Items]
Total consideration			$ 3,112
Conjur [Member]
General [Line Items]
Total consideration	$ 41,708
Acquisition costs	$ 686

GENERAL (Schedule of Pro Forma

GENERAL (Schedule of Pro Forma Results) (Details) - Conjur [Member] - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Business Acquisition [Line Items]
Pro forma revenue	$ 262,169	$ 217,570
Pro forma net income	$ 13,985	$ 23,705
Basic net income per ordinary share	$ 0.40	$ 0.70
Diluted net income per ordinary share	$ 0.39	$ 0.66

SIGNIFICANT ACCOUNTING POLICI41

SIGNIFICANT ACCOUNTING POLICIES (Narrative) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Significant Accounting Policies [Line Items]
Weighted average interest rates, bank deposit	1.69%	1.26%
Employees entitled severance monthly deposit, as a percentage of salary	8.33%
Severance expense	$ 2,707	$ 2,503	$ 1,794
Marketing expenses	$ 14,106	$ 10,622	$ 7,498
Antidilutive securities excluded from computation of earnings per share, amount	1,880,018	1,381,114	484,726
Deferred taxes increased	$ 13,600
Increased additional paid-in capital	400
Increase in retained earnings	13,200
Decrease in deferred revenue	3,700
Increase in asset related to incremental cost to obtain contracts which is mainly due to sales commissions that will be recorded against retained earnings	$ 13,000
United States [Member]
Significant Accounting Policies [Line Items]
Defined Contribution Plan, Maximum Annual Contributions Per Employee, Percent	100.00%
Maximum annual contribution per employee	$ 18
Matching contribution expense	1,677	$ 1,259	$ 907
United States [Member] | Employees Over Fifty Years [Member]
Significant Accounting Policies [Line Items]
Maximum annual contribution per employee	$ 24
United States [Member] | First 3% of Employee Contribution [Member]
Significant Accounting Policies [Line Items]
Defined Contribution Plan, Employer Matching Contribution, Percent of Match	100.00%
Defined Contribution Plan, Employer Matching Contribution, Percent of Employees' Gross Pay	3.00%
United States [Member] | Next 2% of Employee Contribution [Member]
Significant Accounting Policies [Line Items]
Defined Contribution Plan, Employer Matching Contribution, Percent of Match	50.00%
Defined Contribution Plan, Employer Matching Contribution, Percent of Employees' Gross Pay	2.00%
Foreign Exchange Forward and Option [Member]
Significant Accounting Policies [Line Items]
Accumulated other comprehensive gain (loss) from currency forward and option transactions	$ 277	(34)
Accumulated other comprehensive gain (loss) from currency forward and option transactions, tax	38	6
Notional amounts	17,366
Fair value of derivative asset	0	347
Foreign Exchange Forward and Option [Member] | Derivative Liabilities [Member]
Significant Accounting Policies [Line Items]
Fair value of derivative liability	0	72
Foreign Exchange Forward [Member]
Significant Accounting Policies [Line Items]
Notional amounts	7,731
Financial income (loss) from hedging transaction, net	(796)	270	$ 260
Foreign Exchange Forward [Member] | Derivative Liabilities [Member]
Significant Accounting Policies [Line Items]
Fair value of derivative liability	683	6
Foreign Exchange Forward [Member] | Derivative Assets [Member]
Significant Accounting Policies [Line Items]
Fair value of derivative asset	$ 315	$ 32
Minimum [Member]
Significant Accounting Policies [Line Items]
Intangible assets, useful life	2 years
Maximum [Member]
Significant Accounting Policies [Line Items]
Intangible assets, useful life	11 years

SIGNIFICANT ACCOUNTING POLICI42

SIGNIFICANT ACCOUNTING POLICIES (Schedule of Depreciation Rates) (Details)	12 Months Ended
	Dec. 31, 2017
Computers, software and Related Equipment [Member] | Minimum [Member]
Property, Plant and Equipment [Line Items]
Property plant and equipment annual depreciation rate	16.00%
Computers, software and Related Equipment [Member] | Maximum [Member]
Property, Plant and Equipment [Line Items]
Property plant and equipment annual depreciation rate	33.00%
Office Furniture and Equipment [Member] | Minimum [Member]
Property, Plant and Equipment [Line Items]
Property plant and equipment annual depreciation rate	7.00%
Office Furniture and Equipment [Member] | Maximum [Member]
Property, Plant and Equipment [Line Items]
Property plant and equipment annual depreciation rate	20.00%

MARKETABLE SECURITIES (Schedule

MARKETABLE SECURITIES (Schedule of amortized cost, unrealized gains and losses, and fair value of available-for-sale) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017		Dec. 31, 2016
Amortized cost	$ 61,632		$ 35,857
Gross unrealized losses	(206)	[1]	(168)
Gross unrealized gains	6
Fair value	61,432		35,689
Continuous unrealized losses position for twelve months or longer	84
Corporate debentures [Member]
Amortized cost	58,321		32,734
Gross unrealized losses	(175)	[1]	(154)
Gross unrealized gains	6
Fair value	58,152		32,580
U.S. Agencies debentures [Member]
Amortized cost	3,311		2,457
Gross unrealized losses	(31)	[1]	(14)
Gross unrealized gains
Fair value	3,280		2,443
Government treasuries [Member]
Amortized cost			666
Gross unrealized losses
Gross unrealized gains
Fair value			$ 666
[1]	Out of the unrealized losses, an amount of $84 has been in a continuous unrealized losses position for twelve months or longer.

MARKETABLE SECURITIES (Schedu44

MARKETABLE SECURITIES (Schedule of amortized cost and fair value of available-for-sale marketable securities) (Details) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Amortized cost
Due within one year	$ 34,082	$ 15,269
Due between one and four years	27,550	20,588
Amortized cost	61,632	35,857
Fair value
Due within one year	34,025	15,246
Due between one and four years	27,407	20,443
Amortized cost	$ 61,432	$ 35,689

PREPAID EXPENSES AND OTHER CU45

PREPAID EXPENSES AND OTHER CURRENT ASSETS (Details) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Prepaid expenses	$ 4,089	$ 3,169
Hedging transaction assets	315	379
Government authorities	2,533	947
Other current assets	470	309
Prepaid expenses and other current assets	$ 7,407	$ 4,804

PROPERTY AND EQUIPMENT, NET (Sc

PROPERTY AND EQUIPMENT, NET (Schedule of Property and Equipment) (Details) - USD ($) $ in Thousands		Dec. 31, 2017	Dec. 31, 2016
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Gross		$ 14,516	$ 8,766
Less accumulated depreciation		5,286	4,006
Depreciated cost		9,230	4,760
Computers, software and Related Equipment [Member]
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Gross	[1]	9,149	5,792
Leasehold Improvements [Member]
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Gross		3,200	1,621
Office Furniture and Equipment [Member]
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Gross		$ 2,167	$ 1,353
[1]	For the year ended December 31, 2016, the costs capitalized were not material. For the year ended December 31, 2017, the Company capitalized $1,027, including $31 share-based compensation costs, relating to its internal use software development for its ERP system.

PROPERTY AND EQUIPMENT, NET (Na

PROPERTY AND EQUIPMENT, NET (Narrative) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Depreciation expense	$ 2,597	$ 1,965	$ 1,129
Computers, software and Related Equipment [Member]
Property and equipment capitalized costs	1,027
Share-based compensation costs capitalized during the period	$ 31

GOODWILL AND OTHER INTANGIBLE48

GOODWILL AND OTHER INTANGIBLE ASSETS, NET (Narrative) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Goodwill and Intangible Assets Disclosure [Abstract]
Amortization expense	$ 5,259	$ 4,523	$ 1,125

GOODWILL AND OTHER INTANGIBLE49

GOODWILL AND OTHER INTANGIBLE ASSETS, NET (Schedule of carrying amount of goodwill) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Goodwill and Intangible Assets Disclosure [Abstract]
Balance as of beginning of the year	$ 35,145	$ 35,145
Goodwill acquired	34,072
Closing balance	$ 69,217	$ 35,145

GOODWILL AND OTHER INTANGIBLE50

GOODWILL AND OTHER INTANGIBLE ASSETS, NET (Schedule of Intangible Assets) (Details) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Finite-Lived Intangible Assets [Line Items]
Original amount	$ 26,501	$ 19,683
Less - accumulated amortization	10,837	5,648
Intangible assets, net	15,664	14,035
Technology [Member]
Finite-Lived Intangible Assets [Line Items]
Original amount	20,717	14,073
Customer relationships [Member]
Finite-Lived Intangible Assets [Line Items]
Original amount	5,120	5,120
Other [Member]
Finite-Lived Intangible Assets [Line Items]
Original amount	$ 664	$ 490

GOODWILL AND OTHER INTANGIBLE51

GOODWILL AND OTHER INTANGIBLE ASSETS, NET (Schedule of Future Amortization Expense) (Details) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Goodwill and Intangible Assets Disclosure [Abstract]
2,018	$ 5,486
2,019	4,505
2,020	2,737
2,021	1,655
2,022	723
Thereafter	558
Intangible assets, net	$ 15,664	$ 14,035

ACCRUED EXPENSES AND OTHER CU52

ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Details) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Payables and Accruals [Abstract]
Government authorities	$ 5,433	$ 3,722
Accrued expenses	2,974	2,602
Unrecognized tax benefits	1,119	474
Hedging transaction liabilities	683	78
Accrued expenses and other current liabilities	$ 10,209	$ 6,876

COMMITMENTS AND CONTINGENT LI53

COMMITMENTS AND CONTINGENT LIABILITIES (Narrative) (Details) - USD ($) $ in Thousands	1 Months Ended	12 Months Ended
	Apr. 25, 2017	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Operating Leased Assets [Line Items]
Lease expenses		$ 4,760	$ 3,649	$ 2,653
Pledged bank deposit for office lease agreement and hedging transaction		1,260
Bank guarantee, office lease agreement		1,003
Damages sought in litigation matter	$ 763
Lease of Motor Vehicles [Member]
Operating Leased Assets [Line Items]
Lease expenses		$ 544	$ 511	$ 435

COMMITMENTS AND CONTINGENT LI54

COMMITMENTS AND CONTINGENT LIABILITIES (Schedule of Minimum Lease Payments) (Details) $ in Thousands	Dec. 31, 2017USD ($)
Rental of Premises [Member]
Property Subject to or Available for Operating Lease [Line Items]
2,018	$ 5,271
2,019	5,238
2,020	4,220
2,021	1,437
2,022	938
Total	17,104
Lease of Motor Vehicles [Member]
Property Subject to or Available for Operating Lease [Line Items]
2,018	375
2,019	256
2,020	79
2,021
2,022
Total	$ 710

FAIR VALUE MEASUREMENTS (Schedu

FAIR VALUE MEASUREMENTS (Schedule of fair value of financial assets and liabilities) (Details) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total assets measured at fair value	$ 63,181	$ 37,595
Corporate debentures [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Marketable securities	58,152	32,580
U.S. Agencies debentures [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Marketable securities	3,280	2,443
Government treasuries [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Marketable securities		666
Cash equivalent and Money market funds [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash equivalents	1,749	1,906
Level 1 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total assets measured at fair value	1,749	1,906
Level 1 [Member] | Corporate debentures [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Marketable securities
Level 1 [Member] | U.S. Agencies debentures [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Marketable securities
Level 1 [Member] | Government treasuries [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Marketable securities
Level 1 [Member] | Cash equivalent and Money market funds [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash equivalents	1,749	1,906
Level 2 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total assets measured at fair value	61,432	35,689
Level 2 [Member] | Corporate debentures [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Marketable securities	58,152	32,580
Level 2 [Member] | U.S. Agencies debentures [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Marketable securities	3,280	2,443
Level 2 [Member] | Government treasuries [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Marketable securities		666
Level 2 [Member] | Cash equivalent and Money market funds [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash equivalents

SHAREHOLDERS' EQUITY (Narrative

SHAREHOLDERS' EQUITY (Narrative) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Share based compensation number of shares available for grant	1,188,093
Share based compensation vesting period	4 years
Unrecognized share based compensation expense	$ 59,583
Unrecognized share based compensation expense recognition period	2 years 7 months 28 days
Expected dividend yield	0.00%	0.00%	0.00%
Total fair value of RSU's and PSU's vested	$ 12,547	$ 5,981	$ 998

SHAREHOLDERS' EQUITY (Schedule

SHAREHOLDERS' EQUITY (Schedule of Shares Capital) (Details) - ₪ / shares	Dec. 31, 2017	Dec. 31, 2016
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Ordinary Shares Authorized	250,000,000	250,000,000
Ordinary shares, issued	35,274,888	34,250,590
Ordinary shares, outstanding	35,274,888	34,250,590
Ordinary shares, par value	₪ 0.01	₪ 0.01

SHAREHOLDERS' EQUITY (Schedul58

SHAREHOLDERS' EQUITY (Schedule of Share Based Compensation Expense) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation expense	$ 25,237	$ 17,535	$ 7,049
Cost of Revenues [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation expense	2,289	1,386	499
Research and Development Expense [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation expense	6,110	4,660	1,507
Selling and Marketing Expense [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation expense	8,642	5,765	2,214
General and Administrative Expense [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation expense	$ 8,196	$ 5,724	$ 2,829

SHAREHOLDERS' EQUITY (Schedul59

SHAREHOLDERS' EQUITY (Schedule of Stock Option Activity) (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Amount of options
Beginning balance	3,038,357
Granted	427,650
Exercised	(753,711)
Forfeited	(171,878)
Ending balance	2,540,418	3,038,357
Exercisable as of December 31, 2017	1,694,564
Weighted average exercise price
Beginning balance	$ 22.58
Granted	48.91
Exercised	3.48
Forfeited	45.23
Ending balance	31.15	$ 22.58
Exercisable as of December 31, 2017	$ 22.54
Weighted average remaining contractual term (in years)
Options outstanding	6 years 11 months 26 days	6 years 8 months 12 days
Exercisable as of December 31, 2017	6 years 1 month 24 days
Aggregate intrinsic value
Options outstanding	$ 39,659	$ 77,346
Exercisable as of December 31, 2017	$ 39,118

SHAREHOLDERS' EQUITY (Schedul60

SHAREHOLDERS' EQUITY (Schedule of Fair Value Assumptions) (Details)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected volatility		45.00%	45.00%
Expected dividends	0.00%	0.00%	0.00%
Minimum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected volatility	45.00%
Expected term (in years)	5 years 2 months 30 days	5 years 2 months 30 days	5 years 9 months 11 days
Risk free rate	1.77%	1.30%	1.37%
Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected volatility	48.00%
Expected term (in years)	6 years 2 months 30 days	6 years 1 month 6 days	6 years 1 month 13 days
Risk free rate	2.05%	1.70%	1.68%

SHAREHOLDERS' EQUITY (Schedul61

SHAREHOLDERS' EQUITY (Schedule of Options Data) (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Weighted-average grant date fair value of options granted	$ 21.81	$ 19.16	$ 24.56
Total intrinsic value of the options exercised	$ 33,614	$ 37,618	$ 110,191

SHAREHOLDERS' EQUITY (Schedul62

SHAREHOLDERS' EQUITY (Schedule of Outstanding and Exercisable Options) (Details)	12 Months Ended
	Dec. 31, 2017$ / sharesshares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Options outstanding	2,540,418
Weighted average remaining contractual term (years)	6 years 11 months 26 days
Options exercisable	1,694,564
Weighted average remaining contractual term (years)	6 years 1 month 24 days
$0.20 - 2.21 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Exercise price, minimum | $ / shares	$ 0.20
Exercise price, maximum | $ / shares	$ 2.21
Options outstanding	669,752
Weighted average remaining contractual term (years)	4 years 5 months 1 day
Options exercisable	669,752
Weighted average remaining contractual term (years)	4 years 5 months 1 day
$6.47 - 14.00 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Exercise price, minimum | $ / shares	$ 6.47
Exercise price, maximum | $ / shares	$ 14
Options outstanding	376,103
Weighted average remaining contractual term (years)	6 years 2 months 12 days
Options exercisable	372,779
Weighted average remaining contractual term (years)	6 years 2 months 12 days
$37.44 - 44.37 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Exercise price, minimum | $ / shares	$ 37.44
Exercise price, maximum | $ / shares	$ 44.37
Options outstanding	270,269
Weighted average remaining contractual term (years)	8 years 5 months 1 day
Options exercisable	97,108
Weighted average remaining contractual term (years)	8 years 22 days
$45.58 - 51.86 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Exercise price, minimum | $ / shares	$ 45.58
Exercise price, maximum | $ / shares	$ 51.86
Options outstanding	744,621
Weighted average remaining contractual term (years)	8 years 8 months 5 days
Options exercisable	258,483
Weighted average remaining contractual term (years)	8 years 3 months 22 days
$52.48 - 64.93 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Exercise price, minimum | $ / shares	$ 52.48
Exercise price, maximum | $ / shares	$ 64.93
Options outstanding	479,673
Weighted average remaining contractual term (years)	7 years 9 months
Options exercisable	296,442
Weighted average remaining contractual term (years)	7 years 6 months 3 days

SHAREHOLDERS' EQUITY (Schedul63

SHAREHOLDERS' EQUITY (Schedule of RSUs and PSUs Activity) (Details)	12 Months Ended
	Dec. 31, 2017$ / sharesshares
Amount of RSU's and PSU's
Unvested at beginning of period, shares | shares	729,705
Granted, shares | shares	776,876
Vested, shares | shares	(270,587)
Forfeited, shares | shares	(125,095)
Unvested at ending of period, shares | shares	1,110,899
Weighted average grant date fair value
Unvested at beginning of period | $ / shares	$ 48.14
Granted | $ / shares	47.67
Vested | $ / shares	49.25
Forfeited | $ / shares	47.33
Unvested at ending of period | $ / shares	$ 47.63

INCOME TAXES (Narrative) (Detai

INCOME TAXES (Narrative) (Details) ₪ in Thousands, $ in Thousands	1 Months Ended		12 Months Ended
	Dec. 31, 2016USD ($)	Jan. 31, 2014	Dec. 31, 2018	Dec. 31, 2017USD ($)	Dec. 31, 2017ILS (₪)	Dec. 31, 2016USD ($)	Dec. 31, 2015USD ($)
Operating Loss Carryforwards [Line Items]
Corporate tax rate in effect				24.00%	24.00%	25.00%	26.50%
Operating loss carry-forwards				$ 41,643
Capital tax losses				390
Tax exempt profits				14,669
Income tax liability that would have been incurred if the Company's retained tax-exempt income is distributed				3,601
Excess tax benefits related to share based compensation
Foreign tax rate				4.00%	4.00%
Consolidated revenue threshhold for technological preferred enterprise taxation | ₪					₪ 10,000,000
Percentage of annual income derived from exports				25.00%	25.00%
Capital gains tax rate				12.00%	12.00%
Purchase of intangible assets from foreign resident | ₪					₪ 200,000
Withholding tax rate				20.00%	20.00%
Decrease in deferred tax assets				$ 6,500
Undistributed earnings				23,787
Interest expense related to uncertain tax positions				56		$ 18	$ 5
Total accrual for interest	$ 47			$ 103		$ 47
Approved enterprise [Member]
Operating Loss Carryforwards [Line Items]
Tax benefits under the Law for the Encouragement of Capital Investments, 1959				The Company has been granted "Approved Enterprise" Status, under the above Law. The Company has elected the alternative benefits program, waiver of grants in return for tax exemptions. Pursuant thereto, the income of the Company derived from the "Approved Enterprise" program is tax-exempt for two years and will enjoy a reduced tax rate of 10%-25% for up to a total of eight years (subject to an adjustment based upon the foreign investors' ownership of the Company).	The Company has been granted "Approved Enterprise" Status, under the above Law. The Company has elected the alternative benefits program, waiver of grants in return for tax exemptions. Pursuant thereto, the income of the Company derived from the "Approved Enterprise" program is tax-exempt for two years and will enjoy a reduced tax rate of 10%-25% for up to a total of eight years (subject to an adjustment based upon the foreign investors' ownership of the Company).
Subsequent Event [Member]
Operating Loss Carryforwards [Line Items]
Reduced tax rate			23.00%
Israel Tax Authority [Member]
Operating Loss Carryforwards [Line Items]
Corporate tax rate in effect		24.00%
Reduced tax rate				25.00%	25.00%
Israel [Member]
Operating Loss Carryforwards [Line Items]
Corporate tax rate in effect				12.00%	12.00%
Operating loss carry-forwards				$ 2,936
Capital tax losses				390
U.S. [Member]
Operating Loss Carryforwards [Line Items]
Operating loss carry-forwards				$ 38,707
Operating loss carry-forwards, expiration term				20 years	20 years
Other areas [Member]
Operating Loss Carryforwards [Line Items]
Effective tax rate	16.00%
Minimum [Member] | Approved enterprise [Member]
Operating Loss Carryforwards [Line Items]
Reduced tax rate				10.00%	10.00%
Minimum [Member] | TCJA [Member]
Operating Loss Carryforwards [Line Items]
Reduced tax rate				21.00%	21.00%
Maximum [Member] | Approved enterprise [Member]
Operating Loss Carryforwards [Line Items]
Reduced tax rate				25.00%	25.00%
Maximum [Member] | TCJA [Member]
Operating Loss Carryforwards [Line Items]
Reduced tax rate				35.00%	35.00%

INCOME TAXES (Schedule of Incom

INCOME TAXES (Schedule of Income Before Income Taxes) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Income Tax Disclosure [Abstract]
Domestic	$ 13,937	$ 32,077	$ 28,285
Foreign	10,492	4,124	3,458
Income before taxes on income	$ 24,429	$ 36,201	$ 31,743

INCOME TAXES (Schedule of Defer

INCOME TAXES (Schedule of Deferred Tax Assets and Liabilities) (Details) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Deferred tax assets:
Carry-forwards losses and credits	$ 11,703	$ 1,956
Capital losses carry-forwards	90	50
Research and development expenses	1,448	4,119
Deferred revenues	4,316	4,222
Issuance expenses		124
Share-based compensation	4,347	2,979
Accruals and other	1,183	1,612
Deferred tax assets before valuation allowance	23,087	15,062
Less: Valuation allowance	90	50
Net deferred tax asset	22,997	15,012
Deferred tax liabilities:
Intangible assets	3,096	3,961
Property and equipment and other	558	662
Deferred tax liabilities	$ 3,654	$ 4,623

INCOME TAXES (Schedule of Inc67

INCOME TAXES (Schedule of Income Taxes) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Income Tax Disclosure [Abstract]
Current	$ 2,558	$ 9,207	$ 10,042
Deferred	5,856	(1,130)	(4,093)
Domestic	3,033	4,906	5,208
Foreign	5,381	3,171	741
Income tax expense	$ 8,414	$ 8,077	$ 5,949

INCOME TAXES (Schedule of Recon

INCOME TAXES (Schedule of Reconciliation of Income Taxes) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Income Tax Disclosure [Abstract]
Income before income taxes	$ 24,429	$ 36,201	$ 31,743
Statutory tax rate	24.00%	25.00%	26.50%
Theoretical income tax expense	$ 5,863	$ 9,050	$ 8,412
Utilization of tax losses and deferred taxes for which valuation allowance was provided, net	(5,050)	(72)	(771)
Deferred taxes on losses for which valuation allowance was provided, net			(1,713)
Non-deductible expenses	2,081	2,569	2,295
Unrecognized tax benefits	645	81	8
Foreign and preferred enterprise tax rates differential	(1,792)	(3,468)	(2,303)
Impact of Tax Cuts and Jobs Act of 2017	6,492
Other	175	(83)	21
Income tax expense	$ 8,414	$ 8,077	$ 5,949

INCOME TAXES (Schedule of Unrec

INCOME TAXES (Schedule of Unrecognized Tax Benefits) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Income Tax Disclosure [Abstract]
Opening balance	$ 474	$ 362
Increase related to prior year tax positions	348	53
Increase related to current year tax positions	297	59
Closing balance	$ 1,119	$ 474

FINANCIAL INCOME (EXPENSES), 70

FINANCIAL INCOME (EXPENSES), NET (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Other Income and Expenses [Abstract]
Bank charges	$ (158)	$ (144)	$ (86)
Exchange rate income (losses), net	1,735	(969)	(1,723)
Total expenses	1,577	(1,113)	(1,809)
Interest income	2,526	1,358	330
Financial income (expenses), net	$ 4,103	$ 245	$ (1,479)

BASIC AND DILUTED NET INCOME 71

BASIC AND DILUTED NET INCOME PER SHARE (Schedule of Basic Income per Share) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Numerator:
Net income available to shareholders of ordinary shares	$ 16,015	$ 28,124	$ 25,794
Denominator:
Shares used in computing net income per ordinary shares, basic	34,824,312	33,741,359	32,124,772

BASIC AND DILUTED NET INCOME 72

BASIC AND DILUTED NET INCOME PER SHARE (Schedule of Diluted Income per Share) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Numerator:
Net income available to shareholders of ordinary shares	$ 16,015	$ 28,124	$ 25,794
Denominator:
Shares used in computing net income per ordinary shares, diluted	36,175,824	35,838,863	35,322,716

SEGMENTS, CUSTOMERS AND GEOGR73

SEGMENTS, CUSTOMERS AND GEOGRAPHIC INFORMATION (Narrative) (Details)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
No Single Customer [Member]
Segment Reporting Information [Line Items]
Revenue Percentage	10.00%		10.00%
One channel partner [Member]
Segment Reporting Information [Line Items]
Revenue Percentage		12.10%

SEGMENTS, CUSTOMERS AND GEOGR74

SEGMENTS, CUSTOMERS AND GEOGRAPHIC INFORMATION (Schedule of Revenue by Geographic Location) (Details) - USD ($) $ in Thousands		12 Months Ended
		Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Segment Reporting Information [Line Items]
Revenue		$ 261,701	$ 216,613	$ 160,812
United States [Member]
Segment Reporting Information [Line Items]
Revenue		145,453	125,749	92,034
Israel [Member]
Segment Reporting Information [Line Items]
Revenue		7,282	6,818	5,203
United Kingdom [Member]
Segment Reporting Information [Line Items]
Revenue		24,837	21,699	16,746
Europe, the Middle East and Africa [Member]
Segment Reporting Information [Line Items]
Revenue	[1]	49,659	39,577	28,695
Other [Member]
Segment Reporting Information [Line Items]
Revenue		$ 34,470	$ 22,770	$ 18,134
[1]	Excluding United Kingdom and Israel

SEGMENTS, CUSTOMERS AND GEOGR75

SEGMENTS, CUSTOMERS AND GEOGRAPHIC INFORMATION (Schedule of Long-Lived Assets by Geographic Location) (Details) - USD ($) $ in Thousands		Dec. 31, 2017	Dec. 31, 2016
Segment Reporting Information [Line Items]
Long lived assets		$ 9,230	$ 4,760
United States [Member]
Segment Reporting Information [Line Items]
Long lived assets		1,252	1,421
Israel [Member]
Segment Reporting Information [Line Items]
Long lived assets		7,493	3,014
United Kingdom [Member]
Segment Reporting Information [Line Items]
Long lived assets		233	90
Europe, the Middle East and Africa [Member]
Segment Reporting Information [Line Items]
Long lived assets	[1]	39	24
Other [Member]
Segment Reporting Information [Line Items]
Long lived assets		$ 213	$ 211
[1]	Excluding United Kingdom and Israel

SUBSEQUENT EVENTS (Details)

SUBSEQUENT EVENTS (Details) $ in Millions	Mar. 12, 2018USD ($)
Subsequent Event [Member] | Vaultive Ltd [Member]
Subsequent Event [Line Items]
Total consideration	$ 19