Cover
Cover | 12 Months Ended |
Dec. 31, 2022 shares | |
Entity Addresses [Line Items] | |
Document Type | 20-F |
Amendment Flag | false |
Document Registration Statement | false |
Document Annual Report | true |
Document Transition Report | false |
Document Shell Company Report | false |
Document Period End Date | Dec. 31, 2022 |
Document Fiscal Period Focus | FY |
Document Fiscal Year Focus | 2022 |
Current Fiscal Year End Date | --12-31 |
Entity File Number | 001-40472 |
Entity Registrant Name | A2Z SMART TECHNOLOGIES CORP. |
Entity Central Index Key | 0001866030 |
Entity Incorporation, State or Country Code | A1 |
Entity Address, Address Line One | 1600-609 Granville Street |
Entity Address, City or Town | Vancouver |
Entity Address, State or Province | BC |
Entity Address, Country | CA |
Entity Address, Postal Zip Code | V7Y 1C3 |
Title of 12(b) Security | Common Shares |
Trading Symbol | AZ |
Security Exchange Name | NASDAQ |
Entity Well-known Seasoned Issuer | No |
Entity Voluntary Filers | No |
Entity Current Reporting Status | Yes |
Entity Interactive Data Current | Yes |
Entity Filer Category | Non-accelerated Filer |
Entity Emerging Growth Company | true |
Elected Not To Use the Extended Transition Period | false |
Document Accounting Standard | International Financial Reporting Standards |
Entity Shell Company | false |
Entity Common Stock, Shares Outstanding | 30,945,322 |
ICFR Auditor Attestation Flag | false |
Auditor Firm ID | 1185 |
Auditor Name | BDO Member Firm |
Auditor Location | Tel Aviv, Israel |
Business Contact [Member] | |
Entity Addresses [Line Items] | |
Entity Address, Address Line One | 1600-609 Granville Street |
Entity Address, City or Town | Vancouver |
Entity Address, State or Province | BC |
Entity Address, Country | CA |
Entity Address, Postal Zip Code | V7Y 1C3 |
City Area Code | (647) |
Local Phone Number | 558-5564 |
Contact Personnel Name | Bentsur Joseph |
Consolidated Statements of Fina
Consolidated Statements of Financial Position - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Current assets | ||
Cash and cash equivalents | $ 2,616 | $ 8,470 |
Deposits | 8 | 60 |
Inventories (note 5) | 375 | 1,147 |
Trade receivables, net (note 6) | 1,373 | 857 |
Other accounts receivable (note 8) | 2,570 | 434 |
Total current assets | 6,942 | 10,968 |
Intangible asset - patent, net (note 9) | 2,207 | 2,091 |
Goodwill (note 7) | 1,188 | |
Property, plant and equipment, net (note 10) | 2,357 | 1,072 |
Total non-current assets | 5,752 | 3,163 |
Total Assets | 12,694 | 14,131 |
Current liabilities | ||
Short term loan and current portion of long-term loans (note 11) | 1,403 | 158 |
Lease liability (note 12) | 281 | 126 |
Trade payables | 2,224 | 989 |
Deferred revenues (note 13) | 1,373 | |
Other accounts payable (note 14) | 956 | 1,099 |
Total current liabilities | 6,237 | 2,372 |
Lease liability (note 12) | 605 | 151 |
Long term loans (note 15) | 341 | 483 |
Provision (note 7) | 1,447 | |
Warrant Liability (note 17) | 1,142 | 51 |
Severance payment, net (note 16) | 33 | 167 |
Total non-current liabilities | 3,568 | 852 |
Total liabilities | 9,805 | 3,224 |
Shareholders’ equity (note 19) | ||
Share capital and additional paid in capital | 43,452 | 28,297 |
Warrant Reserve | 30,863 | 34,763 |
Accumulated other comprehensive income | (1,634) | (708) |
Accumulated deficit | (67,395) | (50,838) |
Total equity attributable to Company shareholders | 5,286 | 11,514 |
Non-controlling interest (note 21) | (2,397) | (607) |
Total shareholders’ equity | 2,889 | 10,907 |
Total liabilities and shareholders’ equity | $ 12,694 | $ 14,131 |
Consolidated Statement of Compr
Consolidated Statement of Comprehensive Loss - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | ||
Profit or loss [abstract] | ||||
Revenues (note 22) | $ 9,351 | [1],[2] | $ 2,685 | $ 1,068 |
Cost of revenues (note 23) | 7,517 | 2,029 | 853 | |
Gross profit | 1,834 | 656 | 215 | |
Expenses: | ||||
Research and development costs (note 24) | 4,462 | 3,222 | 418 | |
Sales and marketing costs | 475 | 102 | 108 | |
General and administration expenses (note 25) | 13,599 | 6,494 | 2,365 | |
Operating loss | (16,702) | [1],[2] | (9,162) | (2,676) |
Loss on revaluation of warrant liability (note 17) | 254 | 30,895 | 3,228 | |
Financial income | (75) | |||
Financial expenses (note 27) | 1,391 | 91 | 107 | |
Loss before taxes on income | (18,347) | (40,148) | (5,936) | |
Income tax expense (note 28) | [1],[2] | (142) | (17) | |
Loss for the year | (18,347) | [1],[2] | (40,290) | (5,953) |
Item that will not be reclassified to profit or loss: | ||||
Adjustments arising from translating financial statements of foreign operations | (936) | 555 | (1,282) | |
Remeasurement loss from defined benefit plans | 10 | 13 | ||
Other comprehensive income (loss) | (926) | 555 | (1,269) | |
Total comprehensive loss for the year | (19,273) | (39,735) | (7,222) | |
Less: Net loss attributable to non-controlling shareholders | (1,790) | (1,127) | (32) | |
Net loss attributable to A2Z’s shareholders | $ (17,483) | $ (38,608) | $ (7,190) | |
Basic and diluted loss per share | $ (0.70) | $ (1.70) | $ (0.43) | |
Weighted average number of shares outstanding | 27,681,778 | 23,340,621 | 16,758,323 | |
[1]All non-current assets are located in the state of Israel.[2]All revenues are generated in the state of Israel. |
Statements of Changes In Shareh
Statements of Changes In Shareholders' Equity (Deficit) - USD ($) $ in Thousands | Issued capital [member] | Capital reserve [member] | Accumulated other comprehensive income [member] | Retained earnings [member] | Non-controlling interests [member] | Total | |||
Beginning balance at Dec. 31, 2019 | $ 6,555 | $ (70) | $ (5,678) | $ 552 | $ 1,359 | ||||
Beginning balance, shares at Dec. 31, 2019 | [1] | 15,692,126 | |||||||
IfrsStatementLineItems [Line Items] | |||||||||
Net loss for the period | (5,921) | (32) | (5,953) | ||||||
Remeasurement gain from defined benefit plans | 13 | ||||||||
Adjustments arising from translating financial statements of foreign operations | (1,269) | (1,269) | |||||||
Net comprehensive loss for the period | (1,269) | (5,921) | (32) | (7,222) | |||||
Issuance of shares in private placement, net | $ 163 | 163 | |||||||
Issuance of shares in private placement, net, shares | 277,779 | ||||||||
Exercise of warrants | $ 98 | 98 | |||||||
Exercise of warrants, shares | 182,142 | ||||||||
Exercise of stock options | $ 39 | 39 | |||||||
Exercise of stock options, shares | 123,386 | ||||||||
Share based compensation (note 20 (b)(ix)) | 800 | ||||||||
Issuance of shares in private placement, net (note 19 (H)(I)) | $ 2,570 | 2,570 | |||||||
Issuance of shares in private placement, net (note 19 (H)(I)), shares | 5,816,784 | ||||||||
Issuance of warrants for services | $ 52 | 52 | |||||||
Issuance of warrants for services, shares | |||||||||
Issuance of shares for services (note 19 (C)(E)(J)) | $ 168 | 168 | |||||||
Issuance of shares for services (note 14 (C)(E)(J)), shares | 127,693 | ||||||||
Issuance of stock options for services (note 20 (B)(ix)) | $ 800 | 800 | |||||||
Issuance of stock options for services (note 20 (B)(ix)), shares | |||||||||
Ending balance at Dec. 31, 2020 | $ 10,445 | (1,339) | (11,599) | 520 | (1,973) | ||||
Ending balance, shares at Dec. 31, 2020 | [2] | 22,219,910 | |||||||
IfrsStatementLineItems [Line Items] | |||||||||
Net loss for the period | (39,239) | (1,051) | (40,290) | ||||||
Remeasurement gain from defined benefit plans | |||||||||
Adjustments arising from translating financial statements of foreign operations | 631 | (76) | 555 | ||||||
Net comprehensive loss for the period | 631 | (39,239) | (1,127) | (39,735) | |||||
Issuance of shares in private placement, net | $ 3,338 | 3,338 | |||||||
Issuance of shares in private placement, net, shares | 1,305,662 | ||||||||
Exercise of warrants | $ 12,929 | (9,201) | 3,728 | ||||||
Exercise of warrants, shares | 2,514,693 | ||||||||
Exercise of stock options | $ 742 | 742 | |||||||
Exercise of stock options, shares | 286,223 | ||||||||
Share based compensation (note 20 (b)(ix)) | $ 843 | 843 | |||||||
Reclassification of warrant liability (note 17) | 43,964 | 43,964 | |||||||
Ending balance at Dec. 31, 2021 | $ 28,297 | 34,763 | (708) | (50,838) | (607) | $ 10,907 | |||
Ending balance, shares at Dec. 31, 2021 | 26,326,488 | [2] | 26,326,488 | ||||||
IfrsStatementLineItems [Line Items] | |||||||||
Net loss for the period | (16,557) | (1,790) | $ (18,347) | [3],[4] | |||||
Remeasurement gain from defined benefit plans | 10 | 10 | |||||||
Adjustments arising from translating financial statements of foreign operations | (936) | (936) | |||||||
Net comprehensive loss for the period | (926) | (16,557) | (1,790) | (19,273) | |||||
Issuance of shares in respect of crowd funding (note 19(Q)) | |||||||||
Issuance of shares in respect of crowd funding (note 19(Q)), shares | 74,895 | ||||||||
Issuance of shares in respect of Isramat deal (note 19(O)) | $ 1,747 | 1,747 | |||||||
Issuance of shares in respect of Isramat deal (note 19(O)), shares | 273,774 | ||||||||
Issuance of shares in private placement, net | $ 3,004 | 3,004 | |||||||
Issuance of shares in private placement, net, shares | 2,978,337 | ||||||||
Exercise of warrants | $ 5,277 | (3,900) | 1,377 | ||||||
Exercise of warrants, shares | 630,161 | ||||||||
Exercise of stock options | $ 208 | 208 | |||||||
Exercise of stock options, shares | 116,667 | ||||||||
Exercise of RSU’s (note 19(R)) | |||||||||
Exercise of RSU's (note 19(R)), shares | 545,000 | ||||||||
Expiration of warrants (note 17(A)) | $ 51 | 51 | |||||||
Share based compensation (note 20 (b)(ix)) | 4,868 | 4,868 | |||||||
Ending balance at Dec. 31, 2022 | $ 43,452 | $ 30,863 | $ (1,634) | $ (67,395) | $ (2,397) | $ 2,889 | |||
Ending balance, shares at Dec. 31, 2022 | 30,945,322 | 30,945,322 | |||||||
[1]On August 13, 2021, the Board and the TSX-V approved a 1-for-3 reverse stock split, (the “Reverse Split”). Consequently, all share numbers, share prices, and exercise prices have been retroactively adjusted in these consolidated financial statements for all periods presented.[2]On August 13, 2021, the Board and the TSX-V approved a 1-for-3 reverse stock split, (the “Reverse Split”). Consequently, all share numbers, share prices, and exercise prices have been retroactively adjusted in these consolidated financial statements for all periods presented.[3]All non-current assets are located in the state of Israel.[4]All revenues are generated in the state of Israel. |
Consolidated Statement of Cash
Consolidated Statement of Cash Flows $ in Thousands, $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | Dec. 31, 2020 USD ($) | |||
Cash flows from operating activities | |||||
Loss for the year | $ (18,347) | [1],[2] | $ (40,290) | $ (5,953) | |
Adjustments to reconcile net loss to net cash provided by operating activities: | |||||
Amortization and depreciation | 786 | 251 | 213 | ||
Share based compensation | 4,868 | 843 | 601 | ||
Loss on revaluation of warrant liability | 254 | 30,895 | 3,228 | ||
Increase in provisions | 1,190 | ||||
Change in severance liability | (154) | (20) | 28 | ||
Change in inventory | 690 | (1,128) | 19 | ||
Change in trade receivables | 990 | (661) | 35 | ||
Change in other account receivables | (2,383) | (81) | 719 | ||
Accrued interest on loans and leases | 13 | 36 | 73 | ||
Changes in deferred taxes | 16 | ||||
Change in accounts payable | 860 | 448 | 43 | ||
Change in deferred revenues | 1,439 | ||||
Change in other accounts payable | 363 | 329 | (25) | ||
Cash flow from operating activities | (9,431) | (9,378) | (1,003) | ||
Cash flows from investing activities | |||||
Change in deposits | 48 | 132 | (192) | ||
Investment in subsidiary | (879) | ||||
Intangible assets | (6) | ||||
Purchase of property, plant and equipment | (727) | (412) | (227) | ||
Cash flow used in investing activities | (1,559) | (280) | (425) | ||
Cash flows from financing activities | |||||
Issuance of shares and warrants, net | 3,894 | 8,358 | 8,249 | ||
Investment in subsidiary | (1,566) | ||||
Exercise of options | 208 | 742 | 39 | ||
Exercise of warrants | 1,379 | 3,386 | 98 | ||
Lease payments | (337) | (111) | (43) | ||
Long term deposits | 30 | ||||
Repayment of loans | (342) | (316) | (100) | ||
Proceeds from receipt of loans | 1,294 | 296 | 494 | ||
Cash flows from financing activities | 6,096 | 12,355 | 7,201 | ||
Increase (decrease) in cash and cash equivalents | (4,894) | 2,697 | 5,773 | ||
Effect of changes in foreign exchange rates | (960) | 376 | (738) | ||
Cash at beginning of year | 8,470 | 5,397 | 362 | ||
Cash at the end of the year | 2,616 | 8,470 | 5,397 | ||
Taxes paid during the year | 74 | ||||
Interest paid during the year | 49 | 34 | 12 | ||
Reclassification of warrant liability to warrant reserve | 51 | 43,964 | |||
Reclassification of other account payables to short term loans | 359 | ||||
Recognition of a lease liability and right-of-use asset | 947 | ||||
Issuance of share in respect of Isramat deal | 2,089 | ||||
Issuance of the Company’s ordinary shares | 1,747 | ||||
Commitment to selling shareholders | 343 | ||||
Working capital other than cash and cash equivalents | (869) | ||||
Liability for severance pay fund, net | 35 | ||||
Property, plant and equipment | (636) | ||||
Benefit shareholder consulting agreement | (27) | ||||
Customer relations | (284) | ||||
Goodwill | (1,188) | ||||
Total cash and cash equivalents paid | [3] | $ (879) | |||
[1]All non-current assets are located in the state of Israel.[2]All revenues are generated in the state of Israel.[3]See note 7. |
DESCRIPTION OF BUSINESS
DESCRIPTION OF BUSINESS | 12 Months Ended |
Dec. 31, 2022 | |
Description Of Business | |
DESCRIPTION OF BUSINESS | NOTE 1 - DESCRIPTION OF BUSINESS Overview A2Z SMART TECHNOLOGIES CORP. (the “Company” or “A2ZST”) was incorporated on January 15, 2018 under the laws of British Columbia. The head office is located at 1600 – 609 Granville Street, Vancouver, British Columbia V7Y 1C3, and the records and registered office is located at 2200 HSBC Building 885 West Georgia Street, British Columbia, V6C 3E8. The Company was listed on the NASDAQ Stock Market LLC (“Nasdaq”) starting January 22, 2022, and trades under the symbol “AZ” and on the TSX Venture Exchange (“TSX Venture”) and trades under the symbol “AZ.V”. The Company owns 79.49 The Cust2Mate system offers various features for shoppers and retailers such as product information and location, an on-cart scale to weigh items and automatically calculate costs, bar-code scanner and on-board payment system to bypass checkout lines. In addition, the product includes big data smart algorithms and computer vision capabilities, allowing for customer specific targeted advertising. (“The Cust2Mate Platform”). The Cust2Mate Platform is being rolled out in Israel and is being marketed throughout the world, with pilots in North and South America and in the Middle East. The Company’s other activities include the provision of maintenance services utilizing the application of advanced engineering capabilities to the military and security markets as well as the development of related products for the civilian markets. Such services include providing maintenance services and container leasing. The Company also provides maintenance services for complex electronic systems and products. On February 3, 2022, the Company completed the acquisition of Isramat Ltd. This strategic acquisition vertically integrates certain manufacturing capabilities for the production of A2Z’s Cust2Mate smart cart while complementing existing contract manufacturing partnerships to support anticipated worldwide growth. See also note 6. The Company, through its 80 As of December 31, 2022, the Company had four subsidiaries, all of which are companies incorporated under the laws of Israel: (1) Cust2mate Ltd. (“Cust2mate”); (2) A2Z Advanced Military Solutions Ltd (“A2Z MS”); (3) A2Z Advanced Solutions (“A2Z AS”); and (4) Isramat Ltd, the “Subsidiaries”). The Company had a net loss of approximately $ 19.3 million for the year ended December 31, 2022, $ 39.8 million for the year ended December 31, 2021, and $ 7.2 million for the year ended December 31, 2020. The Company has an accumulated deficit of $ 67 million as of December 31, 2022. The Company has incurred negative cash from operation and net losses for current and recent years. The Company financed its operation up do date by issuance of shares and warrants, The Company does not have any material financial obligations as of the balance date The company believes that it has sufficient resources to operate in the foreseeable future with the support of its officers. On March 13, 2023, the Company closed, in escrow, the issuance of 1,783,561 1.46 1.95 2,604 These consolidated financial statements were authorized for issue by the Board of Directors on March 27, 2023. A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) |
BASIS OF PREPARATION
BASIS OF PREPARATION | 12 Months Ended |
Dec. 31, 2022 | |
Basis Of Preparation | |
BASIS OF PREPARATION | NOTE 2 – BASIS OF PREPARATION A. Basis of preparation The principal accounting policies adopted in the preparation of the financial statements are set out above. These financial statements have been prepared in accordance with International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board. The financial statements have been prepared under the historical cost convention except for certain derivatives. The Company has elected to present the statement of comprehensive income using the function of expense method. B. Basis of consolidation Where the Company has control over an investee, it is classified as a subsidiary. The financial statements of the subsidiaries are included in the consolidated financial statements from the date that control commenced until the date control ceases. The Company controls an investee if all three elements are present: power over the investee, exposure to variable returns from the investee, and the ability of the investor to use its power to affect those variable returns. Control is reassessed whenever facts and circumstances indicate that there may be a change in any of these elements of control. The consolidated financial statements of the Company include the accounts of the Company and its Subsidiaries as if they formed a single entity. Any intercompany transactions were eliminated in full. C. Basis of Measurement These consolidated financial statements have been prepared on a going concern basis, under the historical cost basis, except for financial instruments which have been measured at fair value. D. Functional and foreign currency The Company’s functional currency is the New Israeli Shekel (“NIS”), since the Company’s primary economic environment is in Israel. However, the presentation currency is in US Dollars (“USD”) due to expected future expansion. Transactions and balances in foreign currencies are converted into US Dollars in accordance with the principles set forth by International Accounting Standard (IAS) 21 “The Effects of Changes in Foreign Exchange Rates”. Accordingly, transactions and balances have been converted as follows: ● Monetary assets and liabilities - at the rate of exchange applicable at the statements of financial position date. ● Exchange gains and losses from the aforementioned conversion are recognized in the statement of comprehensive loss. ● Expense items - at exchange rates applicable as of the date of recognition of those items. ● Non-monetary items are converted at the rate of exchange at the statements of financial position date. A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) |
SIGNIFICANT ACCOUNTING POLICIES
SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure of changes in accounting estimates [abstract] | |
SIGNIFICANT ACCOUNTING POLICIES | NOTE 3 - SIGNIFICANT ACCOUNTING POLICIES A. Cash and cash equivalents Cash equivalents are considered by the Company to be highly liquid investments, including, inter alia, short-term deposits with banks, the maturity of which do not exceed three months at the time of deposit, and which are not restricted. B. Short term deposits A short term deposit is cash held in a short-term deposit (between three months and one year) or in a long-term deposit (with a maturity of more than one year from the date of investment). Short term deposits are deposits designated to secure the Company’s car lease agreements and its credit cards. C. Loss per share Basic loss per share is computed by dividing the net loss available to common shareholders by the weighted average number of shares outstanding during the reporting period. Diluted loss per share is computed similarly to basic loss per share except that the weighted average number of shares outstanding is increased to include additional shares from the assumed exercise of stock options and warrants, if dilutive. The average number of shares is calculated by assuming that outstanding conversions were exercised and that the proceeds from such exercises were used to acquire common shares at the average market price during the reporting period. For the years ended December 31, 2021, and 2020, potentially dilutive common shares issuable upon the exercise of warrants and options were not included in the computation of loss per share because their effect was anti-dilutive. D. Provisions Provisions are recognized when the Company has a legal or constructive obligation, as a result of past events, for which it is probable that an outflow of economic benefits will result and that outflow can be reliably measured. Provisions are measured using the best estimate of the amounts required to settle the obligation at the end of the reporting period. E. Fair value measurement Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value measurement is based on the presumption that the transaction to sell the asset or transfer the liability takes place either: 1. In the principal market for the asset or liability, or 2. In the absence of a principal market, in the most advantageous market for the asset or liability. The principal or the most advantageous market must be accessible to the Company. The fair value of an asset or a liability is measured using the assumptions that market participants would use when pricing the asset or liability, assuming that market participants act in their economic best interest. A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) NOTE 3 - SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): E. Fair value measurement (cont.) A fair value measurement of a non-financial asset takes into account a market participant’s ability to generate economic benefits by using the asset in its highest and best use or by selling it to another market participant that would use the asset in its highest and best use. The Company uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value, maximizing the use of relevant observable inputs and minimizing the use of unobservable inputs. Classification of fair value hierarchy The financial instruments presented in the statement of financial position at fair value are grouped into classes with similar characteristics using the following fair value hierarchy which is determined based on the source of input used in measuring fair value: Level 1 - Quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2 - Inputs other than quoted prices included within Level 1 that are observable either directly or indirectly. Level 3 - Inputs that are not based on observable market data (valuation techniques which use inputs that are not based on observable market data). 1. Financial assets The Company classifies its financial assets into one of the following categories, based on the business model for managing the financial asset and its contractual cash flow characteristics. The Company’s accounting policy for the relevant category is as follows: Amortized cost: These assets arise principally from the provision of goods and services to customers (e.g. trade accounts receivable), but also incorporate other types of financial assets where the objective is to hold these assets in order to collect contractual cash flows and the contractual cash flows are solely payments of principal and interest. They are initially recognized at fair value plus transaction costs that are directly attributable to their acquisition or issue, and are subsequently carried at amortized cost using the effective interest rate method, less provision for impairment. Impairment provisions for trade accounts receivable are recognized based on the simplified approach within IFRS 9 using a provision in the determination of the lifetime expected credit losses. During this process the probability of the non-payment of the trade receivables is assessed. This probability is then multiplied by the amount of the expected loss arising from default to determine the lifetime expected credit loss for the trade receivables. For trade receivables, which are reported net, such provisions are recorded in a separate provision account with the loss being recognized within general and administrative expenses in the consolidated statement of comprehensive income. On confirmation that the trade receivable will not be collectable, the gross carrying value of the asset is written off against the associated provision. A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) NOTE 3 - SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): E. Fair value measurement (cont.): 2. Financial Liabilities The Company classifies its financial liabilities into one of two categories, depending on the purpose for which the liability was acquired. The Company’s accounting policy for each category is as follows: Fair value through profit or loss: Warrants are initially recognized at fair value net of any transaction costs directly attributable to the issue of the instrument. Such liabilities are subsequently measured at fair value through profit or loss. Other financial liabilities include the following items: Bank borrowings are initially recognized at fair value net of any transaction costs directly attributable to the issue of the instrument. Such interest-bearing liabilities are subsequently measured at amortized cost using the effective interest rate method, which ensures that any interest expense over the period to repayment is at a constant rate on the balance of the liability carried in the consolidated statement of financial position. For the purposes of each financial liability, interest expense includes initial transaction costs and any premium payable on redemption, as well as any interest or coupon payable while the liability is outstanding. Trade accounts payable and other accounts payable, which are initially recognized at fair value and subsequently carried at amortized cost using the effective interest method. Another financial liability recognized at fair value is due to a commitment to the selling shareholders of Isramat (See also note 7) that if the aggregate proceeds received by a selling shareholder from the sale of its acquisition shares during the lockup period, together with the value of its unsold acquisition shares as of the end of such period, is lower than its pro rata portion in the equity consideration, the Company will pay the difference in cash to such selling shareholder. 3. Issue of a unit of securities: The issue of a unit of securities involves the allocation of the proceeds received (before issue expenses) to the securities issued in the unit based on the following order: financial derivatives and other financial instruments measured at fair value in each period. Then fair value is determined for financial liabilities that are measured at amortized cost. The proceeds allocated to equity instruments are determined to be the residual amount. Issue costs are allocated to each component pro rata to the amounts determined for each component in the unit. 4. Derivative liability - Warrants: Warrants that are denominated in a currency other than the functional currency of the Company are considered a derivative liability and are classified as financial liabilities at fair value through profit or loss. Accordingly, these warrants are measured at fair value and the changes in fair value in each reporting period are recognized in profit or loss. 5. Derecognition ● Financial assets - The Company derecognizes a financial asset when the contractual rights to the cash flows from the financial asset expire or it transfers the rights to receive the contractual cash flows. ● Financial Liabilities - The Company derecognizes a financial liability when its contractual obligations are discharged or cancelled, or expire. A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) NOTE 3 - SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): E. Fair value measurement (cont.): 6. Impairment of financial assets ECL and their measurement ECL are measured as the unbiased probability-weighted present value of all cash shortfalls over the expected life of each financial asset. For receivables from financial services, ECL are mainly calculated with a statistical model using three major risk parameters: probability of default, loss given default and exposure at default. The estimation of these risk parameters incorporates all available relevant information, not only historical and current loss data, but also reasonable and supportable forward-looking information reflected by the future expectation factors. This information includes macroeconomic factors (e.g., gross domestic product growth, unemployment rate, cost performance index) and forecasts of future economic conditions. For receivables from financial services, these forecasts are performed using a scenario analysis (base case, adverse and optimistic scenarios). As of December 31, 2022, and December 31, 2021, ECL for trade and other account receivables are not material, and as such are not disclosed, in accordance IFRS 9. Definition of default, including reasons for selecting the definition Prior to commencing a business relationship, the Company will enter into an agreement with the customer. The agreement or contract typically includes details of the terms of payment to which the customer is entitled. In most cases, the customer updates the Company if there is a delay in the payment beyond the terms of the agreement. Any delays in payment for more than two months are subject to approval of management. If a customer’s scheduled payment is delayed by more than two months and such delay is not approved by the Company’s management, the CEO will typically make direct contact with the customer’s management and inform them of the overdue obligation and that Company will pursue remedies available to collect the overdue payment. If the customer and the Company are not able to resolve the matter at that time, the receivable is considered to be in default as the collectability is no longer certain. If the collection effort is not successful, the Company will retain legal counsel in the applicable country to assist with collection and sends a demand letter to that effect. Write-off policy The Company writes off its financial assets if any of the following occur: ● Inability to locate the debtor. ● Discharge of the debt in a bankruptcy. ● It is determined that the efforts to collect the debt are no longer cost effective given the size of receivable. The collections department must comply with the collection efforts outlined in the policy to collect on delinquent customer accounts before any write-offs are made. A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) NOTE 3 - SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): E. Fair value measurement (cont.): Aging Schedule based on due date AGING SCHEDULE BASED ON DUE DATE December 31, 2022 December 31, 2021 Aging schedule December 31, 2022 December 31, 2021 Within payment terms $ 1,373 $ 857 Total $ 1,373 $ 857 Three-level matrix Based on its past experience and historical data along with a consideration of future projections of factors, such as the economic environment, the Company has established a three-level matrix. The three-level matrix contains the following groups and balances: SCHEDULE OF THREE-LEVEL MATRIX December 31, 2022 December 31, 2021 Government institutions $ 279 $ 296 Industrial customers 1,052 - Other customers 42 561 Total $ 1,373 $ 857 A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) NOTE 3 - SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): F. Operating Segment An operating segment is a component of the Company that meets the following three criteria: 1. Is engaged in business activities from which it may earn revenues and incur expenses; 2. Whose operating results are regularly reviewed by the Company’s chief operating decision maker to make decisions about allocated resources to the segment and assess its performance; and 3. For which separate financial information is available. Segment revenue and segment costs include items that are attributable to the relevant segments and items that can be allocated to segments. Items that cannot be allocated to segments include the Company’s financial income and expenses and income tax. The Company has three operating segments; Precision Metal Parts, Advanced Engineering and Smart Carts. G. Share-based compensation Where equity settled share options are awarded to employees and service providers, the fair value of the options calculated at the grant date is based on the market share price and is charged to the statement of comprehensive income over the vesting period. Non-market vesting conditions are taken into account by adjusting the number of equity instruments expected to vest at each reporting date so that, ultimately, the cumulative amount recognized over the vesting period is based on the number of options that eventually vest. Market vesting conditions are factored into the fair value of the options granted. As long as all other vesting conditions are satisfied, a charge is made irrespective of whether the market vesting conditions are satisfied. The cumulative expense charged is not adjusted for failure to achieve a market vesting condition. H. Deferred taxes Deferred taxes are recognized in respect of temporary differences between the carrying amounts of assets and liabilities in the financial statements and the amounts attributable for tax purposes. Significant judgment is required to determine the amount of deferred tax assets that can be recognized, based upon the estimated timing and level of future taxable profits together with future tax planning strategies. Deferred taxes are measured at the tax rates that are expected to apply in the period when the temporary differences are reversed based on tax laws that have been enacted or substantively enacted at the end of the reporting period. Deferred taxes are recognized in Profit or loss, except when they relate to items recognized in other comprehensive income or directly in equity. Deferred tax assets are reviewed at the end of each reporting period and reduced to the extent that it is not probable that they will be utilized. In addition, temporary differences (such as carry forward losses) for which deferred tax assets have not been recognized or reassessed are recognized to the extent that their recoverability is probable. Any resulting reduction or reversal is recognized as “income tax” within the statement of comprehensive income. All deferred tax assets and liabilities are presented in the statement of financial position as non-current items, respectively. Deferred taxes are offset in the statement of financial position if there is a legally enforceable right to offset a current tax asset against a current tax liability and the deferred taxes relate to the same taxpayer and the same taxation authority. The current tax liability is measured using the tax rates and tax laws that have been enacted or substantively enacted by the reporting date as well as adjustments required in connection with the tax liability in respect of previous years. Deferred tax assets in respect to carryforward losses have not been recognized in respect of these items because it is not probable that future taxable profit will be available against which the group can utilize the benefits therefrom. A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) NOTE 3 - SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): I. Defined benefit schemes The Company contributes towards the state pension in accordance with local legislation where required. The only obligation of the Company is to make the required contributions. Costs related to such contributions are expensed in the period in which they are incurred. The Company has several employee benefits plans as to its employees: 1. Short-term employee benefits: Short-term employee benefits include salaries, paid annual leave, paid sick leave, recreation and social security contributions and are recognized as expenses as the services are rendered. A liability in respect of a cash bonus or a profit-sharing plan is recognized when the Company has a legal or constructive obligation to make such payment as a result of past service rendered by an employee and a reliable estimate of the amount can be made. 2. Post-employment benefits: The plans are normally financed by contributions to insurance companies and classified as defined contribution plans or as defined benefit plans. This liability is calculated based on actuary measurement. Contributions to the defined contribution plan in respect of severance or retirement pay are recognized as an expense simultaneously with receiving the employee’s services and no additional provision is required in the financial statements except for the unpaid contribution. The Company also operates for some employees an immaterial defined benefit plan in respect of severance pay pursuant to the Severance Pay Law. The Company presents the accrued severance pay liability net from severance pay fund. J. Property, plant and equipment Items of property, plant and equipment are initially recognized at cost. Cost includes directly attributable costs and the estimated present value of any future costs of dismantling and removing items. Depreciation is computed by the straight-line method, based on the estimated useful lives of the assets, as follows: SCHEDULE OF ESTIMATED USEFUL LIVES OF ASSETS Estimated useful lives Computers and electronic equipment 3 Machines and manufacturing equipment 10 Furniture and equipment 7 Vehicles 6.67 ERP system and R&D expenses 3 6 Leasehold Improvement 10 A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) NOTE 3 - SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): J. Revenue recognition Revenue is recognized based on the five-step model outlined in IFRS 15, Revenue from Contracts with Customers. IFRS 15 sets out a single revenue recognition model, according to which the entity shall recognize revenue in accordance with the said core principle by implementing a five-step model framework: 1. Identify the contracts with a customer. 2. Identify the performance obligations in the contract. 3. Determine the transaction price. 4. Allocate the transaction price to the performance obligations in the contract. 5. Recognize revenue when the entity satisfies a performance obligation. i. Revenue from services is derived from contracts with customers pursuant to which the Company provides maintenance for various electronic systems. Revenues on these contracts are recognized using the straight-line method, based on the period of time passed. ii. Revenues generated in Isramat are recognized from sale of goods in profit or loss at the point in time when the control of the goods is transferred to the customer, generally upon delivery of the goods to the customer. Performance obligations and timing of revenue recognition The majority of the Company’s revenue is derived from selling goods with revenue recognized at a point in time when control of the goods has transferred to the customer. This is generally when the goods are delivered to the customer. However, for export sales, control might also be transferred when delivered either to the port of departure or port of arrival, depending on the specific terms of the contract with a customer. There is limited judgement needed in identifying the point control passes: once physical delivery of the products to the agreed location has occurred, the Company no longer has physical possession, usually will have a present right to payment (as a single payment on delivery) and retains none of the significant risks and rewards of the goods in question. The Company has a segment which carries out maintenance and leasing services for clients, with revenue recognized typically on an over time basis. This is because the designs created have no alternative use for the Company and the contracts would require payment to be received for the time and effort spent by the Company on progressing the contracts in the event of the customer cancelling the contract prior to completion for any reason other than the Company’s failure to perform its obligations under the contract. On partially complete service contracts, A Layout (International) recognizes revenue based on stage of completion of the project which is estimated by comparing the number of hours actually spent on the project with the total number of hours expected to complete the project (i.e. an input based method). This is considered a faithful depiction of the transfer of services as the contracts are initially priced on the basis of anticipated hours to complete the projects and therefore also represents the amount to which the Company would be entitled based on its performance to date. Determining the transaction price A substantial amount of the Company’s revenue is derived from Smart Cart segment – fixed price contracts and therefore the amount of revenue to be earned from each contract is determined by reference to those fixed prices. Exceptions are as follows: ● For one key customer, the Company accepts orders and is paid up in advance of delivering the products. K. Share based payment transactions The Company’s employees and other service providers are entitled to remuneration in the form of equity-settled share-based payment. The cost of equity-settled transactions is recognized in profit or loss together with a corresponding increase in equity during the period which the performance and/or service conditions are to be satisfied ending on the date on which the relevant employees become entitled to the award (“the vesting period”). The cumulative expense recognized for equity-settled transactions at the end of each reporting date includes the Group’s best estimate of the number of equity instruments that will ultimately vest. The cost of equity-settled transactions with employees is measured at the fair value of the equity instruments granted at grant date. The fair value of option granted is determined using the Binomial Lattice option-pricing model (“Binomial model”). The Binomial model takes into account variables such as volatility, dividend yield rate, and risk-free interest rate and also allows for the use of dynamic assumptions and considers the contractual term of the option, the probability that the option will be exercised prior to the end of its contractual life, and the probability of termination or retirement of the option holder in computing the value of the option. L. Research and development expenses Research expenses are recognized in profit or loss when incurred. An intangible asset arising from a development project or from the development phase of an internal project is recognized if the Company can demonstrate all of the following: the technical feasibility of completing the intangible asset so that it will be available for use or sale; the Company’s intention to complete the intangible asset and use or sell it; the Company’s ability to use or sell the intangible asset; how the intangible asset will generate future economic benefits; the availability of adequate technical, financial and other resources to complete the intangible asset; and the Company’s ability to measure reliably the expenditure attributable to the intangible asset during its development. Through December 31, 2022, costs in the amount of $ 219 A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) NOTE 3 - SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): M. Standard not yet effective There are a number of standards, amendments to standards, and interpretations which have been issued by the IASB that are effective in future accounting periods that the Company has decided not to adopt early. The following amendments are effective for the period beginning 1 January 2023: - Disclosure of Accounting Policies (Amendments to IAS 1 and IFRS Practice Statement 2); - Definition of Accounting Estimates (Amendments to IAS 8); and - Deferred Tax Related to Assets and Liabilities arising from a Single Transaction (Amendments to IAS 12) The following amendments are effective for the period beginning 1 January 2024: - IFRS 16 Leases (Amendment – Liability in a Sale and Leaseback) - IAS 1 Presentation of Financial Statements (Amendment – Classification of Liabilities as Current or Non-current) - IAS 1 Presentation of Financial Statements (Amendment – Non-current Liabilities with Covenants) The Company is currently assessing the impact of these new accounting standards and amendments. The Company does not believe that the amendments to IAS 1 will have a significant impact on the classification of its liabilities, as the conversion feature in its convertible debt instruments is classified as an equity instrument and therefore, does not affect the classification of its convertible debt as a non-current liability. The Company does not expect any other standards issued by the IASB, but not yet effective, to have a material impact on the Company. Changes in accounting policies The following amendments are effective for the period beginning 1 January 2022: Leases The majority of the Company’s accounting policies for leases are set out in note 12. Identifying leases The Company accounts for a contract as a lease when it conveys the right to use an asset for a period of time in exchange for consideration. Leases are those contracts that satisfy the following criteria: - There is an identified asset; - The Company obtains substantially all the economic benefits from use of the asset; and - The company has the right to direct use of the asset The Company considers whether the supplier has substantive substitution rights. If the supplier does have those rights, the contract is not identified as giving rise to a lease. In determining whether the Company obtains substantially all the economic benefits from use of the asset, the Company considers only the economic benefits that arise use of the asset, not those incidental to legal ownership or other potential benefits. In determining whether the Company has the right to direct use of the asset, the Company considers whether it directs how and for what purpose the asset is used throughout the period of use. If there are no significant decisions to be made because they are pre-determined due to the nature of the asset, the Company considers whether it was involved in the design of the asset in a way that predetermines how and for what purpose the asset will be used throughout the period of use. If the contract or portion of a contract does not satisfy these criteria, the Company applies other applicable IFRSs rather than IFRS 16. A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) NOTE 3 - SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): IAS - 1 Presentation of Financial Statements In January 2020, the IASB issued amendments to IAS 1, which clarify the criteria used to determine whether liabilities are classified as current or non-current. These amendments clarify that current or non-current classification is based on whether an entity has a right at the end of the reporting period to defer settlement of the liability for at least twelve months after the reporting period. The amendments also clarify that ‘settlement’ includes the transfer of cash, goods, services, or equity instruments unless the obligation to transfer equity instruments arises from a conversion feature classified as an equity instrument separately from the liability component of a compound financial instrument. The amendments are effective for annual reporting periods beginning on or after January 1, 2022. However, in May 2020, the effective date was deferred to annual reporting periods beginning on or after January 1, 2023. The Company evaluated the expected impact of the IAS 1 amendments on its financial position as December 31, 2022, as a reclassification of its derivative liability - warrants in the amount of $1,142 from Non – Current Liabilities to Current Liabilities. Onerous Contracts Cost of Fulfilling a Contract (Amendments to IAS 37) IAS 37 defines an onerous contract as a contract in which the unavoidable costs (costs that the Group has committed to pursuant to the contract) of meeting the obligations under the contract exceed the economic benefits expected to be received under it. The amendments to IAS 37.68A clarify, that the costs relating directly to the contract consist of both: ● The incremental costs of fulfilling that contract- e.g., direct labor and material; and ● An allocation of other costs that relate directly to fulfilling contracts: e.g. Allocation of depreciation charge on property, plant and equipment used in fulfilling the contract. The Company, prior to the application of the amendments, did not have any onerous contracts. The Company estimates that the initial application of the Amendments is not expected to have a material impact on its financial statements. |
CRITICAL ACCOUNTING ESTIMATES A
CRITICAL ACCOUNTING ESTIMATES AND JUDGEMENTS | 12 Months Ended |
Dec. 31, 2022 | |
CRITICAL ACCOUNTING ESTIMATES AND JUDGEMENTS | NOTE 4 - CRITICAL ACCOUNTING ESTIMATES AND JUDGEMENTS The areas requiring the use of estimates and critical judgments that may potentially have a significant impact on the Company’s earnings and financial position are the useful life of property and equipment and income tax. The useful life of property, plant and equipment Property and equipment are amortized or depreciated over their useful lives. Useful lives are based on management’s estimates of the period that the assets will generate revenue, which are periodically reviewed for continued appropriateness. Changes to estimates can result in significant variations in the amounts charged to the consolidated statement of comprehensive income in specific periods. A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) NOTE 4 - CRITICAL ACCOUNTING ESTIMATES AND JUDGEMENTS (CONTINUED): Intangible assets Intangible assets are tested for impairment annually or more frequently if there is an indication of impairment. The carrying value of intangibles with definite lives is reviewed each reporting period to determine whether there is any indication of impairment. If there are indications of impairment the impairment analysis is completed and if the carrying amount of an asset exceeds its recoverable amount, the asset is impaired and impairment loss is recognized. Going concern In order to assess whether it is appropriate for the company to continue as a going concern, management is required to apply judgment and make estimates with respect to future cash flow projections. In arriving at this judgment, there were several assumptions and estimates involved in calculating these future cash flow projections. This includes making estimates regarding the timing and amounts of future expenditures and the ability and timing to raising additional financing. Functional currency The Company and its subsidiaries are required to determine their functional currencies based on the primary economic environment in which each entity operates. In order to do that, management has to analyze several factors, including which currency mainly influences the cost of undertaking the business activities, in which currency the entity has received financing, and in which currency it keeps its receipts from operating activities. Management uses its judgment to determine which factors are most important when the above indicators are mixed and the functional currency is not obvious. Impairment of non-financial assets Impairment tests on goodwill and other intangible assets with indefinite useful economic lives are undertaken annually at the financial year end. Other non-financial assets are subject to impairment tests whenever events or changes in circumstances indicate that their carrying amount may not be recoverable. Where the carrying value of an asset exceeds its recoverable amount (i.e., the higher of value in use and fair value less costs to sell), the asset is written down accordingly. Where it is not possible to estimate the recoverable amount of an individual asset, the impairment test is carried out on the smallest group of assets to which it belongs for which there are separately identifiable cash flows; its cash generating units (‘CGUs’). Goodwill is allocated on initial recognition to each of the Company’s CGUs that are expected to benefit from a business combination that gives rise to the goodwill. Impairment charges are included in profit or loss, except to the extent they reverse gains previously recognized in other comprehensive income. An impairment loss recognized for goodwill is not reversed. Goodwill Goodwill arising on the acquisition of a subsidiary represents the excess of the cost of acquisition over the Company’s interest in the net fair value of the identifiable assets, liabilities and Contingent liabilities of the subsidiary or jointly controlled entity recognized at the date of acquisition. Goodwill is initially recognized as an asset at cost and is subsequently measured at cost less any accumulated impairment losses. Derivative liability - Warrants The Company uses the Black-Scholes option-pricing model to estimate fair value at each reporting date. The key assumptions used in the model are the expected future volatility in the price of the Company’s shares and the expected life of the warrants. Determining the fair value of share-based payment transactions: The fair value of share-based payment transactions is determined upon initial recognition by the Binomial model. The Binomial model is based on share price and exercise price and assumptions regarding expected volatility, term of share option, dividend yield and risk-free interest rate. A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) |
INVENTORIES
INVENTORIES | 12 Months Ended |
Dec. 31, 2022 | |
INVENTORIES | NOTE 5 INVENTORIES SCHEDULE OF INVENTORIES December 31, December 31, 2022 2021 Raw materials $ 38 $ 93 Smart cart electrical equipment - 909 Smart cart parts 337 145 Inventories $ 375 $ 1,147 |
TRADE RCEIVABLES, NET
TRADE RCEIVABLES, NET | 12 Months Ended |
Dec. 31, 2022 | |
TRADE RCEIVABLES, NET | NOTE 6 TRADE RCEIVABLES, NET SCHEDULE OF TRADE RECEIVABLES December 31, December 31, 2022 2021 Customers $ 1,383 $ 857 Expected credit losses (10 ) - Trade Receivables, net $ 1,373 $ 857 |
ACQUISITION
ACQUISITION | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure of detailed information about business combination [abstract] | |
ACQUISITION | NOTE 7 ACQUISITION On February 3, 2022, the Company announced it has completed the acquisition of all the outstanding shares of Isramat Ltd (“Isramat”), an Israeli manufacturer of precision metal parts. In connection with closing of the acquisition, the Company paid NIS 2,800,000 879 273,774 7.6311 IFRS 13 favors the use of quoted prices and limits the inclusion of restrictions (such as lockup) in the calculated fair value. Based on the provisions of IFRS 13, the Company has recognized a provision for the commitment to the selling shareholders on the day of the acquisition in the amount of $ 343 1,447 1,105 The table below summarizes the fair value of the commitment at the purchase date: SUMMARY OF FAIR VALUE OF COMMITMENT Balance at January 1, 2022 $ - Acquisition date February 3, 2022 343 Revaluation 1,190 Effect of changes in foreign exchange rates (86 ) Balance at December 31, 2022 $ 1,447 The purchase consideration has been allocated between the acquired tangible assets and intangible assets, based on their fair values. Management is fully responsible for the valuation made of the assets. The fair value assigned to identifiable intangible assets acquired has been determined by using valuation methods that accounts for replacement costs, using estimates and assumptions determined by management. Based on the above, the Company has initially determined that the purchase price exceeds the fair values of identifiable net assets acquired by approximately $ 1,188 A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) NOTE 7 ACQUISITION (CONTINUED) The table below summarizes the fair value of assets acquired at the purchase date: SCHEDULE OF FAIR VALUE OF ASSETS ACQUIRED February 3, 2022 Working capital other than cash and cash equivalents $ 869 Liability for severance pay fund, net (35 ) Property, plant and equipment 636 Benefit shareholder consulting agreement 27 Customer relations 284 Goodwill (*) 1,188 Total consideration paid (**) $ 2,969 Consideration paid in cash $ 879 Commitment to the selling shareholders 343 Consideration paid in common shares in the capital of the Company 1,747 Total consideration paid (**) $ 2,969 (*) Goodwill represents the excess of the purchase price over the fair value of the net tangible and identifiable intangible assets acquired. The goodwill is attributed to the expected benefits arising from the synergies of the combination of the activities of the Company and acquired company, and to the value of assembled workforce. Isramat manufactures and sells precision metal parts. Revenue from these sales is recognized when Isramat has delivered the parts to locations specified by its customers and the customers have accepted the parts in accordance with the sales contract. (**) Consideration paid in cash for the purchase of Isramat shares was $ 879 273,774 1,747 The contribution of Isramat’s results to the Company’s consolidated revenues were $ 3,958 875 The pro forma financial information presented below is for information purposes only, is subject to a number of estimates, assumptions and other uncertainties, and is not indicative of the results of operations that would have been achieved had the transaction taken place at January 1, 2022. The pro forma financial information is as follows: SCHEDULE OF PRO FORMA INFORMATION For the year ended December 31, 2022 (in thousands) unaudited Total revenues $ 9,594 Net loss attributable to the Company $ 17,635 |
OTHER ACCOUNTS RECEIVABLE
OTHER ACCOUNTS RECEIVABLE | 12 Months Ended |
Dec. 31, 2022 | |
OTHER ACCOUNTS RECEIVABLE | NOTE 8 OTHER ACCOUNTS RECEIVABLE SCHEDULE OF OTHER ACCOUNTS RECEIVABLE December 31, December 31, 2022 2021 Related parties $ - $ 126 Advances to suppliers 918 - Prepaid expenses 751 50 Government institutions 151 251 Other 750 7 Other accounts receivable $ 2,570 $ 434 A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) |
INTANGIBLE ASSETS - PATENT, NET
INTANGIBLE ASSETS - PATENT, NET | 12 Months Ended |
Dec. 31, 2022 | |
INTANGIBLE ASSETS - PATENT, NET | NOTE 9 INTANGIBLE ASSETS - PATENT, NET SUMMARY OF INTANGIBLE ASSETS PATENT, NET Balance, January 1, 2021 $ 2,239 Depreciation (123 ) Effect of changes in foreign exchange rates (25 ) Balance, December 31, 2021 $ 2,091 Additions 311 Depreciation (200 ) Effect of changes in foreign exchange rates 5 Balance, December 31, 2022 $ 2,207 |
PROPERTY, PLANT AND EQUIPMENT,
PROPERTY, PLANT AND EQUIPMENT, NET | 12 Months Ended |
Dec. 31, 2022 | |
PROPERTY, PLANT AND EQUIPMENT, NET | NOTE 10 PROPERTY, PLANT AND EQUIPMENT, NET SCHEDULE OF PROPERTY, PLANT AND EQUIPMENT NET Computers and electronic equipment Machines and manufacturing equipment Furniture and equipment Vehicles ERP system and R&D expenses Leasehold Improvements Right of use Asset Total Cost: As of January 1, 2022 $ 440 $ - $ 201 $ 968 $ - $ 59 $ 362 $ 2,030 Additions 29 174 28 316 223 14 - 784 Disposals - - - (380 ) - - (380 ) Additions from newly acquired subsidiary - 2,242 178 34 - 367 859 3,681 Translation adjustments (53 ) (208 ) (48 ) (80 ) (4 ) (37 ) (42 ) (472 ) As of December 31, 2022 $ 416 $ 2,208 $ 359 $ 858 219 $ 403 $ 1,180 $ 5,642 Accumulated depreciation: As of January 1, 2022 $ 288 $ - $ 142 $ 368 $ - $ 59 $ 101 $ 958 Additions 37 116 16 88 5 3 107 371 Disposals - - - (58 ) - - - (58 ) Additions from newly acquired subsidiary - 1,657 158 6 - 350 164 2,335 Translation adjustments (35 ) (163 ) (27 ) (47 ) - (36 ) (13 ) (321 ) As of December 31, 2022 $ 290 $ 1,610 $ 289 $ 357 $ 5 $ 376 $ 360 $ 3,286 Net Book Value: As of December 31, 2022 $ 126 $ 598 $ 70 $ 501 214 $ 27 $ 820 $ 2,357 As of December 31, 2021 $ 152 $ - $ 59 $ 600 - $ - $ 261 $ 1,072 Computers and electronic equipment Furniture and equipment Vehicles Leasehold Improvements Right of use Asset Total Cost: As of January 1, 2021 $ 370 $ 139 $ 625 $ 57 $ 40 $ 1,231 Cost, beginning balance $ 370 $ 139 $ 625 $ 57 $ 40 $ 1,231 Additions 52 62 298 - 362 774 Translation adjustments 18 - 45 2 (40 ) 25 As of December 31, 2021 $ 440 $ 201 $ 968 $ 59 $ 362 $ 2,030 Cost, ending balance $ 440 $ 201 $ 968 $ 59 $ 362 $ 2,030 Accumulated depreciation: As of January 1, 2021 $ 268 $ 133 $ 294 $ 57 $ 23 $ 775 Beginning balance $ 268 $ 133 $ 294 $ 57 $ 23 $ 775 Additions 22 7 92 - 101 222 Translation adjustments (2 ) 2 (18 ) 2 (23 ) (39 ) As of December 31, 2021 $ 288 $ 142 $ 368 $ 59 $ 101 $ 958 Ending balance $ 288 $ 142 $ 368 $ 59 $ 101 $ 958 Net Book Value: As of December 31, 2021 $ 152 $ 59 $ 600 $ - $ 261 $ 1,072 As of December 31, 2020 $ 102 $ 6 $ 331 $ - $ 17 $ 456 Net Book Value $ 102 $ 6 $ 331 $ - $ 17 $ 456 A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) |
SHORT TERM LOANS AND CURRENT PO
SHORT TERM LOANS AND CURRENT PORTION OF LONG-TERM LOANS | 12 Months Ended |
Dec. 31, 2022 | |
Short Term Loans And Current Portion Of Long-term Loans | |
SHORT TERM LOANS AND CURRENT PORTION OF LONG-TERM LOANS | NOTE 11 – SHORT TERM LOANS AND CURRENT PORTION OF LONG-TERM LOANS SCHEDULE OF SHORT TERM LOANS AND CURRENT PORTION OF LONG-TERM LOANS Linked to Interest rate December 31, 2022 December 31, 2021 Short term loans NIS 3.2 7.5 % $ 1,114 $ - Current portion of long-term loans 289 158 Short term loans and current portion of long-term loans $ 1,403 $ 158 |
LEASE LIABILITY
LEASE LIABILITY | 12 Months Ended |
Dec. 31, 2022 | |
LEASE LIABILITY | NOTE 12 – LEASE LIABILITY The Company has lease contracts for industrial areas and office facilities used in its operations. Leases of industrial areas and office facilities generally have lease terms of between 2 and 5. The Group has several lease contracts that include termination option, which are valid after a minimal lease period. The Group has several lease contracts that include extension options. Set out below are the carrying amounts of lease liabilities recognized and the movements during the period: SCHEDULE OF CARRYING AMOUNTS OF LEASE LIABILITIES RECOGNIZED AND MOVEMENTS Industrial areas and office facilities Balance January 1, 2021 $ 21 Additions 362 Disposals (107 ) Accumulated interest 25 Exchange rate differences (24 ) Balance December 31, 2021 $ 277 Additions 859 Disposals (335 ) Accumulated interest 107 Exchange rate differences (22 ) Balance December 31, 2022 $ 886 Linked to December 31, 2022 December 31, 2021 Long Term leases NIS $ 886 $ 277 Current portion of long-term leases 281 126 Non-current portion of long-term leases $ 605 $ 151 |
DEFERRED REVENUES
DEFERRED REVENUES | 12 Months Ended |
Dec. 31, 2022 | |
DEFERRED REVENUES | NOTE 13 – DEFERRED REVENUES The Company has invoiced its one major customer in the Smart Cart segment a sum amount of $ 1,373 |
OTHER ACCOUNTS PAYABLE
OTHER ACCOUNTS PAYABLE | 12 Months Ended |
Dec. 31, 2022 | |
OTHER ACCOUNTS PAYABLE | NOTE 14 - OTHER ACCOUNTS PAYABLE SCHEDULE OF OTHER ACCOUNTS PAYABLE December 31, December 31, 2022 2021 Employees and government authorities $ 681 $ 362 Accrued expenses 93 169 Other 182 568 Other accounts payable $ 956 $ 1,099 |
LONG TERM LOANS
LONG TERM LOANS | 12 Months Ended |
Dec. 31, 2022 | |
LONG TERM LOANS | NOTE 15 - LONG TERM LOANS SCHEDULE OF LONG TERM LOANS Linked to Interest rate December 31, 2022 December 31, 2021 Long term loans NIS 1.8 6.1 % $ 1,385 $ 641 Less- Current portion (1,044 ) (158 ) Non Current Long term loans $ 341 $ 483 The loans are from leading Israeli financial institutions and bear interest of between 1.8 6.1 1,044 341 A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) |
SEVERANCE PAYMENT, NET
SEVERANCE PAYMENT, NET | 12 Months Ended |
Dec. 31, 2022 | |
Severance Payment Net | |
SEVERANCE PAYMENT, NET | NOTE 16 – SEVERANCE PAYMENT, NET SCHEDULE OF PLAN DEFINED BENEFIT OBLIGATION a. The plan liabilities, net: Year ended Year ended December 31, 2022 December 31, 2021 Defined benefit plan: Present value of defined benefit obligation $ 394 $ 541 Fair value of plan assets (361 ) (374 ) Total $ 33 $ 167 Changes in the present value of defined benefit obligation: 2022 2021 Balance at beginning of year $ 541 $ 563 Recognized in statement of comprehensive loss: Interest cost 9 10 Current service cost 30 39 Currency translation (111 ) (71 ) Recognized in other comprehensive gain : (10 ) - Net actuarial gain (98 ) - Balance at end of year $ 361 $ 541 SCHEDULE OF FAIR VALUE OF PLAN ASSETS b. The movement in the fair value of the plan assets: 2022 2021 Balance at beginning of year $ (374 ) $ (376 ) Recognized in statement of comprehensive loss: Expected return 24 28 Recognized in other comprehensive loss /(gain): Net actuarial loss (gain) - - Other: Contributions by employer (11 ) (26 ) Balance at end of year $ (361 ) $ (374 ) SCHEDULE OF ASSUMPTIONS UNDERLYING DEFINED BENEFIT PLAN c. The principal assumptions underlying the defined benefit plan: December 31, 2022 December 31, 2021 Discount rate of the plan liability 2.75 % 2.24 % Expected rate of return on plan assets 2.64 % 2.36 % Future salary increases 3.82 % 3.47 % A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) |
WARRANT LIABILITY
WARRANT LIABILITY | 12 Months Ended |
Dec. 31, 2022 | |
Warrant Liability | |
WARRANT LIABILITY | NOTE 17 – WARRANT LIABILITY a) November 2022 Warrants On November 2, 2022, the Company issued an aggregate of 1,489,166 warrants (November 2022 Warrants) as part of a private placement (see also note 19 (s)). The warrants were issued with an exercise price denominated in Canadian Dollars (CAD 2.04 ) rather than the functional currency of the Company – New Israeli Shekels (NIS). The warrants are exercisable for a period of 2 years from the issue date. The Black-Scholes option pricing model was used to measure the warrant liability with the following assumptions: volatility of 110 % using the historical prices of the Company, risk-free interest rate of 3.94 %, expected life of 2.00 years and share price of CAD 1.56 . These warrants were valuated at their fair value at the end of each reporting period and classified as a liability. SCHEDULE OF FAIR VALUE HIERARCHY OF WARRANTS Balance at January 1, 2022 $ - Issuance of November 2022 Warrants 894 Revaluation at December 31,2022 248 Reclassification to Warrant Reserve - Warrants exercised - Expiry of warrants - Balance at December 31, 2022 $ 1,142 b) April and May 2021 Warrants Certain warrants were issued with an exercise price denominated in Canadian Dollars (CAD) rather than the functional currency of the Company – New Israeli Shekels (NIS). These warrants were recorded at their fair value at the end of each reporting period and classified as a derivative liability. As of June 30, 2021, the warrant liability was $ 7,093 2,307 111 0.41 1.79 11.91 On June 30, 2021, warrant holders owning 583,703 11.04 11.04 2.63 1.00 6,846 As of August 29, 2021, the warrant liability was $ 247 124 134 0.41 1.62 6.69 The following is the reconciliation of the fair value that are categorized within Level 3 of the fair value hierarchy in financial instruments: SCHEDULE OF FAIR VALUE HIERARCHY OF WARRANTS Balance at January 1, 2021 $ - Issuance at June 4, 2021 4,786 Revaluations 2,183 Reclassification to Warrant Reserve (6,969 ) Balance at December 31, 2021 $ - Balance at December 31, 2022 $ - A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) NOTE 17 – WARRANT LIABILITY (CONTINUED): c) November 2020 and December 2020 Warrants Certain warrants issued in November and December 2020 were issued with an exercise price denominated in Canadian Dollars (CAD) rather than the functional currency of the Company – New Israeli Shekels (NIS). These warrants were recorded at their fair value at the end of each reporting period and classified as a derivative liability. As of March 31, 2021, the warrant liability was $ 35,175 26,816 79 1.002 4.63 9.30 On March 31, 2021, warrant holders, owning 5,816,785 2.70 2.70 2.65 1.00 35,065 The following is the reconciliation of the fair value that are categorized within Level 3 of the fair value hierarchy in financial instruments: SCHEDULE OF FAIR VALUE HIERARCHY OF WARRANTS Balance at January 1, 2021 $ 8,391 Revaluation at March 31, 2021 26,816 Reclassification to Warrant Reserve (35,207 ) Balance at December 31, 2021 $ - Balance at December 31, 2022 $ - d) January 2020 Warrants Certain warrants issued in January 2020 were issued with an exercise price denominated in Canadian Dollars (CAD) rather than the functional currency of the Company - New Israeli Shekels (NIS). These warrants were recorded at their fair value at the end of each reporting period and classified as a derivative liability. On June 30, 2021, warrant holders, owning 220,589 1.95 1.95 2.65 1.00 1,788 As of December 31, 2021, the warrant liability was $ 51 1,788 82 0.064 0.08 13.72 16,312 On January 31, 2022, the remaining January 2020 Warrants expired, and the Company reclassified the warrant liability to equity. The following is the reconciliation of the fair value that are categorized within Level 3 of the fair value hierarchy in financial instruments: SCHEDULE OF FAIR VALUE HIERARCHY OF WARRANTS Balance at January 1, 2021 $ 285 Warrants exercised (342 ) Revaluations 1,896 Reclassification to Warrant Reserve $ (1,788 ) Balance at December 31, 2021 51 Expiry of warrants (51 ) Balance at December 31, 2022 $ - A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) |
LIENS, COMMITMENTS AND PROVISIO
LIENS, COMMITMENTS AND PROVISIONS | 12 Months Ended |
Dec. 31, 2022 | |
LIENS, COMMITMENTS AND PROVISIONS | NOTE 18 – LIENS, COMMITMENTS AND PROVISIONS A. The Company’s Israeli subsidiary’s fixed assets (motor vehicles) are secured against bank borrowings. |
SHAREHOLDERS_ EQUITY (DEFICIT)
SHAREHOLDERS’ EQUITY (DEFICIT) | 12 Months Ended |
Dec. 31, 2022 | |
SHAREHOLDERS’ EQUITY (DEFICIT) | NOTE 19 – SHAREHOLDERS’ EQUITY (DEFICIT) The Company’s Authorized share capital is unlimited common shares without par value (“Shares”). As of December 31, 2022, the number of shares issued and outstanding are 30,945,322 26,326,488 On August 13, 2021, the Board and the TSX-V approved a 1-for-3 reverse stock split A. On January 21, 2020, 47,619 0.42 15 20 B. On January 30, 2020, the Company completed a private placement of 277,779 1.80 377 500 1.95 214 C. On January 30, 2020, the Company issued 30,831 50 D. On March 18, 2020, 75,000 0.39 23 32 E. On April 27, 2020, the Company issued 76,701 71 F. During July 2020 and August 2020, 182,142 2.52 98 G. On October 28, 2020, 767 1.14 1 H. On November 16, 2020, the Company closed a private placement (the “November 2020 Private Placement”) and issued 4,450,153 1.875 6,377 8,344 2.70 417 The fair value of the November 2020 Private Placement Warrants was $ 3,537 A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) NOTE 19 – SHAREHOLDERS’ EQUITY (DEFICIT) (CONTINUED): I. On December 29, 2020, the Company closed a private placement (the “December 2020 Private Placement”) and issued 1,366,631 1.875 2,000 2,562 2.70 128 100,000 All securities issued in connection with the December 2020 Private Placement are subject to a four month and one day hold period expiring on April 25, 2021. The December 2020 Warrants and Finders’ Warrants and have an exercise price of CAD$ 2.70 1,698 J. On December 24, 2020, the Company issued 20,161 47 K. During the year ended December 31, 2021, the Company issued 2,514,693 2,629,343 L. On June 4, 2021, the Company completed two private placements (collectively, the “Offering”). The Offering resulted in the issuance of an aggregate of 1,305,662 8.16 8,590 10.65 11.04 221,100 1,084,562 466 578 The fair value of the warrants granted was $ 4,786 3,338 M. During the year ended December 31, 2021, the Company issued 286,223 286,223 N. During the year ended December 31, 2022, the Company issued 630,161 630,161 O. On February 3, 2022, the Company issued the shareholders of Isramat 273,774 P. During the year ended December 31, 2022, the Company issued 116,667 116,667 Q. On February 11, 2022, the Company issued 74,985 R. During the year ended December 31, 2022, the Company issued 545,000 545,000 S. On November 2, 2022, the Company completed a private placement (“November 2022 Private Placement”) that resulted in the issuance of 2,978,337 1.35 1.86 4,021 1,489,169 1.5 2.04 1,489,169 260 349,000 237,200 The fair value of the November 2022 Private Placement Warrants granted was $ 894 3,127 A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) |
WARRANTS AND OPTIONS
WARRANTS AND OPTIONS | 12 Months Ended |
Dec. 31, 2022 | |
Warrants And Options | |
WARRANTS AND OPTIONS | NOTE 20 – WARRANTS AND OPTIONS a) Warrants (i) Warrant transactions for the years ended December 31, 2022, and 2021 are as follows: SCHEDULE OF WARRANTS TRANSACTIONS Number Weighted Average Exercise Price Balance, January 1, 2021 7,289,885 $ 1.91 Warrants issued in the April 2021 Private Placement 221,100 Warrants issued in the May 2021 Private Placement 1,084,562 Exercise of warrants (2,629,343 ) Balance, December 31, 2021 5,966,204 $ 3.55 Expiration of warrants (5,437 ) Exercise of warrants (630,161 ) Warrants issued in the November 2022 Private Placement 1,726,366 Balance, December 31, 2022 7,056,972 $ 3.54 (ii) As of December 31, 2022, the Company had outstanding warrants, enabling the holders to acquire common shares as follows: SCHEDULE OF OUTSTANDING WARRANTS December 31, 2022 Expiry date Exercise price Exercise price (USD) 2,658,313 November 10, 2025 ILS 7.1418 (2) $ 2.03 1,366,631 December 24, 2025 ILS 7.1418 (2) $ 2.03 221,100 April 18, 2023 ILS 29.025 (3) $ 8.25 1,084,562 May 28, 2023 ILS 29.025 (3) $ 8.25 1,726,366 November 8, 2024 CAD 2.04 $ 1.60 7,056,972 (1) On June 30, 2021, warrant holders and the Company, agreed that the exercise price of CAD$ 1.95 5.124 (2) On March 31, 2021, warrant holders and the Company, agreed that the exercise price of CAD$ 2.70 7.1418 (3) On June 30, 2021, warrant holders and the Company, agreed that the exercise price of CAD$ 11.04 29.025 A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) NOTE 20 – WARRANTS AND OPTIONS (CONTINUED): a) Warrants (continued) (iii) On December 16, 2021, 1,095,322 2.52 980,673 b) Stock Options Stock option transactions for the years ended December 31, 2022, and 2021 are as follows: SCHEDULE OF STOCK OPTION TRANSACTIONS Number Weighted Average Exercise Price (CAD) Weighted Average Exercise Price (USD) Balance January 1, 2021 889,523 $ 1.62 $ 1.27 Options granted 333,377 3.00 Exercise of options (286,223 ) 2.25 Expiry of options (116,667 ) 3.00 Balance December 31, 2021 820,010 $ 2.10 $ 1.78 Exercise of options (116,667 ) 2.27 Expiry of options (20,000 ) 1.5 Options granted 1,200,000 3.67 Balance December 31, 2022 1,883,343 $ 3.17 $ 2.32 (i) On January 28, 2021, 33,333 3.00 January 28, 2025 90 2.82 4 209 0.30 0 (ii) On January 28, 2021, 116,667 3.00 December 31, 2021 191 2.82 0.92 173 0.11 0 (iii) On June 3, 2021, 50,000 8.40 June 3, 2026 445 9.18 5 191 0.93 0 (iv) On August 23, 2021, 116,700 6.00 April 30, 2022 242 6.50 0.68 126 0.19 0 A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) NOTE 20 – WARRANTS AND OPTIONS (CONTINUED): b) Stock Options (continued) (v) On October 28, 2021, 16,677 8.00 October 28, 2026 242 9.37 5 114 1.43 0 (vi) On August 4, 2022, 900,000 3.56 August 2, 2032 2,712 4.12 10 112 2.67 0 (vii) On August 21, 2022, 300,000 4.00 August 2, 2032 977 4.00 10 112 2.99 0 (viii) As at December 31, 2022, the Company had outstanding stock options, enabling the holders to acquire common shares as follows: SCHEDULE OF OUTSTANDING STOCK OPTIONS Outstanding as of December 31, 2022 Exercisable as of December 31, 2022 Expiry date Exercise price (CAD) Exercise price (USD) 543,333 510,000 August 20, 2025 CAD 1.50 $ 1.11 40,000 40,000 September 1, 2025 CAD 2.25 $ 1.66 33,333 33,333 January 28, 2025 CAD 3.00 $ 2.21 50,000 33,333 June 3, 2026 CAD 8.40 $ 6.20 16,677 11,118 October 28, 2026 CAD 8.00 $ 5.90 900,000 225,000 August 2, 2032 CAD 3.56 $ 2.63 300,000 300,000 August 21, 2032 CAD 4.00 $ 2.95 1,883,343 1,152,784 (ix) Share-based compensation expense is recognized over the vesting period of options. During the year ended December 31, 2022, share-based compensation of $ 4,868 843 800 c) RSU’s On August 4, 2022, the Company granted 1,265,000 590,000 The RSUs will vest at each recipient’s discretion and taking into account personal tax implications and convert into 1,265,000 common shares of no par value in the Company (“Common Shares”). RSU’s transactions for the year ended December 31, 2022, and for the year ended December 31, 2021, are as follows: SCHEDULE OF RSU’S TRANSACTIONS Number Balance, January 1, 2021 - RSU’s granted - Exercise of RSU’s - Balance, December 31, 2021 - RSU’s granted 1,265,000 Exercise of RSU’s (545,000 ) Balance, December 31, 2022 720,000 Total exercisable RSU’s as at December 31, 2022, are 225,832 2,475 nil nil A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) |
NON CONTROLLING INTERESTS
NON CONTROLLING INTERESTS | 12 Months Ended |
Dec. 31, 2022 | |
NON CONTROLLING INTERESTS | NOTE 21 – NON CONTROLLING INTERESTS The following Company subsidiaries which have non-controlling interests: SCHEDULE OF SUBSIDIARIES OF NON-CONTROLLING INTERESTS December 31, December 31, 2022 2021 Cust2mate $ (2,791 ) $ (1,026 ) AAI 394 419 Non controlling interest $ (2,397 ) $ (607 ) |
REVENUES
REVENUES | 12 Months Ended |
Dec. 31, 2022 | |
REVENUES | NOTE 22 – REVENUES Revenue streams: SCHEDULE OF REVENUE FROM SERVICES 2022 2021 2020 Year Ended December 31 2022 2021 2020 Revenues from services: Revenues from services $ 1,364 $ 1,548 $ 801 Revenues from leasing 341 387 267 Precision metal parts: Revenues from sales of precision metal parts 3,958 - - Smart Carts: Revenues from smart carts project 3,688 750 - Revenues $ 9,351 $ 2,685 $ 1,068 A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) |
COST OF REVENUES
COST OF REVENUES | 12 Months Ended |
Dec. 31, 2022 | |
COST OF REVENUES | NOTE 23 – COST OF REVENUES SCHEDULE OF COST OF REVENUES 2022 2021 2020 Year Ended December 31 2022 2021 2020 Payroll and related expenses $ 2,383 $ 1,096 $ 493 Subcontractor and outsourced work 103 162 65 Materials and components consumed 4,650 291 90 Depreciation 131 - - Car maintenance 165 373 147 Other 85 107 58 Cost of revenues 7,517 2,029 853 |
RESEARCH AND DEVELOPMENT EXPENS
RESEARCH AND DEVELOPMENT EXPENSES | 12 Months Ended |
Dec. 31, 2022 | |
RESEARCH AND DEVELOPMENT EXPENSES | NOTE 24 – RESEARCH AND DEVELOPMENT EXPENSES SCHEDULE OF RESEARCH AND DEVELOPMENT EXPENSES 2022 2021 2020 Year Ended December 31 2022 2021 2020 Payroll and related expenses $ 867 $ 510 $ 410 Subcontractor and outsourced work 3,362 2,477 - Legal fees 20 99 - Pilot expenses and other 212 136 8 Research and development expense 4,462 3,222 418 |
GENERAL AND ADMINISTRATIVE EXPE
GENERAL AND ADMINISTRATIVE EXPENSES | 12 Months Ended |
Dec. 31, 2022 | |
GENERAL AND ADMINISTRATIVE EXPENSES | NOTE 25 – GENERAL AND ADMINISTRATIVE EXPENSES SCHEDULE OF GENERAL AND ADMINISTRATIVE EXPENSES 2022 2021 2020 Year Ended December 31 2022 2021 2020 Payroll and related $ 3,990 $ 1,027 $ 579 Professional fees 2,233 3,417 1,449 Share-based compensation 4,868 842 - Depreciation and amortization 420 321 213 Office maintenance 437 275 23 Public company related expenses 316 254 59 Rent and related expenses 126 96 42 Travel 150 - - Directors & officers’ insurance 267 119 - Doubtful debts 382 - - Other 410 143 - General and administrative expense 13,599 6,494 2,365 A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) |
LOSS PER SHARE
LOSS PER SHARE | 12 Months Ended |
Dec. 31, 2022 | |
LOSS PER SHARE | NOTE 26 LOSS PER SHARE Both the basic and diluted earnings (loss) per share have been calculated using the weighted average number of shares in issue during the relevant financial periods, the weighted average number of equity shares in issue and loss for the period as follows: SCHEDULE OF LOSS PER SHARE 2022 2021 2020 Year Ended December 31 2022 2021 2020 Net loss for the year $ 19,273 $ 39,735 $ 7,222 Weighted average number of ordinary shares 27,681,778 23,340,621 16,758,323 Basic and diluted loss per share $ 0.70 $ 1.70 $ 0.43 |
FINANCIAL EXPENSES
FINANCIAL EXPENSES | 12 Months Ended |
Dec. 31, 2022 | |
Financial Expenses | |
FINANCIAL EXPENSES | NOTE 27 – FINANCIAL EXPENSES SCHEDULE OF FINANCIAL EXPENSES 2022 2021 2020 Year Ended December 31 2022 2021 2020 Bank fees and interest $ 136 $ 77 $ 94 Interest from application of IFRS 16 97 14 13 Revaluation of provision 1,158 - - Financial expenses 1,391 91 107 |
INCOME TAX EXPENSE
INCOME TAX EXPENSE | 12 Months Ended |
Dec. 31, 2022 | |
INCOME TAX EXPENSE | NOTE 28 – INCOME TAX EXPENSE A. Taxes on income: The combined Canadian federal and provincial statutory income tax rate is 26.5 26.5 Israeli corporate tax rates are 23 23 B. Tax reconciliation: SCHEDULE OF EFFECTIVE INCOME TAX EXPENSE 2022 2021 2020 Year Ended December 31 2022 2021 2020 Loss before income tax $ (18,347 ) $ (40,148 ) $ (5,936 ) Statutory tax rate 23 % 23 % 23 % Income tax benefit at the statutory tax rate 4,220 9,234 1,365 Expenses not recognized for tax purposes (4,220 ) (9,234 ) (876 ) Recognition/Derecognition of deferred tax assets which were not recognized on prior periods - (142 ) (506 ) Income tax expense - (142 ) (17 ) C. Income tax expense: SCHEDULE OF INCOME TAX EXPENSE 2022 2021 2020 Year Ended December 31 2022 2021 2020 Current $ - $ - $ 10 Prior year taxes - 142 - Deferred taxes, net - - 7 Total $ - 142 $ 17 A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) NOTE 28 – INCOME TAX EXPENSE: (CONTINUED) D. Deferred tax assets: Deferred tax assets have not been recognized in respect of carryforward losses because it is not probable that future taxable profit will be available against which the group can utilize the benefits therefrom. |
RELATED PARTIES AND SHAREHOLDER
RELATED PARTIES AND SHAREHOLDERS | 12 Months Ended |
Dec. 31, 2022 | |
Related Parties And Shareholders | |
RELATED PARTIES AND SHAREHOLDERS | NOTE 29- RELATED PARTIES AND SHAREHOLDERS The following transactions arose with related parties: SCHEDULE OF AMOUNT OWING BY RELATED PARTIES Year ended December 31, 2022 Directors Fees Consulting Fees / Salaries Share based awards Total Amounts owing by (to) as of December 31, 2022 Director and CEO $ - $ - $ - $ - $ 462 Company controlled by CEO - 1,224 - 1,224 (474 ) CFO - 84 160 244 - Directors 28 - 64 92 - $ 28 $ 1,308 $ 224 $ 1,560 $ (12 ) Year ended December 31, 2021 Directors Fees Consulting Fees / Salaries Share based awards Total Amounts owing by (to) as of December 31, 2021 Director and CEO $ - $ 43 $ - $ 43 $ 183 Company controlled by CEO - 958 - 958 (57 ) CFO - 94 59 153 - Directors 31 - 11 42 - $ 31 $ 1,095 $ 70 $ 1,196 $ 126 Year ended December 31, 2020 Directors Fees Consulting Fees / Salaries Share based awards Total Amounts owing by (to) as of December 31, 2021 Director and CEO $ - $ 31 $ - $ 31 $ - Company controlled by CEO - 594 - 594 - CFO - 30 27 57 - Directors 31 - 10 41 - $ 31 $ 655 $ 37 $ 723 $ - The CEO has an agreement with the Company pursuant to which he received a consulting fee of NIS 250,000 71 260 500 A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) |
FINANCIAL INSTRUMENTS AND RISK
FINANCIAL INSTRUMENTS AND RISK MANAGEMENT | 12 Months Ended |
Dec. 31, 2022 | |
FINANCIAL INSTRUMENTS AND RISK MANAGEMENT | NOTE 30 - FINANCIAL INSTRUMENTS AND RISK MANAGEMENT The Company is exposed to a variety of financial risks, which results from its financing, operating and investing activities. The objective of financial risk management is to contain, where appropriate, exposures in these financial risks to limit any negative impact on the Company’s financial performance and position. The Company’s financial instruments are its cash, trade and other receivables, payables, other payables and loans. The main purpose of these financial instruments is to raise finance for the Company’s operation. The Company actively measures, monitors and manages its financial risk exposures by various functions pursuant to the segregation of duties and principals. The risks arising from the Company’s financial instruments are mainly credit risk and currency risk. The risk rate on loans is fixed. The risk management policies employed by the Company to manage these risks are discussed below. NOTE 30 - FINANCIAL INSTRUMENTS AND RISK MANAGEMENT (CONTINUED): A. Credit risk: Credit risk arises when a failure by counterparties to discharge their obligations could reduce the amount of future cash inflows from financial assets on hand at the balance sheet date. The Company closely monitors the activities of its counterparties and controls the access to its intellectual property which enables it to ensure the prompt collection of customers’ balances. The Company’s main financial assets are cash and cash equivalents as well as other receivables and represent the Company’s maximum exposure to credit risk in connection with its financial assets. Wherever possible and commercially practical the Company holds cash with major financial institutions in Israel. Credit risk arises when a failure by counterparties to discharge their obligations could reduce the amount of future cash inflows from financial assets on hand at the balance sheet date. The Company closely monitors the activities of its counterparties and controls the access to its intellectual property which enables it to ensure the prompt collection of customers’ balances. Although we maintain incident management and disaster response plans, in the event of a major disruption caused by a natural disaster or man-made problem, or outbreaks of pandemic diseases, including COVID-19, we may be unable to continue our operations and may experience system interruptions and reputational harm. Acts of terrorism and other geo-political unrest, including the ongoing conflict in Ukraine, could also cause disruptions in our business or the business of our customers, partners, vendors, or the economy as a whole. All of the aforementioned risks may be further increased if our disaster recovery plans prove to be inadequate. The Company’s main financial assets are cash and cash equivalents and trade accounts receivable as well as marketable securities and represent the Company’s maximum exposure to credit risk in connection with its financial assets. Wherever possible and commercially practical the Company holds cash with major financial institutions In Israel. SCHEDULE OF FINANCIAL ASSET WITH CASH AND TRADE ACCOUNTS RECEIVABLE 2022 2021 December 31, December 31, 2022 2021 Cash and Cash Equivalents $ 2,616 $ 8,470 Deposits 8 60 Trade receivables 1,373 857 Other Accounts Receivable 2,570 434 Total $ 6,567 $ 9,821 A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) NOTE 30 - FINANCIAL INSTRUMENTS AND RISK MANAGEMENT (CONTINUED): B. Liquidity risks: Liquidity risk is the risk that arises when the maturity of assets and the maturity of liabilities do not match. An unmatched position potentially enhances profitability, but can also increase the risk of loss. The Company has procedures with the object of minimizing such loss by maintaining sufficient cash and other highly liquid current assets and by having an available adequate amount of committed credit facilities. The following tables detail the Company’s remaining contractual maturity for its financial liabilities. The tables have been drawn up based on the undiscounted cash flows of financial liabilities based on the earliest date on which the Company can be required to pay SCHEDULE OF LIQUIDITY RISKS Contractual Carrying amounts Within 1 year over 1 year Trade payables $ 2,224 $ 2,224 $ - Other accounts payable $ 956 $ 956 $ - Loans $ 1,744 $ 1,403 $ 341 Lease liability $ 886 $ 281 $ 605 C. Market risks: The Company’s’ business of maintenance services of various electronic systems is highly competitive and involves a certain degree of risk. The Company’s business operations will depend largely upon the outcome of continued sales and services to security establishments and the initiation of sales of their products to the civilian markets. The Company’s Cust2Mate business is new, and the Company is aware of competitors in the market. In addition to the regular management oversight and skills required, success in this segment will require the Company to penetrate the market as rapidly as possible. As of December 31, 2022, if the Company’s functional currency (ILS) had strengthened/ weakened by 5% against the USD, with all other variables held constant, the loss for the year would decrease /increase by approximately $ 97 D. Interest rate risks: The Company is exposed to cash flow interest rate risk from long-term borrowings at variable rate. It is currently Company policy that between 50% and 75% of Company borrowings are fixed rate borrowings. During 2022 and 2021, the Company’s borrowings at variable rate were denominated in NIS. The Company analyses the interest rate exposure on a quarterly basis. A sensitivity analysis is performed by applying a simulation technique to the liabilities that represent major interest-bearing positions. Various scenarios are run taking into consideration refinancing, renewal of the existing positions, alternative financing, and hedging. Based on the simulations performed, the impact on profit and loss and net assets of a 100 basis point shift (being the maximum reasonable expectation of changes in interest rates) would be approximately $ 100 E. Capital management The Company considers its capital to be comprised of shareholders’ equity. The Company’s objectives in managing its capital are to maintain its ability to continue as a going concern and to further develop its business. To effectively manage the Company’s capital requirements, the Company has a planning and budgeting process in place to meet its strategic goals. In order to facilitate the management of its capital requirements, the Company prepares expenditure budgets that are updated as necessary depending on various factors, including successful capital deployment and general industry conditions. Management reviews the capital structure on a regular basis to ensure the above objectives are met. There have been no changes to the Company’s approach to capital management during the year ended December 31, 2022. There are no externally imposed restrictions on the Company’s capital. A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) |
OPERATING SEGMENTS
OPERATING SEGMENTS | 12 Months Ended |
Dec. 31, 2022 | |
OPERATING SEGMENTS | NOTE 31 – OPERATING SEGMENTS The Company and its subsidiaries are engaged in the following three a. Maintenance services to the military utilizing the application of advanced engineering capabilities as well as development of related products for the civilian and retail markets. (“Advanced Engineering”) b. Retail automation solutions – Smart Carts (“Smart Carts”) c. Manufacturing and selling of precision metal parts – “Precision Metal Parts” SCHEDULE OF OPERATING SEGMENTS Year Ended December 31, 2022 Precision Metal Parts Advanced Engineering Smart Carts (*) Total (**) Revenues External $ 3,958 $ 1,705 $ 3,688 $ 9,351 Total 3,958 1,705 3,688 9,351 Segment operational loss (gain) 761 (60 ) 16,001 16,702 Loss on revaluation of warrant liability 254 Finance expense, net 1,391 Tax expenses - Loss $ 18,347 (*) All revenues from the smart cart segment are generated from one customer, which is the main customer of the Company, and accounts for 40 10 (**) All revenues are generated in the state of Israel. (**) All non-current assets are located in the state of Israel. Year Ended December 31, 2021 Precision Metal Parts Advanced Engineering Smart Carts (*) Total (**) Revenues External $ - $ 1,935 $ 750 $ 2,685 Total - 1,935 750 2,685 Segment operational loss - 1,034 8,128 9,162 Loss on revaluation of warrant liability 30,895 Finance expense, net 91 Tax expenses 142 Loss $ 40,290 Year Ended December 31, 2020 Precision Metal Parts Advanced Engineering Smart Carts (*) Total (**) Revenues External $ - $ 1,068 $ - $ 1,068 Total - 1,068 - 1,068 Segment operational loss - 2,510 166 2,676 Loss on revaluation of warrant liability 3,228 Finance expense, net 32 Tax expenses 17 Loss $ 5,953 A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) NOTE 31 – OPERATING SEGMENTS (CONTINUED): As at December 31, 2022 Precision Metal Parts Advanced Engineering Smart Carts Adjustment & Elimination Total Segment assets $ 2,741 $ 1,162 $ 8,791 $ - $ 12,694 Segment liabilities $ 3,575 $ 1,043 $ 5,187 $ - $ 9,805 As at December 31, 2021 Precision Metal Parts Advanced Engineering Smart Carts Adjustment & Elimination Total Segment assets $ - $ 1,707 $ 12,424 $ - $ 14,131 Segment liabilities $ - $ 1,786 $ 1,438 $ - $ 3,224 |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure of non-adjusting events after reporting period [abstract] | |
SUBSEQUENT EVENTS | NOTE 32 – SUBSEQUENT EVENTS a. On January 4, 2023, the Company granted 1,027,000 250,000 1,027,000 816,500 1.65 800,000 10 b. On March 13, 2023, the Company announced that it has closed, in escrow, the issuance of 1,783,561 Units 1.46 1.95 2,604,000 Warrant 891,778 2.35 1.75 891,778 208 290,000 142,685 |
SIGNIFICANT ACCOUNTING POLICI_2
SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure of changes in accounting estimates [abstract] | |
Cash and cash equivalents | A. Cash and cash equivalents Cash equivalents are considered by the Company to be highly liquid investments, including, inter alia, short-term deposits with banks, the maturity of which do not exceed three months at the time of deposit, and which are not restricted. |
Short term deposits | B. Short term deposits A short term deposit is cash held in a short-term deposit (between three months and one year) or in a long-term deposit (with a maturity of more than one year from the date of investment). Short term deposits are deposits designated to secure the Company’s car lease agreements and its credit cards. |
Loss per share | C. Loss per share Basic loss per share is computed by dividing the net loss available to common shareholders by the weighted average number of shares outstanding during the reporting period. Diluted loss per share is computed similarly to basic loss per share except that the weighted average number of shares outstanding is increased to include additional shares from the assumed exercise of stock options and warrants, if dilutive. The average number of shares is calculated by assuming that outstanding conversions were exercised and that the proceeds from such exercises were used to acquire common shares at the average market price during the reporting period. For the years ended December 31, 2021, and 2020, potentially dilutive common shares issuable upon the exercise of warrants and options were not included in the computation of loss per share because their effect was anti-dilutive. |
Provisions | D. Provisions Provisions are recognized when the Company has a legal or constructive obligation, as a result of past events, for which it is probable that an outflow of economic benefits will result and that outflow can be reliably measured. Provisions are measured using the best estimate of the amounts required to settle the obligation at the end of the reporting period. |
Fair value measurement | E. Fair value measurement Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value measurement is based on the presumption that the transaction to sell the asset or transfer the liability takes place either: 1. In the principal market for the asset or liability, or 2. In the absence of a principal market, in the most advantageous market for the asset or liability. The principal or the most advantageous market must be accessible to the Company. The fair value of an asset or a liability is measured using the assumptions that market participants would use when pricing the asset or liability, assuming that market participants act in their economic best interest. A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) NOTE 3 - SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): E. Fair value measurement (cont.) A fair value measurement of a non-financial asset takes into account a market participant’s ability to generate economic benefits by using the asset in its highest and best use or by selling it to another market participant that would use the asset in its highest and best use. The Company uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value, maximizing the use of relevant observable inputs and minimizing the use of unobservable inputs. Classification of fair value hierarchy The financial instruments presented in the statement of financial position at fair value are grouped into classes with similar characteristics using the following fair value hierarchy which is determined based on the source of input used in measuring fair value: Level 1 - Quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2 - Inputs other than quoted prices included within Level 1 that are observable either directly or indirectly. Level 3 - Inputs that are not based on observable market data (valuation techniques which use inputs that are not based on observable market data). 1. Financial assets The Company classifies its financial assets into one of the following categories, based on the business model for managing the financial asset and its contractual cash flow characteristics. The Company’s accounting policy for the relevant category is as follows: Amortized cost: These assets arise principally from the provision of goods and services to customers (e.g. trade accounts receivable), but also incorporate other types of financial assets where the objective is to hold these assets in order to collect contractual cash flows and the contractual cash flows are solely payments of principal and interest. They are initially recognized at fair value plus transaction costs that are directly attributable to their acquisition or issue, and are subsequently carried at amortized cost using the effective interest rate method, less provision for impairment. Impairment provisions for trade accounts receivable are recognized based on the simplified approach within IFRS 9 using a provision in the determination of the lifetime expected credit losses. During this process the probability of the non-payment of the trade receivables is assessed. This probability is then multiplied by the amount of the expected loss arising from default to determine the lifetime expected credit loss for the trade receivables. For trade receivables, which are reported net, such provisions are recorded in a separate provision account with the loss being recognized within general and administrative expenses in the consolidated statement of comprehensive income. On confirmation that the trade receivable will not be collectable, the gross carrying value of the asset is written off against the associated provision. A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) NOTE 3 - SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): E. Fair value measurement (cont.): 2. Financial Liabilities The Company classifies its financial liabilities into one of two categories, depending on the purpose for which the liability was acquired. The Company’s accounting policy for each category is as follows: Fair value through profit or loss: Warrants are initially recognized at fair value net of any transaction costs directly attributable to the issue of the instrument. Such liabilities are subsequently measured at fair value through profit or loss. Other financial liabilities include the following items: Bank borrowings are initially recognized at fair value net of any transaction costs directly attributable to the issue of the instrument. Such interest-bearing liabilities are subsequently measured at amortized cost using the effective interest rate method, which ensures that any interest expense over the period to repayment is at a constant rate on the balance of the liability carried in the consolidated statement of financial position. For the purposes of each financial liability, interest expense includes initial transaction costs and any premium payable on redemption, as well as any interest or coupon payable while the liability is outstanding. Trade accounts payable and other accounts payable, which are initially recognized at fair value and subsequently carried at amortized cost using the effective interest method. Another financial liability recognized at fair value is due to a commitment to the selling shareholders of Isramat (See also note 7) that if the aggregate proceeds received by a selling shareholder from the sale of its acquisition shares during the lockup period, together with the value of its unsold acquisition shares as of the end of such period, is lower than its pro rata portion in the equity consideration, the Company will pay the difference in cash to such selling shareholder. 3. Issue of a unit of securities: The issue of a unit of securities involves the allocation of the proceeds received (before issue expenses) to the securities issued in the unit based on the following order: financial derivatives and other financial instruments measured at fair value in each period. Then fair value is determined for financial liabilities that are measured at amortized cost. The proceeds allocated to equity instruments are determined to be the residual amount. Issue costs are allocated to each component pro rata to the amounts determined for each component in the unit. 4. Derivative liability - Warrants: Warrants that are denominated in a currency other than the functional currency of the Company are considered a derivative liability and are classified as financial liabilities at fair value through profit or loss. Accordingly, these warrants are measured at fair value and the changes in fair value in each reporting period are recognized in profit or loss. 5. Derecognition ● Financial assets - The Company derecognizes a financial asset when the contractual rights to the cash flows from the financial asset expire or it transfers the rights to receive the contractual cash flows. ● Financial Liabilities - The Company derecognizes a financial liability when its contractual obligations are discharged or cancelled, or expire. A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) NOTE 3 - SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): E. Fair value measurement (cont.): 6. Impairment of financial assets ECL and their measurement ECL are measured as the unbiased probability-weighted present value of all cash shortfalls over the expected life of each financial asset. For receivables from financial services, ECL are mainly calculated with a statistical model using three major risk parameters: probability of default, loss given default and exposure at default. The estimation of these risk parameters incorporates all available relevant information, not only historical and current loss data, but also reasonable and supportable forward-looking information reflected by the future expectation factors. This information includes macroeconomic factors (e.g., gross domestic product growth, unemployment rate, cost performance index) and forecasts of future economic conditions. For receivables from financial services, these forecasts are performed using a scenario analysis (base case, adverse and optimistic scenarios). As of December 31, 2022, and December 31, 2021, ECL for trade and other account receivables are not material, and as such are not disclosed, in accordance IFRS 9. Definition of default, including reasons for selecting the definition Prior to commencing a business relationship, the Company will enter into an agreement with the customer. The agreement or contract typically includes details of the terms of payment to which the customer is entitled. In most cases, the customer updates the Company if there is a delay in the payment beyond the terms of the agreement. Any delays in payment for more than two months are subject to approval of management. If a customer’s scheduled payment is delayed by more than two months and such delay is not approved by the Company’s management, the CEO will typically make direct contact with the customer’s management and inform them of the overdue obligation and that Company will pursue remedies available to collect the overdue payment. If the customer and the Company are not able to resolve the matter at that time, the receivable is considered to be in default as the collectability is no longer certain. If the collection effort is not successful, the Company will retain legal counsel in the applicable country to assist with collection and sends a demand letter to that effect. Write-off policy The Company writes off its financial assets if any of the following occur: ● Inability to locate the debtor. ● Discharge of the debt in a bankruptcy. ● It is determined that the efforts to collect the debt are no longer cost effective given the size of receivable. The collections department must comply with the collection efforts outlined in the policy to collect on delinquent customer accounts before any write-offs are made. A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) NOTE 3 - SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): E. Fair value measurement (cont.): Aging Schedule based on due date AGING SCHEDULE BASED ON DUE DATE December 31, 2022 December 31, 2021 Aging schedule December 31, 2022 December 31, 2021 Within payment terms $ 1,373 $ 857 Total $ 1,373 $ 857 Three-level matrix Based on its past experience and historical data along with a consideration of future projections of factors, such as the economic environment, the Company has established a three-level matrix. The three-level matrix contains the following groups and balances: SCHEDULE OF THREE-LEVEL MATRIX December 31, 2022 December 31, 2021 Government institutions $ 279 $ 296 Industrial customers 1,052 - Other customers 42 561 Total $ 1,373 $ 857 A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) NOTE 3 - SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): |
Operating Segment | F. Operating Segment An operating segment is a component of the Company that meets the following three criteria: 1. Is engaged in business activities from which it may earn revenues and incur expenses; 2. Whose operating results are regularly reviewed by the Company’s chief operating decision maker to make decisions about allocated resources to the segment and assess its performance; and 3. For which separate financial information is available. Segment revenue and segment costs include items that are attributable to the relevant segments and items that can be allocated to segments. Items that cannot be allocated to segments include the Company’s financial income and expenses and income tax. The Company has three operating segments; Precision Metal Parts, Advanced Engineering and Smart Carts. |
Share-based compensation | G. Share-based compensation Where equity settled share options are awarded to employees and service providers, the fair value of the options calculated at the grant date is based on the market share price and is charged to the statement of comprehensive income over the vesting period. Non-market vesting conditions are taken into account by adjusting the number of equity instruments expected to vest at each reporting date so that, ultimately, the cumulative amount recognized over the vesting period is based on the number of options that eventually vest. Market vesting conditions are factored into the fair value of the options granted. As long as all other vesting conditions are satisfied, a charge is made irrespective of whether the market vesting conditions are satisfied. The cumulative expense charged is not adjusted for failure to achieve a market vesting condition. |
Deferred taxes | H. Deferred taxes Deferred taxes are recognized in respect of temporary differences between the carrying amounts of assets and liabilities in the financial statements and the amounts attributable for tax purposes. Significant judgment is required to determine the amount of deferred tax assets that can be recognized, based upon the estimated timing and level of future taxable profits together with future tax planning strategies. Deferred taxes are measured at the tax rates that are expected to apply in the period when the temporary differences are reversed based on tax laws that have been enacted or substantively enacted at the end of the reporting period. Deferred taxes are recognized in Profit or loss, except when they relate to items recognized in other comprehensive income or directly in equity. Deferred tax assets are reviewed at the end of each reporting period and reduced to the extent that it is not probable that they will be utilized. In addition, temporary differences (such as carry forward losses) for which deferred tax assets have not been recognized or reassessed are recognized to the extent that their recoverability is probable. Any resulting reduction or reversal is recognized as “income tax” within the statement of comprehensive income. All deferred tax assets and liabilities are presented in the statement of financial position as non-current items, respectively. Deferred taxes are offset in the statement of financial position if there is a legally enforceable right to offset a current tax asset against a current tax liability and the deferred taxes relate to the same taxpayer and the same taxation authority. The current tax liability is measured using the tax rates and tax laws that have been enacted or substantively enacted by the reporting date as well as adjustments required in connection with the tax liability in respect of previous years. Deferred tax assets in respect to carryforward losses have not been recognized in respect of these items because it is not probable that future taxable profit will be available against which the group can utilize the benefits therefrom. A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) NOTE 3 - SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): |
Defined benefit schemes | I. Defined benefit schemes The Company contributes towards the state pension in accordance with local legislation where required. The only obligation of the Company is to make the required contributions. Costs related to such contributions are expensed in the period in which they are incurred. The Company has several employee benefits plans as to its employees: 1. Short-term employee benefits: Short-term employee benefits include salaries, paid annual leave, paid sick leave, recreation and social security contributions and are recognized as expenses as the services are rendered. A liability in respect of a cash bonus or a profit-sharing plan is recognized when the Company has a legal or constructive obligation to make such payment as a result of past service rendered by an employee and a reliable estimate of the amount can be made. 2. Post-employment benefits: The plans are normally financed by contributions to insurance companies and classified as defined contribution plans or as defined benefit plans. This liability is calculated based on actuary measurement. Contributions to the defined contribution plan in respect of severance or retirement pay are recognized as an expense simultaneously with receiving the employee’s services and no additional provision is required in the financial statements except for the unpaid contribution. The Company also operates for some employees an immaterial defined benefit plan in respect of severance pay pursuant to the Severance Pay Law. The Company presents the accrued severance pay liability net from severance pay fund. |
Property, plant and equipment | J. Property, plant and equipment Items of property, plant and equipment are initially recognized at cost. Cost includes directly attributable costs and the estimated present value of any future costs of dismantling and removing items. Depreciation is computed by the straight-line method, based on the estimated useful lives of the assets, as follows: SCHEDULE OF ESTIMATED USEFUL LIVES OF ASSETS Estimated useful lives Computers and electronic equipment 3 Machines and manufacturing equipment 10 Furniture and equipment 7 Vehicles 6.67 ERP system and R&D expenses 3 6 Leasehold Improvement 10 A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) NOTE 3 - SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): |
Revenue recognition | J. Revenue recognition Revenue is recognized based on the five-step model outlined in IFRS 15, Revenue from Contracts with Customers. IFRS 15 sets out a single revenue recognition model, according to which the entity shall recognize revenue in accordance with the said core principle by implementing a five-step model framework: 1. Identify the contracts with a customer. 2. Identify the performance obligations in the contract. 3. Determine the transaction price. 4. Allocate the transaction price to the performance obligations in the contract. 5. Recognize revenue when the entity satisfies a performance obligation. i. Revenue from services is derived from contracts with customers pursuant to which the Company provides maintenance for various electronic systems. Revenues on these contracts are recognized using the straight-line method, based on the period of time passed. ii. Revenues generated in Isramat are recognized from sale of goods in profit or loss at the point in time when the control of the goods is transferred to the customer, generally upon delivery of the goods to the customer. Performance obligations and timing of revenue recognition The majority of the Company’s revenue is derived from selling goods with revenue recognized at a point in time when control of the goods has transferred to the customer. This is generally when the goods are delivered to the customer. However, for export sales, control might also be transferred when delivered either to the port of departure or port of arrival, depending on the specific terms of the contract with a customer. There is limited judgement needed in identifying the point control passes: once physical delivery of the products to the agreed location has occurred, the Company no longer has physical possession, usually will have a present right to payment (as a single payment on delivery) and retains none of the significant risks and rewards of the goods in question. The Company has a segment which carries out maintenance and leasing services for clients, with revenue recognized typically on an over time basis. This is because the designs created have no alternative use for the Company and the contracts would require payment to be received for the time and effort spent by the Company on progressing the contracts in the event of the customer cancelling the contract prior to completion for any reason other than the Company’s failure to perform its obligations under the contract. On partially complete service contracts, A Layout (International) recognizes revenue based on stage of completion of the project which is estimated by comparing the number of hours actually spent on the project with the total number of hours expected to complete the project (i.e. an input based method). This is considered a faithful depiction of the transfer of services as the contracts are initially priced on the basis of anticipated hours to complete the projects and therefore also represents the amount to which the Company would be entitled based on its performance to date. Determining the transaction price A substantial amount of the Company’s revenue is derived from Smart Cart segment – fixed price contracts and therefore the amount of revenue to be earned from each contract is determined by reference to those fixed prices. Exceptions are as follows: ● For one key customer, the Company accepts orders and is paid up in advance of delivering the products. |
Share based payment transactions | K. Share based payment transactions The Company’s employees and other service providers are entitled to remuneration in the form of equity-settled share-based payment. The cost of equity-settled transactions is recognized in profit or loss together with a corresponding increase in equity during the period which the performance and/or service conditions are to be satisfied ending on the date on which the relevant employees become entitled to the award (“the vesting period”). The cumulative expense recognized for equity-settled transactions at the end of each reporting date includes the Group’s best estimate of the number of equity instruments that will ultimately vest. The cost of equity-settled transactions with employees is measured at the fair value of the equity instruments granted at grant date. The fair value of option granted is determined using the Binomial Lattice option-pricing model (“Binomial model”). The Binomial model takes into account variables such as volatility, dividend yield rate, and risk-free interest rate and also allows for the use of dynamic assumptions and considers the contractual term of the option, the probability that the option will be exercised prior to the end of its contractual life, and the probability of termination or retirement of the option holder in computing the value of the option. |
Research and development expenses | L. Research and development expenses Research expenses are recognized in profit or loss when incurred. An intangible asset arising from a development project or from the development phase of an internal project is recognized if the Company can demonstrate all of the following: the technical feasibility of completing the intangible asset so that it will be available for use or sale; the Company’s intention to complete the intangible asset and use or sell it; the Company’s ability to use or sell the intangible asset; how the intangible asset will generate future economic benefits; the availability of adequate technical, financial and other resources to complete the intangible asset; and the Company’s ability to measure reliably the expenditure attributable to the intangible asset during its development. Through December 31, 2022, costs in the amount of $ 219 A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) NOTE 3 - SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): |
Standard not yet effective | M. Standard not yet effective There are a number of standards, amendments to standards, and interpretations which have been issued by the IASB that are effective in future accounting periods that the Company has decided not to adopt early. The following amendments are effective for the period beginning 1 January 2023: - Disclosure of Accounting Policies (Amendments to IAS 1 and IFRS Practice Statement 2); - Definition of Accounting Estimates (Amendments to IAS 8); and - Deferred Tax Related to Assets and Liabilities arising from a Single Transaction (Amendments to IAS 12) The following amendments are effective for the period beginning 1 January 2024: - IFRS 16 Leases (Amendment – Liability in a Sale and Leaseback) - IAS 1 Presentation of Financial Statements (Amendment – Classification of Liabilities as Current or Non-current) - IAS 1 Presentation of Financial Statements (Amendment – Non-current Liabilities with Covenants) The Company is currently assessing the impact of these new accounting standards and amendments. The Company does not believe that the amendments to IAS 1 will have a significant impact on the classification of its liabilities, as the conversion feature in its convertible debt instruments is classified as an equity instrument and therefore, does not affect the classification of its convertible debt as a non-current liability. The Company does not expect any other standards issued by the IASB, but not yet effective, to have a material impact on the Company. Changes in accounting policies The following amendments are effective for the period beginning 1 January 2022: Leases The majority of the Company’s accounting policies for leases are set out in note 12. Identifying leases The Company accounts for a contract as a lease when it conveys the right to use an asset for a period of time in exchange for consideration. Leases are those contracts that satisfy the following criteria: - There is an identified asset; - The Company obtains substantially all the economic benefits from use of the asset; and - The company has the right to direct use of the asset The Company considers whether the supplier has substantive substitution rights. If the supplier does have those rights, the contract is not identified as giving rise to a lease. In determining whether the Company obtains substantially all the economic benefits from use of the asset, the Company considers only the economic benefits that arise use of the asset, not those incidental to legal ownership or other potential benefits. In determining whether the Company has the right to direct use of the asset, the Company considers whether it directs how and for what purpose the asset is used throughout the period of use. If there are no significant decisions to be made because they are pre-determined due to the nature of the asset, the Company considers whether it was involved in the design of the asset in a way that predetermines how and for what purpose the asset will be used throughout the period of use. If the contract or portion of a contract does not satisfy these criteria, the Company applies other applicable IFRSs rather than IFRS 16. A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) NOTE 3 - SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): IAS - 1 Presentation of Financial Statements In January 2020, the IASB issued amendments to IAS 1, which clarify the criteria used to determine whether liabilities are classified as current or non-current. These amendments clarify that current or non-current classification is based on whether an entity has a right at the end of the reporting period to defer settlement of the liability for at least twelve months after the reporting period. The amendments also clarify that ‘settlement’ includes the transfer of cash, goods, services, or equity instruments unless the obligation to transfer equity instruments arises from a conversion feature classified as an equity instrument separately from the liability component of a compound financial instrument. The amendments are effective for annual reporting periods beginning on or after January 1, 2022. However, in May 2020, the effective date was deferred to annual reporting periods beginning on or after January 1, 2023. The Company evaluated the expected impact of the IAS 1 amendments on its financial position as December 31, 2022, as a reclassification of its derivative liability - warrants in the amount of $1,142 from Non – Current Liabilities to Current Liabilities. Onerous Contracts Cost of Fulfilling a Contract (Amendments to IAS 37) IAS 37 defines an onerous contract as a contract in which the unavoidable costs (costs that the Group has committed to pursuant to the contract) of meeting the obligations under the contract exceed the economic benefits expected to be received under it. The amendments to IAS 37.68A clarify, that the costs relating directly to the contract consist of both: ● The incremental costs of fulfilling that contract- e.g., direct labor and material; and ● An allocation of other costs that relate directly to fulfilling contracts: e.g. Allocation of depreciation charge on property, plant and equipment used in fulfilling the contract. The Company, prior to the application of the amendments, did not have any onerous contracts. The Company estimates that the initial application of the Amendments is not expected to have a material impact on its financial statements. |
SIGNIFICANT ACCOUNTING POLICI_3
SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure of changes in accounting estimates [abstract] | |
AGING SCHEDULE BASED ON DUE DATE | Aging Schedule based on due date AGING SCHEDULE BASED ON DUE DATE December 31, 2022 December 31, 2021 Aging schedule December 31, 2022 December 31, 2021 Within payment terms $ 1,373 $ 857 Total $ 1,373 $ 857 |
SCHEDULE OF THREE-LEVEL MATRIX | Based on its past experience and historical data along with a consideration of future projections of factors, such as the economic environment, the Company has established a three-level matrix. The three-level matrix contains the following groups and balances: SCHEDULE OF THREE-LEVEL MATRIX December 31, 2022 December 31, 2021 Government institutions $ 279 $ 296 Industrial customers 1,052 - Other customers 42 561 Total $ 1,373 $ 857 |
SCHEDULE OF ESTIMATED USEFUL LIVES OF ASSETS | SCHEDULE OF ESTIMATED USEFUL LIVES OF ASSETS Estimated useful lives Computers and electronic equipment 3 Machines and manufacturing equipment 10 Furniture and equipment 7 Vehicles 6.67 ERP system and R&D expenses 3 6 Leasehold Improvement 10 |
INVENTORIES (Tables)
INVENTORIES (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
SCHEDULE OF INVENTORIES | SCHEDULE OF INVENTORIES December 31, December 31, 2022 2021 Raw materials $ 38 $ 93 Smart cart electrical equipment - 909 Smart cart parts 337 145 Inventories $ 375 $ 1,147 |
TRADE RCEIVABLES, NET (Tables)
TRADE RCEIVABLES, NET (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
SCHEDULE OF TRADE RECEIVABLES | SCHEDULE OF TRADE RECEIVABLES December 31, December 31, 2022 2021 Customers $ 1,383 $ 857 Expected credit losses (10 ) - Trade Receivables, net $ 1,373 $ 857 |
ACQUISITION (Tables)
ACQUISITION (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure of detailed information about business combination [abstract] | |
SUMMARY OF FAIR VALUE OF COMMITMENT | The table below summarizes the fair value of the commitment at the purchase date: SUMMARY OF FAIR VALUE OF COMMITMENT Balance at January 1, 2022 $ - Acquisition date February 3, 2022 343 Revaluation 1,190 Effect of changes in foreign exchange rates (86 ) Balance at December 31, 2022 $ 1,447 |
SCHEDULE OF FAIR VALUE OF ASSETS ACQUIRED | The table below summarizes the fair value of assets acquired at the purchase date: SCHEDULE OF FAIR VALUE OF ASSETS ACQUIRED February 3, 2022 Working capital other than cash and cash equivalents $ 869 Liability for severance pay fund, net (35 ) Property, plant and equipment 636 Benefit shareholder consulting agreement 27 Customer relations 284 Goodwill (*) 1,188 Total consideration paid (**) $ 2,969 Consideration paid in cash $ 879 Commitment to the selling shareholders 343 Consideration paid in common shares in the capital of the Company 1,747 Total consideration paid (**) $ 2,969 (*) Goodwill represents the excess of the purchase price over the fair value of the net tangible and identifiable intangible assets acquired. The goodwill is attributed to the expected benefits arising from the synergies of the combination of the activities of the Company and acquired company, and to the value of assembled workforce. Isramat manufactures and sells precision metal parts. Revenue from these sales is recognized when Isramat has delivered the parts to locations specified by its customers and the customers have accepted the parts in accordance with the sales contract. (**) Consideration paid in cash for the purchase of Isramat shares was $ 879 273,774 1,747 |
SCHEDULE OF PRO FORMA INFORMATION | The pro forma financial information presented below is for information purposes only, is subject to a number of estimates, assumptions and other uncertainties, and is not indicative of the results of operations that would have been achieved had the transaction taken place at January 1, 2022. The pro forma financial information is as follows: SCHEDULE OF PRO FORMA INFORMATION For the year ended December 31, 2022 (in thousands) unaudited Total revenues $ 9,594 Net loss attributable to the Company $ 17,635 |
OTHER ACCOUNTS RECEIVABLE (Tabl
OTHER ACCOUNTS RECEIVABLE (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
SCHEDULE OF OTHER ACCOUNTS RECEIVABLE | SCHEDULE OF OTHER ACCOUNTS RECEIVABLE December 31, December 31, 2022 2021 Related parties $ - $ 126 Advances to suppliers 918 - Prepaid expenses 751 50 Government institutions 151 251 Other 750 7 Other accounts receivable $ 2,570 $ 434 |
INTANGIBLE ASSETS - PATENT, N_2
INTANGIBLE ASSETS - PATENT, NET (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
SUMMARY OF INTANGIBLE ASSETS PATENT, NET | SUMMARY OF INTANGIBLE ASSETS PATENT, NET Balance, January 1, 2021 $ 2,239 Depreciation (123 ) Effect of changes in foreign exchange rates (25 ) Balance, December 31, 2021 $ 2,091 Additions 311 Depreciation (200 ) Effect of changes in foreign exchange rates 5 Balance, December 31, 2022 $ 2,207 |
PROPERTY, PLANT AND EQUIPMENT_2
PROPERTY, PLANT AND EQUIPMENT, NET (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
SCHEDULE OF PROPERTY, PLANT AND EQUIPMENT NET | SCHEDULE OF PROPERTY, PLANT AND EQUIPMENT NET Computers and electronic equipment Machines and manufacturing equipment Furniture and equipment Vehicles ERP system and R&D expenses Leasehold Improvements Right of use Asset Total Cost: As of January 1, 2022 $ 440 $ - $ 201 $ 968 $ - $ 59 $ 362 $ 2,030 Additions 29 174 28 316 223 14 - 784 Disposals - - - (380 ) - - (380 ) Additions from newly acquired subsidiary - 2,242 178 34 - 367 859 3,681 Translation adjustments (53 ) (208 ) (48 ) (80 ) (4 ) (37 ) (42 ) (472 ) As of December 31, 2022 $ 416 $ 2,208 $ 359 $ 858 219 $ 403 $ 1,180 $ 5,642 Accumulated depreciation: As of January 1, 2022 $ 288 $ - $ 142 $ 368 $ - $ 59 $ 101 $ 958 Additions 37 116 16 88 5 3 107 371 Disposals - - - (58 ) - - - (58 ) Additions from newly acquired subsidiary - 1,657 158 6 - 350 164 2,335 Translation adjustments (35 ) (163 ) (27 ) (47 ) - (36 ) (13 ) (321 ) As of December 31, 2022 $ 290 $ 1,610 $ 289 $ 357 $ 5 $ 376 $ 360 $ 3,286 Net Book Value: As of December 31, 2022 $ 126 $ 598 $ 70 $ 501 214 $ 27 $ 820 $ 2,357 As of December 31, 2021 $ 152 $ - $ 59 $ 600 - $ - $ 261 $ 1,072 Computers and electronic equipment Furniture and equipment Vehicles Leasehold Improvements Right of use Asset Total Cost: As of January 1, 2021 $ 370 $ 139 $ 625 $ 57 $ 40 $ 1,231 Cost, beginning balance $ 370 $ 139 $ 625 $ 57 $ 40 $ 1,231 Additions 52 62 298 - 362 774 Translation adjustments 18 - 45 2 (40 ) 25 As of December 31, 2021 $ 440 $ 201 $ 968 $ 59 $ 362 $ 2,030 Cost, ending balance $ 440 $ 201 $ 968 $ 59 $ 362 $ 2,030 Accumulated depreciation: As of January 1, 2021 $ 268 $ 133 $ 294 $ 57 $ 23 $ 775 Beginning balance $ 268 $ 133 $ 294 $ 57 $ 23 $ 775 Additions 22 7 92 - 101 222 Translation adjustments (2 ) 2 (18 ) 2 (23 ) (39 ) As of December 31, 2021 $ 288 $ 142 $ 368 $ 59 $ 101 $ 958 Ending balance $ 288 $ 142 $ 368 $ 59 $ 101 $ 958 Net Book Value: As of December 31, 2021 $ 152 $ 59 $ 600 $ - $ 261 $ 1,072 As of December 31, 2020 $ 102 $ 6 $ 331 $ - $ 17 $ 456 Net Book Value $ 102 $ 6 $ 331 $ - $ 17 $ 456 |
SHORT TERM LOANS AND CURRENT _2
SHORT TERM LOANS AND CURRENT PORTION OF LONG-TERM LOANS (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Short Term Loans And Current Portion Of Long-term Loans | |
SCHEDULE OF SHORT TERM LOANS AND CURRENT PORTION OF LONG-TERM LOANS | SCHEDULE OF SHORT TERM LOANS AND CURRENT PORTION OF LONG-TERM LOANS Linked to Interest rate December 31, 2022 December 31, 2021 Short term loans NIS 3.2 7.5 % $ 1,114 $ - Current portion of long-term loans 289 158 Short term loans and current portion of long-term loans $ 1,403 $ 158 |
LEASE LIABILITY (Tables)
LEASE LIABILITY (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
SCHEDULE OF CARRYING AMOUNTS OF LEASE LIABILITIES RECOGNIZED AND MOVEMENTS | Set out below are the carrying amounts of lease liabilities recognized and the movements during the period: SCHEDULE OF CARRYING AMOUNTS OF LEASE LIABILITIES RECOGNIZED AND MOVEMENTS Industrial areas and office facilities Balance January 1, 2021 $ 21 Additions 362 Disposals (107 ) Accumulated interest 25 Exchange rate differences (24 ) Balance December 31, 2021 $ 277 Additions 859 Disposals (335 ) Accumulated interest 107 Exchange rate differences (22 ) Balance December 31, 2022 $ 886 Linked to December 31, 2022 December 31, 2021 Long Term leases NIS $ 886 $ 277 Current portion of long-term leases 281 126 Non-current portion of long-term leases $ 605 $ 151 |
OTHER ACCOUNTS PAYABLE (Tables)
OTHER ACCOUNTS PAYABLE (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
SCHEDULE OF OTHER ACCOUNTS PAYABLE | SCHEDULE OF OTHER ACCOUNTS PAYABLE December 31, December 31, 2022 2021 Employees and government authorities $ 681 $ 362 Accrued expenses 93 169 Other 182 568 Other accounts payable $ 956 $ 1,099 |
LONG TERM LOANS (Tables)
LONG TERM LOANS (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
SCHEDULE OF LONG TERM LOANS | SCHEDULE OF LONG TERM LOANS Linked to Interest rate December 31, 2022 December 31, 2021 Long term loans NIS 1.8 6.1 % $ 1,385 $ 641 Less- Current portion (1,044 ) (158 ) Non Current Long term loans $ 341 $ 483 |
SEVERANCE PAYMENT, NET (Tables)
SEVERANCE PAYMENT, NET (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Severance Payment Net | |
SCHEDULE OF PLAN DEFINED BENEFIT OBLIGATION | SCHEDULE OF PLAN DEFINED BENEFIT OBLIGATION a. The plan liabilities, net: Year ended Year ended December 31, 2022 December 31, 2021 Defined benefit plan: Present value of defined benefit obligation $ 394 $ 541 Fair value of plan assets (361 ) (374 ) Total $ 33 $ 167 Changes in the present value of defined benefit obligation: 2022 2021 Balance at beginning of year $ 541 $ 563 Recognized in statement of comprehensive loss: Interest cost 9 10 Current service cost 30 39 Currency translation (111 ) (71 ) Recognized in other comprehensive gain : (10 ) - Net actuarial gain (98 ) - Balance at end of year $ 361 $ 541 |
SCHEDULE OF FAIR VALUE OF PLAN ASSETS | SCHEDULE OF FAIR VALUE OF PLAN ASSETS b. The movement in the fair value of the plan assets: 2022 2021 Balance at beginning of year $ (374 ) $ (376 ) Recognized in statement of comprehensive loss: Expected return 24 28 Recognized in other comprehensive loss /(gain): Net actuarial loss (gain) - - Other: Contributions by employer (11 ) (26 ) Balance at end of year $ (361 ) $ (374 ) |
SCHEDULE OF ASSUMPTIONS UNDERLYING DEFINED BENEFIT PLAN | SCHEDULE OF ASSUMPTIONS UNDERLYING DEFINED BENEFIT PLAN c. The principal assumptions underlying the defined benefit plan: December 31, 2022 December 31, 2021 Discount rate of the plan liability 2.75 % 2.24 % Expected rate of return on plan assets 2.64 % 2.36 % Future salary increases 3.82 % 3.47 % |
WARRANT LIABILITY (Tables)
WARRANT LIABILITY (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
November 2022 warrants [member] | |
IfrsStatementLineItems [Line Items] | |
SCHEDULE OF FAIR VALUE HIERARCHY OF WARRANTS | These warrants were valuated at their fair value at the end of each reporting period and classified as a liability. SCHEDULE OF FAIR VALUE HIERARCHY OF WARRANTS Balance at January 1, 2022 $ - Issuance of November 2022 Warrants 894 Revaluation at December 31,2022 248 Reclassification to Warrant Reserve - Warrants exercised - Expiry of warrants - Balance at December 31, 2022 $ 1,142 |
April and May 2021 Warrants [member] | |
IfrsStatementLineItems [Line Items] | |
SCHEDULE OF FAIR VALUE HIERARCHY OF WARRANTS | The following is the reconciliation of the fair value that are categorized within Level 3 of the fair value hierarchy in financial instruments: SCHEDULE OF FAIR VALUE HIERARCHY OF WARRANTS Balance at January 1, 2021 $ - Issuance at June 4, 2021 4,786 Revaluations 2,183 Reclassification to Warrant Reserve (6,969 ) Balance at December 31, 2021 $ - Balance at December 31, 2022 $ - |
November 2020 and December 2020 Warrants [member] | |
IfrsStatementLineItems [Line Items] | |
SCHEDULE OF FAIR VALUE HIERARCHY OF WARRANTS | The following is the reconciliation of the fair value that are categorized within Level 3 of the fair value hierarchy in financial instruments: SCHEDULE OF FAIR VALUE HIERARCHY OF WARRANTS Balance at January 1, 2021 $ 8,391 Revaluation at March 31, 2021 26,816 Reclassification to Warrant Reserve (35,207 ) Balance at December 31, 2021 $ - Balance at December 31, 2022 $ - |
January 2020 Warrants [member] | |
IfrsStatementLineItems [Line Items] | |
SCHEDULE OF FAIR VALUE HIERARCHY OF WARRANTS | The following is the reconciliation of the fair value that are categorized within Level 3 of the fair value hierarchy in financial instruments: SCHEDULE OF FAIR VALUE HIERARCHY OF WARRANTS Balance at January 1, 2021 $ 285 Warrants exercised (342 ) Revaluations 1,896 Reclassification to Warrant Reserve $ (1,788 ) Balance at December 31, 2021 51 Expiry of warrants (51 ) Balance at December 31, 2022 $ - |
WARRANTS AND OPTIONS (Tables)
WARRANTS AND OPTIONS (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Warrants And Options | |
SCHEDULE OF WARRANTS TRANSACTIONS | (i) Warrant transactions for the years ended December 31, 2022, and 2021 are as follows: SCHEDULE OF WARRANTS TRANSACTIONS Number Weighted Average Exercise Price Balance, January 1, 2021 7,289,885 $ 1.91 Warrants issued in the April 2021 Private Placement 221,100 Warrants issued in the May 2021 Private Placement 1,084,562 Exercise of warrants (2,629,343 ) Balance, December 31, 2021 5,966,204 $ 3.55 Expiration of warrants (5,437 ) Exercise of warrants (630,161 ) Warrants issued in the November 2022 Private Placement 1,726,366 Balance, December 31, 2022 7,056,972 $ 3.54 |
SCHEDULE OF OUTSTANDING WARRANTS | SCHEDULE OF OUTSTANDING WARRANTS December 31, 2022 Expiry date Exercise price Exercise price (USD) 2,658,313 November 10, 2025 ILS 7.1418 (2) $ 2.03 1,366,631 December 24, 2025 ILS 7.1418 (2) $ 2.03 221,100 April 18, 2023 ILS 29.025 (3) $ 8.25 1,084,562 May 28, 2023 ILS 29.025 (3) $ 8.25 1,726,366 November 8, 2024 CAD 2.04 $ 1.60 7,056,972 (1) On June 30, 2021, warrant holders and the Company, agreed that the exercise price of CAD$ 1.95 5.124 (2) On March 31, 2021, warrant holders and the Company, agreed that the exercise price of CAD$ 2.70 7.1418 (3) On June 30, 2021, warrant holders and the Company, agreed that the exercise price of CAD$ 11.04 29.025 |
SCHEDULE OF STOCK OPTION TRANSACTIONS | Stock option transactions for the years ended December 31, 2022, and 2021 are as follows: SCHEDULE OF STOCK OPTION TRANSACTIONS Number Weighted Average Exercise Price (CAD) Weighted Average Exercise Price (USD) Balance January 1, 2021 889,523 $ 1.62 $ 1.27 Options granted 333,377 3.00 Exercise of options (286,223 ) 2.25 Expiry of options (116,667 ) 3.00 Balance December 31, 2021 820,010 $ 2.10 $ 1.78 Exercise of options (116,667 ) 2.27 Expiry of options (20,000 ) 1.5 Options granted 1,200,000 3.67 Balance December 31, 2022 1,883,343 $ 3.17 $ 2.32 (i) On January 28, 2021, 33,333 3.00 January 28, 2025 90 2.82 4 209 0.30 0 (ii) On January 28, 2021, 116,667 3.00 December 31, 2021 191 2.82 0.92 173 0.11 0 (iii) On June 3, 2021, 50,000 8.40 June 3, 2026 445 9.18 5 191 0.93 0 (iv) On August 23, 2021, 116,700 6.00 April 30, 2022 242 6.50 0.68 126 0.19 0 A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) NOTE 20 – WARRANTS AND OPTIONS (CONTINUED): b) Stock Options (continued) (v) On October 28, 2021, 16,677 8.00 October 28, 2026 242 9.37 5 114 1.43 0 (vi) On August 4, 2022, 900,000 3.56 August 2, 2032 2,712 4.12 10 112 2.67 0 (vii) On August 21, 2022, 300,000 4.00 August 2, 2032 977 4.00 10 112 2.99 0 |
SCHEDULE OF OUTSTANDING STOCK OPTIONS | SCHEDULE OF OUTSTANDING STOCK OPTIONS Outstanding as of December 31, 2022 Exercisable as of December 31, 2022 Expiry date Exercise price (CAD) Exercise price (USD) 543,333 510,000 August 20, 2025 CAD 1.50 $ 1.11 40,000 40,000 September 1, 2025 CAD 2.25 $ 1.66 33,333 33,333 January 28, 2025 CAD 3.00 $ 2.21 50,000 33,333 June 3, 2026 CAD 8.40 $ 6.20 16,677 11,118 October 28, 2026 CAD 8.00 $ 5.90 900,000 225,000 August 2, 2032 CAD 3.56 $ 2.63 300,000 300,000 August 21, 2032 CAD 4.00 $ 2.95 1,883,343 1,152,784 |
SCHEDULE OF RSU’S TRANSACTIONS | RSU’s transactions for the year ended December 31, 2022, and for the year ended December 31, 2021, are as follows: SCHEDULE OF RSU’S TRANSACTIONS Number Balance, January 1, 2021 - RSU’s granted - Exercise of RSU’s - Balance, December 31, 2021 - RSU’s granted 1,265,000 Exercise of RSU’s (545,000 ) Balance, December 31, 2022 720,000 |
NON CONTROLLING INTERESTS (Tabl
NON CONTROLLING INTERESTS (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
SCHEDULE OF SUBSIDIARIES OF NON-CONTROLLING INTERESTS | The following Company subsidiaries which have non-controlling interests: SCHEDULE OF SUBSIDIARIES OF NON-CONTROLLING INTERESTS December 31, December 31, 2022 2021 Cust2mate $ (2,791 ) $ (1,026 ) AAI 394 419 Non controlling interest $ (2,397 ) $ (607 ) |
REVENUES (Tables)
REVENUES (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
SCHEDULE OF REVENUE FROM SERVICES | Revenue streams: SCHEDULE OF REVENUE FROM SERVICES 2022 2021 2020 Year Ended December 31 2022 2021 2020 Revenues from services: Revenues from services $ 1,364 $ 1,548 $ 801 Revenues from leasing 341 387 267 Precision metal parts: Revenues from sales of precision metal parts 3,958 - - Smart Carts: Revenues from smart carts project 3,688 750 - Revenues $ 9,351 $ 2,685 $ 1,068 |
COST OF REVENUES (Tables)
COST OF REVENUES (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
SCHEDULE OF COST OF REVENUES | SCHEDULE OF COST OF REVENUES 2022 2021 2020 Year Ended December 31 2022 2021 2020 Payroll and related expenses $ 2,383 $ 1,096 $ 493 Subcontractor and outsourced work 103 162 65 Materials and components consumed 4,650 291 90 Depreciation 131 - - Car maintenance 165 373 147 Other 85 107 58 Cost of revenues 7,517 2,029 853 |
RESEARCH AND DEVELOPMENT EXPE_2
RESEARCH AND DEVELOPMENT EXPENSES (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
SCHEDULE OF RESEARCH AND DEVELOPMENT EXPENSES | SCHEDULE OF RESEARCH AND DEVELOPMENT EXPENSES 2022 2021 2020 Year Ended December 31 2022 2021 2020 Payroll and related expenses $ 867 $ 510 $ 410 Subcontractor and outsourced work 3,362 2,477 - Legal fees 20 99 - Pilot expenses and other 212 136 8 Research and development expense 4,462 3,222 418 |
GENERAL AND ADMINISTRATIVE EX_2
GENERAL AND ADMINISTRATIVE EXPENSES (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
SCHEDULE OF GENERAL AND ADMINISTRATIVE EXPENSES | SCHEDULE OF GENERAL AND ADMINISTRATIVE EXPENSES 2022 2021 2020 Year Ended December 31 2022 2021 2020 Payroll and related $ 3,990 $ 1,027 $ 579 Professional fees 2,233 3,417 1,449 Share-based compensation 4,868 842 - Depreciation and amortization 420 321 213 Office maintenance 437 275 23 Public company related expenses 316 254 59 Rent and related expenses 126 96 42 Travel 150 - - Directors & officers’ insurance 267 119 - Doubtful debts 382 - - Other 410 143 - General and administrative expense 13,599 6,494 2,365 |
LOSS PER SHARE (Tables)
LOSS PER SHARE (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
SCHEDULE OF LOSS PER SHARE | SCHEDULE OF LOSS PER SHARE 2022 2021 2020 Year Ended December 31 2022 2021 2020 Net loss for the year $ 19,273 $ 39,735 $ 7,222 Weighted average number of ordinary shares 27,681,778 23,340,621 16,758,323 Basic and diluted loss per share $ 0.70 $ 1.70 $ 0.43 |
FINANCIAL EXPENSES (Tables)
FINANCIAL EXPENSES (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Financial Expenses | |
SCHEDULE OF FINANCIAL EXPENSES | SCHEDULE OF FINANCIAL EXPENSES 2022 2021 2020 Year Ended December 31 2022 2021 2020 Bank fees and interest $ 136 $ 77 $ 94 Interest from application of IFRS 16 97 14 13 Revaluation of provision 1,158 - - Financial expenses 1,391 91 107 |
INCOME TAX EXPENSE (Tables)
INCOME TAX EXPENSE (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
SCHEDULE OF EFFECTIVE INCOME TAX EXPENSE | SCHEDULE OF EFFECTIVE INCOME TAX EXPENSE 2022 2021 2020 Year Ended December 31 2022 2021 2020 Loss before income tax $ (18,347 ) $ (40,148 ) $ (5,936 ) Statutory tax rate 23 % 23 % 23 % Income tax benefit at the statutory tax rate 4,220 9,234 1,365 Expenses not recognized for tax purposes (4,220 ) (9,234 ) (876 ) Recognition/Derecognition of deferred tax assets which were not recognized on prior periods - (142 ) (506 ) Income tax expense - (142 ) (17 ) |
SCHEDULE OF INCOME TAX EXPENSE | SCHEDULE OF INCOME TAX EXPENSE 2022 2021 2020 Year Ended December 31 2022 2021 2020 Current $ - $ - $ 10 Prior year taxes - 142 - Deferred taxes, net - - 7 Total $ - 142 $ 17 |
RELATED PARTIES AND SHAREHOLD_2
RELATED PARTIES AND SHAREHOLDERS (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Related Parties And Shareholders | |
SCHEDULE OF AMOUNT OWING BY RELATED PARTIES | The following transactions arose with related parties: SCHEDULE OF AMOUNT OWING BY RELATED PARTIES Year ended December 31, 2022 Directors Fees Consulting Fees / Salaries Share based awards Total Amounts owing by (to) as of December 31, 2022 Director and CEO $ - $ - $ - $ - $ 462 Company controlled by CEO - 1,224 - 1,224 (474 ) CFO - 84 160 244 - Directors 28 - 64 92 - $ 28 $ 1,308 $ 224 $ 1,560 $ (12 ) Year ended December 31, 2021 Directors Fees Consulting Fees / Salaries Share based awards Total Amounts owing by (to) as of December 31, 2021 Director and CEO $ - $ 43 $ - $ 43 $ 183 Company controlled by CEO - 958 - 958 (57 ) CFO - 94 59 153 - Directors 31 - 11 42 - $ 31 $ 1,095 $ 70 $ 1,196 $ 126 Year ended December 31, 2020 Directors Fees Consulting Fees / Salaries Share based awards Total Amounts owing by (to) as of December 31, 2021 Director and CEO $ - $ 31 $ - $ 31 $ - Company controlled by CEO - 594 - 594 - CFO - 30 27 57 - Directors 31 - 10 41 - $ 31 $ 655 $ 37 $ 723 $ - |
FINANCIAL INSTRUMENTS AND RIS_2
FINANCIAL INSTRUMENTS AND RISK MANAGEMENT (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
SCHEDULE OF FINANCIAL ASSET WITH CASH AND TRADE ACCOUNTS RECEIVABLE | SCHEDULE OF FINANCIAL ASSET WITH CASH AND TRADE ACCOUNTS RECEIVABLE 2022 2021 December 31, December 31, 2022 2021 Cash and Cash Equivalents $ 2,616 $ 8,470 Deposits 8 60 Trade receivables 1,373 857 Other Accounts Receivable 2,570 434 Total $ 6,567 $ 9,821 |
SCHEDULE OF LIQUIDITY RISKS | SCHEDULE OF LIQUIDITY RISKS Contractual Carrying amounts Within 1 year over 1 year Trade payables $ 2,224 $ 2,224 $ - Other accounts payable $ 956 $ 956 $ - Loans $ 1,744 $ 1,403 $ 341 Lease liability $ 886 $ 281 $ 605 |
OPERATING SEGMENTS (Tables)
OPERATING SEGMENTS (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
SCHEDULE OF OPERATING SEGMENTS | SCHEDULE OF OPERATING SEGMENTS Year Ended December 31, 2022 Precision Metal Parts Advanced Engineering Smart Carts (*) Total (**) Revenues External $ 3,958 $ 1,705 $ 3,688 $ 9,351 Total 3,958 1,705 3,688 9,351 Segment operational loss (gain) 761 (60 ) 16,001 16,702 Loss on revaluation of warrant liability 254 Finance expense, net 1,391 Tax expenses - Loss $ 18,347 (*) All revenues from the smart cart segment are generated from one customer, which is the main customer of the Company, and accounts for 40 10 (**) All revenues are generated in the state of Israel. (**) All non-current assets are located in the state of Israel. Year Ended December 31, 2021 Precision Metal Parts Advanced Engineering Smart Carts (*) Total (**) Revenues External $ - $ 1,935 $ 750 $ 2,685 Total - 1,935 750 2,685 Segment operational loss - 1,034 8,128 9,162 Loss on revaluation of warrant liability 30,895 Finance expense, net 91 Tax expenses 142 Loss $ 40,290 Year Ended December 31, 2020 Precision Metal Parts Advanced Engineering Smart Carts (*) Total (**) Revenues External $ - $ 1,068 $ - $ 1,068 Total - 1,068 - 1,068 Segment operational loss - 2,510 166 2,676 Loss on revaluation of warrant liability 3,228 Finance expense, net 32 Tax expenses 17 Loss $ 5,953 A2Z SMART TECHNOLOGIES CORP. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Expressed in Thousands of US Dollars, except per share data) NOTE 31 – OPERATING SEGMENTS (CONTINUED): As at December 31, 2022 Precision Metal Parts Advanced Engineering Smart Carts Adjustment & Elimination Total Segment assets $ 2,741 $ 1,162 $ 8,791 $ - $ 12,694 Segment liabilities $ 3,575 $ 1,043 $ 5,187 $ - $ 9,805 As at December 31, 2021 Precision Metal Parts Advanced Engineering Smart Carts Adjustment & Elimination Total Segment assets $ - $ 1,707 $ 12,424 $ - $ 14,131 Segment liabilities $ - $ 1,786 $ 1,438 $ - $ 3,224 |
DESCRIPTION OF BUSINESS (Detail
DESCRIPTION OF BUSINESS (Details Narrative) $ / shares in Units, $ in Thousands | 12 Months Ended | ||||
Mar. 13, 2023 USD ($) $ / shares shares | Dec. 31, 2022 USD ($) shares | Dec. 31, 2021 USD ($) shares | Dec. 31, 2020 USD ($) | Mar. 13, 2023 $ / shares shares | |
IfrsStatementLineItems [Line Items] | |||||
Profit (loss) of combined entity as if combination occurred at beginning of period | $ 19,300 | $ 39,800 | $ 7,200 | ||
Retained earnings | $ 67,395 | $ 50,838 | |||
Number of share issuance in escrow | shares | 30,945,322 | 26,326,488 | |||
Gross proceeds for units | $ 3,894 | $ 8,358 | $ 8,249 | ||
Events occurring after reporting date [member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Number of share issuance in escrow | shares | 1,783,561 | 1,783,561 | |||
Issuance of escrow price per share | (per share) | $ 1.46 | $ 1.95 | |||
Gross proceeds for units | $ 2,604 | ||||
Advanced Automotive Innovations Inc. [member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Ownership interest in subsidary | 80% | ||||
Cust2Mate Ltd [member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Ownership percentage | 79.49% |
AGING SCHEDULE BASED ON DUE DAT
AGING SCHEDULE BASED ON DUE DATE (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
IfrsStatementLineItems [Line Items] | ||
Total | $ 1,373 | $ 857 |
Current [member] | ||
IfrsStatementLineItems [Line Items] | ||
Total | $ 1,373 | $ 857 |
SCHEDULE OF THREE-LEVEL MATRIX
SCHEDULE OF THREE-LEVEL MATRIX (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
IfrsStatementLineItems [Line Items] | ||
Total | $ 1,373 | $ 857 |
Government institutions [member] | ||
IfrsStatementLineItems [Line Items] | ||
Total | 279 | 296 |
Institutions customers [member] | ||
IfrsStatementLineItems [Line Items] | ||
Total | 1,052 | |
Other customers [member] | ||
IfrsStatementLineItems [Line Items] | ||
Total | $ 42 | $ 561 |
SCHEDULE OF ESTIMATED USEFUL LI
SCHEDULE OF ESTIMATED USEFUL LIVES OF ASSETS (Details) | 12 Months Ended |
Dec. 31, 2022 | |
Computer equipment [member] | |
IfrsStatementLineItems [Line Items] | |
Estimated useful lives | 3 years |
Machines and manufacturing equipment [member] | |
IfrsStatementLineItems [Line Items] | |
Estimated useful lives | 10 years |
Fixtures and fittings [member] | |
IfrsStatementLineItems [Line Items] | |
Estimated useful lives | 7 years |
Vehicles [member] | |
IfrsStatementLineItems [Line Items] | |
Estimated useful lives | 6 years 8 months 1 day |
ERP system and R&D expenses [member] | Bottom of range [member] | |
IfrsStatementLineItems [Line Items] | |
Estimated useful lives | 3 years |
ERP system and R&D expenses [member] | Top of range [member] | |
IfrsStatementLineItems [Line Items] | |
Estimated useful lives | 6 years |
Leasehold improvements [member] | |
IfrsStatementLineItems [Line Items] | |
Estimated useful lives | 10 years |
SIGNIFICANT ACCOUNTING POLICI_4
SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) $ in Thousands | Dec. 31, 2022 USD ($) |
Erp system [member] | |
IfrsStatementLineItems [Line Items] | |
Costs relate to capitalized | $ 219 |
SCHEDULE OF INVENTORIES (Detail
SCHEDULE OF INVENTORIES (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Mar. 31, 2022 | Dec. 31, 2021 |
Raw materials | $ 38 | $ 93 | |
Smart cart electrical equipment | 909 | ||
Smart cart parts | 337 | 145 | |
Inventories | $ 375 | $ 1,147 | $ 1,147 |
SCHEDULE OF TRADE RECEIVABLES (
SCHEDULE OF TRADE RECEIVABLES (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Customers | $ 1,383 | $ 857 |
Expected credit losses | (10) | |
Trade Receivables, net | $ 1,373 | $ 857 |
SUMMARY OF FAIR VALUE OF COMMIT
SUMMARY OF FAIR VALUE OF COMMITMENT (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2022 USD ($) | |
Disclosure of detailed information about business combination [abstract] | |
Balance at January 1, 2022 | |
Acquisition date February 3, 2022 | 343 |
Revaluation | 1,190 |
Effect of changes in foreign exchange rates | (86) |
Balance at December 31, 2022 | $ 1,447 |
SCHEDULE OF FAIR VALUE OF ASSET
SCHEDULE OF FAIR VALUE OF ASSETS ACQUIRED (Details) $ in Thousands | Dec. 31, 2022 USD ($) | Feb. 03, 2022 USD ($) | Feb. 03, 2022 ILS (₪) | Dec. 31, 2021 USD ($) | |
IfrsStatementLineItems [Line Items] | |||||
Identifiable assets acquired (liabilities assumed) | $ 1,447 | ||||
Isramat Ltd [member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Working capital other than cash and cash equivalents | $ 869 | ||||
Liability for severance pay fund, net | (35) | ||||
Property, plant and equipment | 636 | ||||
Benefit shareholder consulting agreement | 27 | ||||
Customer relations | 284 | ||||
Goodwill recognised as of acquisition date | [1] | 1,188 | |||
Identifiable assets acquired (liabilities assumed) | [2] | 2,969 | |||
Consideration paid in cash | 879 | ₪ 2,800,000 | |||
Commitment to the selling shareholders | 343 | ||||
Consideration paid in common shares in the capital of the Company | $ 1,747 | ||||
[1]Goodwill represents the excess of the purchase price over the fair value of the net tangible and identifiable intangible assets acquired. The goodwill is attributed to the expected benefits arising from the synergies of the combination of the activities of the Company and acquired company, and to the value of assembled workforce.[2]Consideration paid in cash for the purchase of Isramat shares was $ 879 273,774 1,747 |
SCHEDULE OF FAIR VALUE OF ASS_2
SCHEDULE OF FAIR VALUE OF ASSETS ACQUIRED (Details) (Parenthetical) $ in Thousands | Dec. 31, 2022 shares | Feb. 03, 2022 USD ($) shares | Feb. 03, 2022 ILS (₪) shares | Dec. 31, 2021 shares |
IfrsStatementLineItems [Line Items] | ||||
Number of shares issued | 30,945,322 | 26,326,488 | ||
Isramat Ltd [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Cash paid | $ 879 | ₪ 2,800,000 | ||
Number of shares issued | 273,774 | 273,774 | ||
Value of shares issued | $ | $ 1,747 |
SCHEDULE OF PRO FORMA INFORMATI
SCHEDULE OF PRO FORMA INFORMATION (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2022 USD ($) | |
Disclosure of detailed information about business combination [abstract] | |
Total revenues | $ 9,594 |
Net loss attributable to the Company | $ 17,635 |
ACQUISITION (Details Narrative)
ACQUISITION (Details Narrative) $ / shares in Units, $ in Thousands | 12 Months Ended | |||||
Feb. 03, 2022 USD ($) $ / shares shares | Dec. 31, 2022 USD ($) shares | Dec. 31, 2021 USD ($) shares | Dec. 31, 2020 USD ($) | Feb. 03, 2022 ILS (₪) shares | ||
IfrsStatementLineItems [Line Items] | ||||||
Number of shares issued | shares | 30,945,322 | 26,326,488 | ||||
Financial expenses | $ 1,391 | $ 91 | $ 107 | |||
Isramat Ltd [member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Cash paid | $ 879 | ₪ 2,800,000 | ||||
Number of shares issued | shares | 273,774 | 273,774 | ||||
Share price per share | $ / shares | $ 7.6311 | |||||
Provision for commitment to shareholders | $ 343 | |||||
Commitment to seelling shareholders | 1,447 | |||||
Financial expenses | 1,105 | |||||
Goodwill recognized | [1] | $ 1,188 | ||||
Revenues | 3,958 | |||||
Net loss | $ 875 | |||||
[1]Goodwill represents the excess of the purchase price over the fair value of the net tangible and identifiable intangible assets acquired. The goodwill is attributed to the expected benefits arising from the synergies of the combination of the activities of the Company and acquired company, and to the value of assembled workforce. |
SCHEDULE OF OTHER ACCOUNTS RECE
SCHEDULE OF OTHER ACCOUNTS RECEIVABLE (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Related parties | $ 126 | |
Advances to suppliers | 918 | |
Prepaid expenses | 751 | 50 |
Government institutions | 151 | 251 |
Other | 750 | 7 |
Other accounts receivable | $ 2,570 | $ 434 |
SUMMARY OF INTANGIBLE ASSETS PA
SUMMARY OF INTANGIBLE ASSETS PATENT, NET (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Intangible assets - patent, net, Beginning balance | $ 2,091 | $ 2,239 |
Deprication | (200) | (123) |
Effect of changes in foreign exchange rates | 5 | (25) |
Additions | 311 | |
Intangible assets - patent, net, Ending balance | $ 2,207 | $ 2,091 |
SCHEDULE OF PROPERTY, PLANT AND
SCHEDULE OF PROPERTY, PLANT AND EQUIPMENT NET (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
IfrsStatementLineItems [Line Items] | ||
Beginning balance | $ 1,072 | $ 456 |
Net Book Value | 2,357 | 1,072 |
Computer equipment [member] | ||
IfrsStatementLineItems [Line Items] | ||
Beginning balance | 152 | 102 |
Net Book Value | 126 | 152 |
Machines and manufacturing equipment [member] | ||
IfrsStatementLineItems [Line Items] | ||
Beginning balance | ||
Net Book Value | 598 | |
Fixtures and fittings [member] | ||
IfrsStatementLineItems [Line Items] | ||
Beginning balance | 59 | 6 |
Net Book Value | 70 | 59 |
Vehicles [member] | ||
IfrsStatementLineItems [Line Items] | ||
Beginning balance | 600 | 331 |
Net Book Value | 501 | 600 |
ERP system and R&D expenses [member] | ||
IfrsStatementLineItems [Line Items] | ||
Beginning balance | ||
Net Book Value | 214 | |
Leasehold improvements [member] | ||
IfrsStatementLineItems [Line Items] | ||
Beginning balance | ||
Net Book Value | 27 | |
Right-of-use assets [member] | ||
IfrsStatementLineItems [Line Items] | ||
Beginning balance | 261 | 17 |
Net Book Value | 820 | 261 |
Gross carrying amount [member] | ||
IfrsStatementLineItems [Line Items] | ||
Beginning balance | 2,030 | 1,231 |
Additions | 784 | 774 |
Disposals | (380) | |
Additions from newly acquired subsidiary | 3,681 | |
Translation adjustments | (472) | 25 |
Net Book Value | 5,642 | 2,030 |
Gross carrying amount [member] | Computer equipment [member] | ||
IfrsStatementLineItems [Line Items] | ||
Beginning balance | 440 | 370 |
Additions | 29 | 52 |
Disposals | ||
Additions from newly acquired subsidiary | ||
Translation adjustments | (53) | 18 |
Net Book Value | 416 | 440 |
Gross carrying amount [member] | Machines and manufacturing equipment [member] | ||
IfrsStatementLineItems [Line Items] | ||
Beginning balance | ||
Additions | 174 | |
Disposals | ||
Additions from newly acquired subsidiary | 2,242 | |
Translation adjustments | (208) | |
Net Book Value | 2,208 | |
Gross carrying amount [member] | Fixtures and fittings [member] | ||
IfrsStatementLineItems [Line Items] | ||
Beginning balance | 201 | 139 |
Additions | 28 | 62 |
Disposals | ||
Additions from newly acquired subsidiary | 178 | |
Translation adjustments | (48) | |
Net Book Value | 359 | 201 |
Gross carrying amount [member] | Vehicles [member] | ||
IfrsStatementLineItems [Line Items] | ||
Beginning balance | 968 | 625 |
Additions | 316 | 298 |
Disposals | (380) | |
Additions from newly acquired subsidiary | 34 | |
Translation adjustments | (80) | 45 |
Net Book Value | 858 | 968 |
Gross carrying amount [member] | ERP system and R&D expenses [member] | ||
IfrsStatementLineItems [Line Items] | ||
Beginning balance | ||
Additions | 223 | |
Disposals | ||
Additions from newly acquired subsidiary | ||
Translation adjustments | (4) | |
Net Book Value | 219 | |
Gross carrying amount [member] | Leasehold improvements [member] | ||
IfrsStatementLineItems [Line Items] | ||
Beginning balance | 59 | 57 |
Additions | 14 | |
Disposals | ||
Additions from newly acquired subsidiary | 367 | |
Translation adjustments | (37) | 2 |
Net Book Value | 403 | 59 |
Gross carrying amount [member] | Right-of-use assets [member] | ||
IfrsStatementLineItems [Line Items] | ||
Beginning balance | 362 | 40 |
Additions | 362 | |
Additions from newly acquired subsidiary | 859 | |
Translation adjustments | (42) | (40) |
Net Book Value | 1,180 | 362 |
Accumulated depreciation amortisation [member] | ||
IfrsStatementLineItems [Line Items] | ||
Beginning balance | 958 | 775 |
Additions | 371 | 222 |
Disposals | (58) | |
Additions from newly acquired subsidiary | 2,335 | |
Translation adjustments | (321) | (39) |
Net Book Value | 3,286 | 958 |
Accumulated depreciation amortisation [member] | Computer equipment [member] | ||
IfrsStatementLineItems [Line Items] | ||
Beginning balance | 288 | 268 |
Additions | 37 | 22 |
Disposals | ||
Additions from newly acquired subsidiary | ||
Translation adjustments | (35) | (2) |
Net Book Value | 290 | 288 |
Accumulated depreciation amortisation [member] | Machines and manufacturing equipment [member] | ||
IfrsStatementLineItems [Line Items] | ||
Beginning balance | ||
Additions | 116 | |
Disposals | ||
Additions from newly acquired subsidiary | 1,657 | |
Translation adjustments | (163) | |
Net Book Value | 1,610 | |
Accumulated depreciation amortisation [member] | Fixtures and fittings [member] | ||
IfrsStatementLineItems [Line Items] | ||
Beginning balance | 142 | 133 |
Additions | 16 | 7 |
Disposals | ||
Additions from newly acquired subsidiary | 158 | |
Translation adjustments | (27) | 2 |
Net Book Value | 289 | 142 |
Accumulated depreciation amortisation [member] | Vehicles [member] | ||
IfrsStatementLineItems [Line Items] | ||
Beginning balance | 368 | 294 |
Additions | 88 | 92 |
Disposals | (58) | |
Additions from newly acquired subsidiary | 6 | |
Translation adjustments | (47) | (18) |
Net Book Value | 357 | 368 |
Accumulated depreciation amortisation [member] | ERP system and R&D expenses [member] | ||
IfrsStatementLineItems [Line Items] | ||
Beginning balance | ||
Additions | 5 | |
Disposals | ||
Additions from newly acquired subsidiary | ||
Translation adjustments | ||
Net Book Value | 5 | |
Accumulated depreciation amortisation [member] | Leasehold improvements [member] | ||
IfrsStatementLineItems [Line Items] | ||
Beginning balance | 59 | 57 |
Additions | 3 | |
Disposals | ||
Additions from newly acquired subsidiary | 350 | |
Translation adjustments | (36) | 2 |
Net Book Value | 376 | 59 |
Accumulated depreciation amortisation [member] | Right-of-use assets [member] | ||
IfrsStatementLineItems [Line Items] | ||
Beginning balance | 101 | 23 |
Additions | 107 | 101 |
Disposals | ||
Additions from newly acquired subsidiary | 164 | |
Translation adjustments | (13) | (23) |
Net Book Value | $ 360 | $ 101 |
SCHEDULE OF SHORT TERM LOANS AN
SCHEDULE OF SHORT TERM LOANS AND CURRENT PORTION OF LONG-TERM LOANS (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
IfrsStatementLineItems [Line Items] | ||
Short term loans | $ 1,403 | $ 158 |
Short-term borrowings [member] | ||
IfrsStatementLineItems [Line Items] | ||
Short term loans | 1,114 | |
Current portion of long-term loans | 289 | 158 |
Short term loans and current portion of long-term loans | $ 1,403 | $ 158 |
Short-term borrowings [member] | Bottom of range [member] | ||
IfrsStatementLineItems [Line Items] | ||
Interest rate | 3.20% | |
Short-term borrowings [member] | Top of range [member] | ||
IfrsStatementLineItems [Line Items] | ||
Interest rate | 7.50% |
SCHEDULE OF CARRYING AMOUNTS OF
SCHEDULE OF CARRYING AMOUNTS OF LEASE LIABILITIES RECOGNIZED AND MOVEMENTS (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
IfrsStatementLineItems [Line Items] | ||
Lease liabilities, Beginning balance | $ 277 | |
Long Term leases | 886 | $ 277 |
Current portion of long-term leases | 281 | 126 |
Non-current portion of long-term leases | 605 | 151 |
Industrial areas and office facilities [member] | ||
IfrsStatementLineItems [Line Items] | ||
Lease liabilities, Beginning balance | 277 | 21 |
Additions | 859 | 362 |
Disposal | (335) | (107) |
Accumulated interest | 107 | 25 |
Exchange rate differences | (22) | (24) |
Long Term leases | $ 886 | $ 277 |
SCHEDULE OF OTHER ACCOUNTS PAYA
SCHEDULE OF OTHER ACCOUNTS PAYABLE (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Employees and government authorities | $ 681 | $ 362 |
Accrued expenses | 93 | 169 |
Other | 182 | 568 |
Other accounts payable | $ 956 | $ 1,099 |
SCHEDULE OF LONG TERM LOANS (De
SCHEDULE OF LONG TERM LOANS (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
IfrsStatementLineItems [Line Items] | ||
Long term loans | $ 1,744 | |
Less- Current portion | (1,403) | $ (158) |
Non Current Long term loans | 341 | 483 |
Long-term borrowings [member] | ||
IfrsStatementLineItems [Line Items] | ||
Long term loans | 1,385 | 641 |
Less- Current portion | (1,044) | (158) |
Non Current Long term loans | $ 341 | $ 483 |
Long-term borrowings [member] | Bottom of range [member] | ||
IfrsStatementLineItems [Line Items] | ||
Interest rate | 1.80% | |
Long-term borrowings [member] | Top of range [member] | ||
IfrsStatementLineItems [Line Items] | ||
Interest rate | 6.10% |
DEFERRED REVENUES (Details Narr
DEFERRED REVENUES (Details Narrative) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Deferred revenues | $ 1,373 |
LONG TERM LOANS (Details Narrat
LONG TERM LOANS (Details Narrative) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
IfrsStatementLineItems [Line Items] | ||
Current portion of loans | $ 1,403 | $ 158 |
Non-current portion of loans | 341 | 483 |
Long-term borrowings [member] | ||
IfrsStatementLineItems [Line Items] | ||
Current portion of loans | 1,044 | 158 |
Non-current portion of loans | $ 341 | $ 483 |
Long-term borrowings [member] | Bottom of range [member] | ||
IfrsStatementLineItems [Line Items] | ||
Borrowings interest rate | 1.80% | |
Long-term borrowings [member] | Top of range [member] | ||
IfrsStatementLineItems [Line Items] | ||
Borrowings interest rate | 6.10% |
SCHEDULE OF PLAN DEFINED BENEFI
SCHEDULE OF PLAN DEFINED BENEFIT OBLIGATION (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Severance Payment Net | |||
Present value of defined benefit obligation | $ 394 | $ 541 | |
Fair value of plan assets | (361) | (374) | $ (376) |
Total | 33 | 167 | |
Balance at beginning of year | 541 | 563 | |
Interest cost | 9 | 10 | |
Current service cost | 30 | 39 | |
Currency translation | (111) | (71) | |
Recognized in other comprehensive gain : | (10) | ||
Net actuarial gain | (98) | ||
Balance at end of year | $ 361 | $ 541 |
SCHEDULE OF FAIR VALUE OF PLAN
SCHEDULE OF FAIR VALUE OF PLAN ASSETS (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Severance Payment Net | ||
Balance at beginning of year | $ (374) | $ (376) |
Expected return | 24 | 28 |
Net actuarial loss (gain) | ||
Contributions by employer | (11) | (26) |
Balance at end of year | $ (361) | $ (374) |
SCHEDULE OF ASSUMPTIONS UNDERLY
SCHEDULE OF ASSUMPTIONS UNDERLYING DEFINED BENEFIT PLAN (Details) | Dec. 31, 2022 | Dec. 31, 2021 |
Severance Payment Net | ||
Discount rate of the plan liability | 2.75% | 2.24% |
Expected rate of return on plan assets | 2.64% | 2.36% |
Future salary increases | 0.0382 | 0.0347 |
SCHEDULE OF FAIR VALUE HIERARCH
SCHEDULE OF FAIR VALUE HIERARCHY OF WARRANTS (Details) - USD ($) $ in Thousands | 2 Months Ended | 12 Months Ended | ||
Aug. 30, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
IfrsStatementLineItems [Line Items] | ||||
Warrants exercised | $ (98) | $ (1,379) | $ (3,386) | $ (98) |
November 2022 Warrants [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Balance, warrants | ||||
Issuance, warrants | 894 | |||
Revaluations, warrants | 248 | |||
Reclassification to Warrant Reserve | ||||
Warrants exercised | ||||
Expiry of warrants | ||||
Balance, warrants | 1,142 | |||
April and May 2021 Warrants [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Balance, warrants | ||||
Issuance, warrants | 4,786 | |||
Revaluations, warrants | 2,183 | |||
Reclassification to Warrant Reserve | (6,969) | |||
Balance, warrants | ||||
November 2020 and December 2020 Warrants [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Balance, warrants | 8,391 | |||
Revaluations, warrants | 26,816 | |||
Reclassification to Warrant Reserve | (35,207) | |||
Balance, warrants | 8,391 | |||
January 2020 Warrants [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Balance, warrants | 51 | 285 | ||
Revaluations, warrants | 1,896 | |||
Reclassification to Warrant Reserve | (1,788) | |||
Warrants exercised | (342) | |||
Expiry of warrants | (51) | |||
Balance, warrants | $ 51 | $ 285 |
WARRANT LIABILITY (Details Narr
WARRANT LIABILITY (Details Narrative) | 12 Months Ended | |||||||||||
Nov. 02, 2022 $ / shares shares | Dec. 31, 2021 USD ($) $ / shares shares | Aug. 29, 2021 USD ($) $ / shares | Jun. 30, 2021 USD ($) shares | Mar. 31, 2021 USD ($) $ / shares shares | Dec. 31, 2022 USD ($) $ / shares shares | Jun. 30, 2021 $ / shares | Jun. 30, 2021 ₪ / shares | Mar. 31, 2021 $ / shares | Mar. 31, 2021 ₪ / shares | Dec. 31, 2020 USD ($) shares | Aug. 31, 2020 ₪ / shares shares | |
IfrsStatementLineItems [Line Items] | ||||||||||||
[custom:ClassOfWarrantOrRightOutstanding1-0] | shares | 5,966,204 | 7,056,972 | 7,289,885 | |||||||||
Exercise price | ₪ / shares | ₪ 2.52 | |||||||||||
Share price | $ / shares | $ 1.56 | |||||||||||
Warrants outstanding | shares | 182,142 | |||||||||||
November 2022 Warrants [member] | ||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||
[custom:ClassOfWarrantOrRightOutstanding1-0] | shares | 1,489,166 | |||||||||||
Exercise price | $ / shares | $ 2.04 | |||||||||||
[custom:WarrantsExercisableTerm] | 2 years | |||||||||||
Expected volatility | 1.10 | |||||||||||
Risk-free interest rate | 0.0394 | |||||||||||
Expected life | 2 years | |||||||||||
Warrant liability loss | $ 1,142,000 | |||||||||||
April and May 2021 Warrants [member] | ||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||
Expected volatility | 1.34 | 1.11 | ||||||||||
Risk-free interest rate | 0.0041 | 0.0041 | ||||||||||
Expected life | 1 year 7 months 13 days | 1 year 9 months 14 days | ||||||||||
Share price | $ / shares | $ 6.69 | $ 11.91 | ||||||||||
Warrant liability loss | $ 7,093,000 | |||||||||||
Warrant liability | $ 124,000 | 2,307,000 | ||||||||||
Warrant liability gain | $ 247,000 | |||||||||||
April and May 2021 Warrants [member] | Warrant holders [member] | ||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||
Exercise price | $ / shares | $ 11.04 | |||||||||||
Warrant liability | $ 6,846 | |||||||||||
Warrants outstanding | shares | 583,703 | |||||||||||
Warrants exchange rate | (per share) | 1 | ₪ 2.63 | ||||||||||
November 2020 and December 2020 Warrants [member] | ||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||
Expected volatility | 0.79 | |||||||||||
Risk-free interest rate | 0.01002 | |||||||||||
Expected life | 4 years 7 months 17 days | |||||||||||
Share price | $ / shares | $ 9.30 | |||||||||||
Warrant liability loss | $ 35,175,000 | 8,391,000 | ||||||||||
Warrant liability | $ 26,816,000 | |||||||||||
November 2020 and December 2020 Warrants [member] | Warrant holders [member] | ||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||
Exercise price | $ / shares | $ 2.70 | |||||||||||
Warrants outstanding | shares | 5,816,785 | |||||||||||
Warrants exchange rate | (per share) | $ 1 | ₪ 2.65 | ||||||||||
Warrant equity | $ 35,065,000 | |||||||||||
January 2020 Warrants [member] | ||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||
Expected volatility | 0.82 | |||||||||||
Risk-free interest rate | 0.00064 | |||||||||||
Expected life | 29 days | |||||||||||
Share price | $ / shares | $ 13.72 | |||||||||||
Warrant liability loss | $ 51,000 | $ 285,000 | ||||||||||
Warrant liability | $ 1,788,000 | |||||||||||
Warrant shares | shares | 16,312 | |||||||||||
January 2020 Warrants [member] | Warrant holders [member] | ||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||
Exercise price | $ / shares | 1.95 | |||||||||||
Warrant liability | $ 1,788,000 | |||||||||||
Warrants outstanding | shares | 220,589 | |||||||||||
Warrants exchange rate | (per share) | $ 1 | ₪ 2.65 |
SHAREHOLDERS_ EQUITY (DEFICIT)
SHAREHOLDERS’ EQUITY (DEFICIT) (Details Narrative) $ / shares in Units, $ / shares in Units, $ in Thousands | 2 Months Ended | 12 Months Ended | ||||||||||||||||||||||||||||
Nov. 02, 2022 USD ($) $ / shares shares | Nov. 02, 2022 CAD ($) | Feb. 03, 2022 shares | Aug. 13, 2021 | Jun. 04, 2021 USD ($) shares | Jun. 04, 2021 CAD ($) shares | Dec. 29, 2020 USD ($) shares | Dec. 29, 2020 CAD ($) shares | Dec. 24, 2020 USD ($) shares | Nov. 16, 2020 USD ($) | Nov. 16, 2020 CAD ($) $ / shares shares | Nov. 16, 2020 USD ($) | Oct. 28, 2020 USD ($) | Apr. 27, 2020 USD ($) shares | Mar. 18, 2020 USD ($) | Mar. 18, 2020 CAD ($) shares $ / shares | Jan. 30, 2020 USD ($) shares | Jan. 30, 2020 CAD ($) $ / shares shares | Jan. 21, 2020 USD ($) | Jan. 21, 2020 CAD ($) shares $ / shares | Aug. 30, 2022 USD ($) | Dec. 31, 2022 USD ($) shares | Dec. 31, 2021 USD ($) shares | Dec. 31, 2020 USD ($) shares | Nov. 02, 2022 $ / shares | Feb. 11, 2022 shares | Jun. 04, 2021 $ / shares | Dec. 29, 2020 $ / shares | Oct. 28, 2020 shares $ / shares | Aug. 31, 2020 ₪ / shares shares | |
IfrsStatementLineItems [Line Items] | ||||||||||||||||||||||||||||||
Number of shares outstanding | 30,945,322 | 26,326,488 | ||||||||||||||||||||||||||||
Shares issued | 30,945,322 | 26,326,488 | ||||||||||||||||||||||||||||
Reverse stock split | 1-for-3 reverse stock split | |||||||||||||||||||||||||||||
Number of shares issued | 75,000 | 47,619 | 1,883,343 | 820,010 | 889,523 | 767 | ||||||||||||||||||||||||
Options exercise price | $ / shares | $ 0.39 | $ 0.42 | $ 1.14 | |||||||||||||||||||||||||||
Proceeds from exercise of options | $ 1,000 | $ 23,000 | $ 32 | $ 15,000 | $ 20 | $ 208,000 | $ 742,000 | $ 39,000 | ||||||||||||||||||||||
Number of warrants outstanding | 182,142 | |||||||||||||||||||||||||||||
Warrants exercise price | ₪ / shares | ₪ 2.52 | |||||||||||||||||||||||||||||
Proceeds from exercise of warrants | $ | $ 98,000 | 1,379,000 | 3,386,000 | $ 98,000 | ||||||||||||||||||||||||||
Additional paid-in capital | $ | $ 43,452,000 | $ 28,297,000 | ||||||||||||||||||||||||||||
Number of options exercised | 116,667 | 286,223 | ||||||||||||||||||||||||||||
Number of warrants issued | 7,056,972 | 5,966,204 | 7,289,885 | |||||||||||||||||||||||||||
RSU's [member] | ||||||||||||||||||||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||||||||||||||||||||
Number of shares issued RSU | 545,000 | |||||||||||||||||||||||||||||
Consultant [member] | ||||||||||||||||||||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||||||||||||||||||||
Number of shares issued for services | 20,161 | 30,831 | 30,831 | |||||||||||||||||||||||||||
Shares issued for services, value | $ | $ 47,000 | $ 50,000 | ||||||||||||||||||||||||||||
Two consultants [member] | ||||||||||||||||||||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||||||||||||||||||||
Number of shares issued for services | 76,701 | |||||||||||||||||||||||||||||
Shares issued for services, value | $ | $ 71,000 | |||||||||||||||||||||||||||||
January 2020 private placement [member] | ||||||||||||||||||||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||||||||||||||||||||
Number of units issued | 277,779 | |||||||||||||||||||||||||||||
Price of unit issued | $ / shares | $ 1.80 | |||||||||||||||||||||||||||||
Gross proceeds for units | 377,000 | $ 500 | ||||||||||||||||||||||||||||
Additional share price | $ / shares | $ 1.95 | |||||||||||||||||||||||||||||
Fair value of issuance of warrants | $ | 214,000 | |||||||||||||||||||||||||||||
November 2020 private placements [member] | ||||||||||||||||||||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||||||||||||||||||||
Number of units issued | 4,450,153 | |||||||||||||||||||||||||||||
Price of unit issued | $ / shares | $ 1.875 | |||||||||||||||||||||||||||||
Gross proceeds for units | $ 6,377,000 | $ 8,344 | ||||||||||||||||||||||||||||
November 2020 private warrants [member] | ||||||||||||||||||||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||||||||||||||||||||
Additional share price | $ / shares | $ 2.70 | |||||||||||||||||||||||||||||
November 2020 private placement [member] | ||||||||||||||||||||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||||||||||||||||||||
Finders fees | $ | $ 417,000 | |||||||||||||||||||||||||||||
Issuance of warrants | $ | $ 3,537,000 | |||||||||||||||||||||||||||||
December 2020 private placement [member] | ||||||||||||||||||||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||||||||||||||||||||
Shares issued | 630,161 | 2,514,693 | 74,985 | |||||||||||||||||||||||||||
Number of shares issued | 116,667 | 286,223 | ||||||||||||||||||||||||||||
Number of units issued | 2,978,337 | 1,366,631 | ||||||||||||||||||||||||||||
Price of unit issued | (per share) | $ 1.35 | $ 1.86 | $ 1.875 | |||||||||||||||||||||||||||
Gross proceeds for units | $ 2,000,000 | $ 2,562 | $ 4,021,000 | |||||||||||||||||||||||||||
Additional share price | $ / shares | 2.70 | |||||||||||||||||||||||||||||
Warrants exercise price | (per share) | $ 1.5 | $ 2.04 | $ 2.70 | |||||||||||||||||||||||||||
Finders fees | $ | $ 128,000 | |||||||||||||||||||||||||||||
Finders warrants | 100,000 | 100,000 | ||||||||||||||||||||||||||||
Warrant liability | $ | $ 1,698 | |||||||||||||||||||||||||||||
Number of warrants exercised | 630,161 | 2,629,343 | ||||||||||||||||||||||||||||
Number of options exercised | 116,667 | 286,223 | ||||||||||||||||||||||||||||
Issuance of shares of isramat | 273,774 | |||||||||||||||||||||||||||||
Number of warrants issued | 1,489,169 | |||||||||||||||||||||||||||||
December 2020 private placement [member] | RSU's [member] | ||||||||||||||||||||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||||||||||||||||||||
Number of shares issued | 545,000 | |||||||||||||||||||||||||||||
Number of shares issued RSU | 545,000 | |||||||||||||||||||||||||||||
Two private placements [member] | ||||||||||||||||||||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||||||||||||||||||||
Number of units issued | 1,305,662 | |||||||||||||||||||||||||||||
Price of unit issued | $ / shares | $ 8.16 | |||||||||||||||||||||||||||||
Gross proceeds for units | $ 8,590,000 | $ 10,650 | ||||||||||||||||||||||||||||
Additional share price | $ / shares | $ 11.04 | |||||||||||||||||||||||||||||
Finders fees | 466,000 | $ 578 | ||||||||||||||||||||||||||||
Warrants granted | $ | 4,786,000 | |||||||||||||||||||||||||||||
Additional paid-in capital | $ | $ 3,338,000 | |||||||||||||||||||||||||||||
Two private placements [member] | April 14 2023 [member] | ||||||||||||||||||||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||||||||||||||||||||
Warrans issued | 221,100 | 221,100 | ||||||||||||||||||||||||||||
Two private placements [member] | May 28, 2023 [member] | ||||||||||||||||||||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||||||||||||||||||||
Warrans issued | 1,084,562 | 1,084,562 | ||||||||||||||||||||||||||||
November 2022 Warrants [member] | ||||||||||||||||||||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||||||||||||||||||||
Shares issued | 1,489,169 | |||||||||||||||||||||||||||||
Finders fees | $ 260,000 | $ 349,000 | ||||||||||||||||||||||||||||
Warrants granted | $ | 894,000 | |||||||||||||||||||||||||||||
Additional paid-in capital | $ | $ 3,127,000 | |||||||||||||||||||||||||||||
Number of warrants issued | 237,200 |
SCHEDULE OF WARRANTS TRANSACTIO
SCHEDULE OF WARRANTS TRANSACTIONS (Details) - $ / shares | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
IfrsStatementLineItems [Line Items] | ||
Number of warrants outstanding, beginning balance | 5,966,204 | 7,289,885 |
Weighted Average Exercise Price, Beginning Balance | $ 3.55 | $ 1.91 |
Number of warrants outstanding, Exercise of warrants | (630,161) | (2,629,343) |
Number of warrants outstanding, Expired of warrants | (5,437) | |
Number of warrants outstanding, ending balance | 7,056,972 | 5,966,204 |
Weighted Average Exercise Price, Ending Balance | $ 3.54 | $ 3.55 |
April 2021 Private Placement [member] | ||
IfrsStatementLineItems [Line Items] | ||
Number of warrants outstanding, warrants issued | 221,100 | |
May 2021 Private Placement [member] | ||
IfrsStatementLineItems [Line Items] | ||
Number of warrants outstanding, warrants issued | 1,084,562 | |
November 2022 Private Placement [member] | ||
IfrsStatementLineItems [Line Items] | ||
Number of warrants outstanding, warrants issued | 1,726,366 |
SCHEDULE OF OUTSTANDING WARRANT
SCHEDULE OF OUTSTANDING WARRANTS (Details) | 12 Months Ended | ||||
Dec. 31, 2022 $ / shares shares | Dec. 31, 2022 $ / shares shares | Dec. 31, 2022 ₪ / shares shares | |||
IfrsStatementLineItems [Line Items] | |||||
Number of warrants outstanding | 7,056,972 | 7,056,972 | 7,056,972 | ||
Warrants one [member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Number of warrants outstanding | 2,658,313 | 2,658,313 | 2,658,313 | ||
Expiry date | Nov. 10, 2025 | ||||
Exercise price | (per share) | $ 2.03 | ₪ 7.1418 | [1] | ||
Warrants two [member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Number of warrants outstanding | 1,366,631 | 1,366,631 | 1,366,631 | ||
Expiry date | Dec. 24, 2025 | ||||
Exercise price | (per share) | $ 2.03 | [2] | ₪ 7.1418 | [1] | |
Warrants three [member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Number of warrants outstanding | 221,100 | 221,100 | 221,100 | ||
Expiry date | Apr. 18, 2023 | ||||
Exercise price | (per share) | $ 8.25 | [1] | ₪ 29.025 | [3] | |
Warrants four [member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Number of warrants outstanding | 1,084,562 | 1,084,562 | 1,084,562 | ||
Expiry date | May 28, 2023 | ||||
Exercise price | (per share) | $ 8.25 | [1] | ₪ 29.025 | [3] | |
Warrants five [member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Number of warrants outstanding | 1,726,366 | 1,726,366 | 1,726,366 | ||
Expiry date | Nov. 08, 2024 | ||||
Exercise price | (per share) | $ 1.60 | [3] | $ 2.04 | ||
[1]On March 31, 2021, warrant holders and the Company, agreed that the exercise price of CAD$ 2.70 7.1418 1.95 5.124 11.04 29.025 |
SCHEDULE OF OUTSTANDING WARRA_2
SCHEDULE OF OUTSTANDING WARRANTS (Details) (Parenthetical) | Dec. 31, 2022 $ / shares | Dec. 31, 2022 ₪ / shares | Jun. 30, 2021 $ / shares | Jun. 30, 2021 ₪ / shares | Mar. 31, 2021 $ / shares | Mar. 31, 2021 ₪ / shares | ||
Warrants one [member] | ||||||||
IfrsStatementLineItems [Line Items] | ||||||||
Exercise price | (per share) | $ 2.03 | ₪ 7.1418 | [1] | |||||
Warrants one [member] | Warrant holders [member] | ||||||||
IfrsStatementLineItems [Line Items] | ||||||||
Exercise price | (per share) | $ 1.95 | ₪ 5.124 | ||||||
Warrants two [member] | ||||||||
IfrsStatementLineItems [Line Items] | ||||||||
Exercise price | (per share) | 2.03 | [2] | 7.1418 | [1] | ||||
Warrants two [member] | Warrant holders [member] | ||||||||
IfrsStatementLineItems [Line Items] | ||||||||
Exercise price | (per share) | $ 2.70 | ₪ 7.1418 | ||||||
Warrants three [member] | ||||||||
IfrsStatementLineItems [Line Items] | ||||||||
Exercise price | (per share) | $ 8.25 | [1] | ₪ 29.025 | [3] | ||||
Warrants three [member] | Warrant holders [member] | ||||||||
IfrsStatementLineItems [Line Items] | ||||||||
Exercise price | (per share) | $ 11.04 | ₪ 29.025 | ||||||
[1]On March 31, 2021, warrant holders and the Company, agreed that the exercise price of CAD$ 2.70 7.1418 1.95 5.124 11.04 29.025 |
SCHEDULE OF STOCK OPTION TRANSA
SCHEDULE OF STOCK OPTION TRANSACTIONS (Details) | 12 Months Ended | |||
Dec. 31, 2022 shares $ / shares | Dec. 31, 2022 shares $ / shares | Dec. 31, 2021 shares $ / shares | Dec. 31, 2021 shares $ / shares | |
Warrants And Options | ||||
Number of stock options, beginning balance | 820,010 | 820,010 | 889,523 | 889,523 |
Weighted Average Exercise Price, beginning balance | (per share) | $ 1.78 | $ 2.10 | $ 1.27 | $ 1.62 |
Number of stock options, options granted | 1,200,000 | 1,200,000 | 333,377 | 333,377 |
Weighted Average Exercise Price, options granted | $ / shares | $ 3.67 | $ 3 | ||
Number of stock options, Exercise of options | (116,667) | (116,667) | (286,223) | (286,223) |
Weighted Average Exercise Price, Exercise of options | $ / shares | $ 2.27 | $ 2.25 | ||
Number of stock options, Expiry of options | (20,000) | (20,000) | (116,667) | (116,667) |
Weighted Average Exercise Price, Expiry of options | $ / shares | $ 1.5 | $ 3 | ||
Number of stock options, ending balance | 1,883,343 | 1,883,343 | 820,010 | 820,010 |
Weighted Average Exercise Price, ending balance | (per share) | $ 2.32 | $ 3.17 | $ 1.78 | $ 2.10 |
SCHEDULE OF STOCK OPTION TRAN_2
SCHEDULE OF STOCK OPTION TRANSACTIONS (Details) (Parenthetical) $ / shares in Units, $ in Thousands | 12 Months Ended | |||||||||||
Aug. 21, 2022 CAD ($) shares $ / shares | Aug. 04, 2022 CAD ($) shares $ / shares | Oct. 28, 2021 CAD ($) shares $ / shares | Aug. 23, 2021 CAD ($) shares $ / shares | Jun. 03, 2021 CAD ($) shares $ / shares | Jan. 28, 2021 CAD ($) shares $ / shares | Dec. 31, 2022 shares $ / shares | Dec. 31, 2021 shares | Dec. 31, 2022 $ / shares | Oct. 28, 2020 $ / shares | Mar. 18, 2020 $ / shares | Jan. 21, 2020 $ / shares | |
IfrsStatementLineItems [Line Items] | ||||||||||||
Number of stock options, options issued | shares | 1,200,000 | 333,377 | ||||||||||
Number of stock options, exercise price | $ 1.14 | $ 0.39 | $ 0.42 | |||||||||
Stock option one [member] | ||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||
Number of stock options, exercise price | (per share) | $ 1.11 | $ 1.50 | ||||||||||
Options expire | Aug. 20, 2025 | |||||||||||
Stock option one [member] | Consultant [member] | ||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||
Number of stock options, options issued | shares | 33,333 | |||||||||||
Number of stock options, exercise price | $ 3 | |||||||||||
Options expire | Jan. 28, 2025 | |||||||||||
Fair value of options granted | $ | $ 90 | |||||||||||
Share Price | $ 2.82 | |||||||||||
Expected option life | 4 years | |||||||||||
Volatility | 209% | |||||||||||
Risk-free interest rate | 0.30% | |||||||||||
Dividend yield | 0% | |||||||||||
Stock option two [member] | ||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||
Number of stock options, exercise price | (per share) | $ 1.66 | 2.25 | ||||||||||
Options expire | Sep. 01, 2025 | |||||||||||
Stock option two [member] | Consultant [member] | ||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||
Number of stock options, options issued | shares | 116,667 | |||||||||||
Number of stock options, exercise price | $ 3 | |||||||||||
Options expire | Dec. 31, 2021 | |||||||||||
Fair value of options granted | $ | $ 191 | |||||||||||
Share Price | $ 2.82 | |||||||||||
Expected option life | 11 months 1 day | |||||||||||
Volatility | 173% | |||||||||||
Risk-free interest rate | 0.11% | |||||||||||
Dividend yield | 0% | |||||||||||
Stock option three [member] | ||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||
Number of stock options, exercise price | (per share) | $ 2.21 | 3 | ||||||||||
Options expire | Jan. 28, 2025 | |||||||||||
Stock option three [member] | Consultant [member] | ||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||
Number of stock options, options issued | shares | 50,000 | |||||||||||
Number of stock options, exercise price | $ 8.40 | |||||||||||
Options expire | Jun. 03, 2026 | |||||||||||
Fair value of options granted | $ | $ 445 | |||||||||||
Share Price | $ 9.18 | |||||||||||
Expected option life | 5 years | |||||||||||
Volatility | 191% | |||||||||||
Risk-free interest rate | 0.93% | |||||||||||
Dividend yield | 0% | |||||||||||
Stock option four [member] | ||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||
Number of stock options, exercise price | (per share) | $ 6.20 | 8.40 | ||||||||||
Options expire | Jun. 03, 2026 | |||||||||||
Stock option four [member] | Consultant [member] | ||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||
Number of stock options, options issued | shares | 116,700 | |||||||||||
Number of stock options, exercise price | $ 6 | |||||||||||
Options expire | Apr. 30, 2022 | |||||||||||
Fair value of options granted | $ | $ 242 | |||||||||||
Share Price | $ 6.50 | |||||||||||
Expected option life | 8 months 4 days | |||||||||||
Volatility | 126% | |||||||||||
Risk-free interest rate | 0.19% | |||||||||||
Dividend yield | 0% | |||||||||||
Stock option five [member] | ||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||
Number of stock options, exercise price | (per share) | $ 5.90 | 8 | ||||||||||
Options expire | Oct. 28, 2026 | |||||||||||
Stock option five [member] | Consultant [member] | ||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||
Number of stock options, options issued | shares | 16,677 | |||||||||||
Number of stock options, exercise price | $ 8 | |||||||||||
Options expire | Oct. 28, 2026 | |||||||||||
Fair value of options granted | $ | $ 242 | |||||||||||
Share Price | $ 9.37 | |||||||||||
Expected option life | 5 years | |||||||||||
Volatility | 114% | |||||||||||
Risk-free interest rate | 1.43% | |||||||||||
Dividend yield | 0% | |||||||||||
Stock option six [member] | ||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||
Number of stock options, exercise price | (per share) | $ 2.63 | 3.56 | ||||||||||
Options expire | Aug. 02, 2032 | |||||||||||
Stock option six [member] | Director [Member] | ||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||
Number of stock options, options issued | shares | 900,000 | |||||||||||
Number of stock options, exercise price | $ 3.56 | |||||||||||
Options expire | Aug. 02, 2032 | |||||||||||
Fair value of options granted | $ | $ 2,712 | |||||||||||
Share Price | $ 4.12 | |||||||||||
Expected option life | 10 years | |||||||||||
Volatility | 112% | |||||||||||
Risk-free interest rate | 2.67% | |||||||||||
Dividend yield | 0% | |||||||||||
Stock option seven [member] | ||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||
Number of stock options, exercise price | (per share) | $ 2.95 | $ 4 | ||||||||||
Options expire | Aug. 21, 2032 | |||||||||||
Stock option seven [member] | Consultant [member] | ||||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||||
Number of stock options, options issued | shares | 300,000 | |||||||||||
Number of stock options, exercise price | $ 4 | |||||||||||
Options expire | Aug. 02, 2032 | |||||||||||
Fair value of options granted | $ | $ 977 | |||||||||||
Share Price | $ 4 | |||||||||||
Expected option life | 10 years | |||||||||||
Volatility | 112% | |||||||||||
Risk-free interest rate | 2.99% | |||||||||||
Dividend yield | 0% |
SCHEDULE OF OUTSTANDING STOCK O
SCHEDULE OF OUTSTANDING STOCK OPTIONS (Details) | 12 Months Ended | ||||||
Dec. 31, 2022 shares $ / shares | Dec. 31, 2022 shares $ / shares | Dec. 31, 2021 shares | Dec. 31, 2020 shares | Oct. 28, 2020 shares $ / shares | Mar. 18, 2020 shares $ / shares | Jan. 21, 2020 shares $ / shares | |
IfrsStatementLineItems [Line Items] | |||||||
Number of stock options, Outstanding | 1,883,343 | 1,883,343 | 820,010 | 889,523 | 767 | 75,000 | 47,619 |
Number of stock options, Exercisable | 1,152,784 | 1,152,784 | |||||
Number of stock options, Exercise price | $ / shares | $ 1.14 | $ 0.39 | $ 0.42 | ||||
Stock option one [member] | |||||||
IfrsStatementLineItems [Line Items] | |||||||
Number of stock options, Outstanding | 543,333 | 543,333 | |||||
Number of stock options, Exercisable | 510,000 | 510,000 | |||||
Number of stock options, Expiry date | Aug. 20, 2025 | ||||||
Number of stock options, Exercise price | (per share) | $ 1.11 | $ 1.50 | |||||
Stock option two [member] | |||||||
IfrsStatementLineItems [Line Items] | |||||||
Number of stock options, Outstanding | 40,000 | 40,000 | |||||
Number of stock options, Exercisable | 40,000 | 40,000 | |||||
Number of stock options, Expiry date | Sep. 01, 2025 | ||||||
Number of stock options, Exercise price | (per share) | $ 1.66 | $ 2.25 | |||||
Stock option three [member] | |||||||
IfrsStatementLineItems [Line Items] | |||||||
Number of stock options, Outstanding | 33,333 | 33,333 | |||||
Number of stock options, Exercisable | 33,333 | 33,333 | |||||
Number of stock options, Expiry date | Jan. 28, 2025 | ||||||
Number of stock options, Exercise price | (per share) | $ 2.21 | $ 3 | |||||
Stock option four [member] | |||||||
IfrsStatementLineItems [Line Items] | |||||||
Number of stock options, Outstanding | 50,000 | 50,000 | |||||
Number of stock options, Exercisable | 33,333 | 33,333 | |||||
Number of stock options, Expiry date | Jun. 03, 2026 | ||||||
Number of stock options, Exercise price | (per share) | $ 6.20 | $ 8.40 | |||||
Stock option five [member] | |||||||
IfrsStatementLineItems [Line Items] | |||||||
Number of stock options, Outstanding | 16,677 | 16,677 | |||||
Number of stock options, Exercisable | 11,118 | 11,118 | |||||
Number of stock options, Expiry date | Oct. 28, 2026 | ||||||
Number of stock options, Exercise price | (per share) | $ 5.90 | $ 8 | |||||
Stock option six [member] | |||||||
IfrsStatementLineItems [Line Items] | |||||||
Number of stock options, Outstanding | 900,000 | 900,000 | |||||
Number of stock options, Exercisable | 225,000 | 225,000 | |||||
Number of stock options, Expiry date | Aug. 02, 2032 | ||||||
Number of stock options, Exercise price | (per share) | $ 2.63 | $ 3.56 | |||||
Stock option seven [member] | |||||||
IfrsStatementLineItems [Line Items] | |||||||
Number of stock options, Outstanding | 300,000 | 300,000 | |||||
Number of stock options, Exercisable | 300,000 | 300,000 | |||||
Number of stock options, Expiry date | Aug. 21, 2032 | ||||||
Number of stock options, Exercise price | (per share) | $ 2.95 | $ 4 |
SCHEDULE OF RSU_S TRANSACTIONS
SCHEDULE OF RSU’S TRANSACTIONS (Details) - RSU's [member] - shares | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
IfrsStatementLineItems [Line Items] | ||
Number of RSU's, beginning balance | ||
Number of RSU's, granted | 1,265,000 | |
Number of RSU's, Exercise | (545,000) | |
Number of RSU's, ending balance | 720,000,000 |
WARRANTS AND OPTIONS (Details N
WARRANTS AND OPTIONS (Details Narrative) $ in Thousands | 12 Months Ended | ||||
Aug. 04, 2022 shares | Dec. 16, 2021 ₪ / shares shares | Dec. 31, 2022 USD ($) shares | Dec. 31, 2021 USD ($) shares | Dec. 31, 2020 USD ($) | |
IfrsStatementLineItems [Line Items] | |||||
Exercise of warrants | 630,161 | 2,629,343 | |||
Share based compensation | $ | $ 4,868 | $ 843 | $ 800 | ||
RSU's [member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Share based compensation | $ | $ 2,475 | ||||
RSU's granted | 1,265,000 | ||||
Description of RSU's vesting and conversion | The RSUs will vest at each recipient’s discretion and taking into account personal tax implications and convert into 1,265,000 common shares of no par value in the Company (“Common Shares”). | ||||
RSU's exercisable | 225,832 | ||||
Directors officers and advisers [member] | RSU's [member] | |||||
IfrsStatementLineItems [Line Items] | |||||
RSU's granted | 1,265,000 | ||||
Executives and directors [member] | RSU's [member] | |||||
IfrsStatementLineItems [Line Items] | |||||
RSU's granted | 590,000 | ||||
Warrant [member] | Warrant holders [member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Exercise of warrants | 1,095,322 | ||||
Exercise price | ₪ / shares | ₪ 2.52 | ||||
Warrants granted | 980,673 |
SCHEDULE OF SUBSIDIARIES OF NON
SCHEDULE OF SUBSIDIARIES OF NON-CONTROLLING INTERESTS (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
IfrsStatementLineItems [Line Items] | ||
Non controlling interest | $ (2,397) | $ (607) |
Cust2mate [member] | ||
IfrsStatementLineItems [Line Items] | ||
Non controlling interest | (2,791) | (1,026) |
AAI [member] | ||
IfrsStatementLineItems [Line Items] | ||
Non controlling interest | $ 394 | $ 419 |
SCHEDULE OF REVENUE FROM SERVIC
SCHEDULE OF REVENUE FROM SERVICES (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | ||
IfrsStatementLineItems [Line Items] | ||||
Revenues | $ 9,351 | [1],[2] | $ 2,685 | $ 1,068 |
Revenues from services [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Revenues | 1,364 | 1,548 | 801 | |
Revenues from leasing [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Revenues | 341 | 387 | 267 | |
Revenues from sales of precision metal parts [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Revenues | 3,958 | |||
Revenues from smart carts project [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Revenues | $ 3,688 | $ 750 | ||
[1]All non-current assets are located in the state of Israel.[2]All revenues are generated in the state of Israel. |
SCHEDULE OF COST OF REVENUES (D
SCHEDULE OF COST OF REVENUES (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
IfrsStatementLineItems [Line Items] | |||
Cost of revenues | $ 7,517 | $ 2,029 | $ 853 |
Payroll and related expenses [member] | |||
IfrsStatementLineItems [Line Items] | |||
Cost of revenues | 2,383 | 1,096 | 493 |
Subcontractor and outsourced work [member] | |||
IfrsStatementLineItems [Line Items] | |||
Cost of revenues | 103 | 162 | 65 |
Materials and components consumed [member] | |||
IfrsStatementLineItems [Line Items] | |||
Cost of revenues | 4,650 | 291 | 90 |
Depreciation [member] | |||
IfrsStatementLineItems [Line Items] | |||
Cost of revenues | 131 | ||
Car maintenance [member] | |||
IfrsStatementLineItems [Line Items] | |||
Cost of revenues | 165 | 373 | 147 |
Other [member] | |||
IfrsStatementLineItems [Line Items] | |||
Cost of revenues | $ 85 | $ 107 | $ 58 |
SCHEDULE OF RESEARCH AND DEVELO
SCHEDULE OF RESEARCH AND DEVELOPMENT EXPENSES (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Payroll and related expenses | $ 867 | $ 510 | $ 410 |
Subcontractor and outsourced work | 3,362 | 2,477 | |
Legal fees | 20 | 99 | |
Pilot expenses and other | 212 | 136 | 8 |
Research and development expense | $ 4,462 | $ 3,222 | $ 418 |
SCHEDULE OF GENERAL AND ADMINIS
SCHEDULE OF GENERAL AND ADMINISTRATIVE EXPENSES (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Payroll and related | $ 3,990 | $ 1,027 | $ 579 |
Professional fees | 2,233 | 3,417 | 1,449 |
Share-based compensation | 4,868 | 842 | |
Depreciation and amortization | 420 | 321 | 213 |
Office maintenance | 437 | 275 | 23 |
Public company related expenses | 316 | 254 | 59 |
Rent and related expenses | 126 | 96 | 42 |
Travel | 150 | ||
Directors & officers’ insurance | 267 | 119 | |
Doubtful debts | 382 | ||
Other | 410 | 143 | |
General and administrative expense | $ 13,599 | $ 6,494 | $ 2,365 |
SCHEDULE OF LOSS PER SHARE (Det
SCHEDULE OF LOSS PER SHARE (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Net loss for the year | $ 19,273 | $ 39,735 | $ 7,222 |
Weighted average number of ordinary shares | 27,681,778 | 23,340,621 | 16,758,323 |
Basic and diluted loss per share | $ 0.70 | $ 1.70 | $ 0.43 |
SCHEDULE OF FINANCIAL EXPENSES
SCHEDULE OF FINANCIAL EXPENSES (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Financial Expenses | |||
Bank fees and interest | $ 136 | $ 77 | $ 94 |
Interest from application of IFRS 16 | 97 | 14 | 13 |
Revaluation of provision | 1,158 | ||
Financial expenses | $ 1,391 | $ 91 | $ 107 |
SCHEDULE OF EFFECTIVE INCOME TA
SCHEDULE OF EFFECTIVE INCOME TAX EXPENSE (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | ||
Loss before income tax | $ (18,347) | $ (40,148) | $ (5,936) | |
Statutory tax rate | 23% | 23% | 23% | |
Income tax benefit at the statutory tax rate | $ 4,220 | $ 9,234 | $ 1,365 | |
Expenses not recognized for tax purposes | (4,220) | (9,234) | (876) | |
Recognition/Derecognition of deferred tax assets which were not recognized on prior periods | (142) | (506) | ||
Income tax expense | [1],[2] | $ (142) | $ (17) | |
[1]All non-current assets are located in the state of Israel.[2]All revenues are generated in the state of Israel. |
SCHEDULE OF INCOME TAX EXPENSE
SCHEDULE OF INCOME TAX EXPENSE (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | ||
Current | $ 10 | |||
Prior year taxes | 142 | |||
Deferred taxes, net | 7 | |||
Total | [1],[2] | $ 142 | $ 17 | |
[1]All non-current assets are located in the state of Israel.[2]All revenues are generated in the state of Israel. |
INCOME TAX EXPENSE (Details Nar
INCOME TAX EXPENSE (Details Narrative) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Federal and statutory income tax rate | 26.50% | 26.50% | 26.50% |
Israeli corporate tax rate | 23% | 23% | 23% |
SCHEDULE OF AMOUNT OWING BY REL
SCHEDULE OF AMOUNT OWING BY RELATED PARTIES (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
IfrsStatementLineItems [Line Items] | |||
Directors Fees | $ 28 | $ 31 | $ 31 |
Consulting Fees / Salaries | 1,308 | 1,095 | 655 |
Share based awards | 224 | 70 | 37 |
Total | 1,560 | 1,196 | 723 |
Amounts owing by (to) as of related parties and shareholders | (12) | 126 | |
Director and CEO [member] | |||
IfrsStatementLineItems [Line Items] | |||
Directors Fees | |||
Consulting Fees / Salaries | 43 | 31 | |
Share based awards | |||
Total | 43 | 31 | |
Amounts owing by (to) as of related parties and shareholders | 462 | 183 | |
Company controlled by CEO [member] | |||
IfrsStatementLineItems [Line Items] | |||
Directors Fees | |||
Consulting Fees / Salaries | 1,224 | 958 | 594 |
Share based awards | |||
Total | 1,224 | 958 | 594 |
Amounts owing by (to) as of related parties and shareholders | (474) | (57) | |
CFO [member] | |||
IfrsStatementLineItems [Line Items] | |||
Directors Fees | |||
Consulting Fees / Salaries | 84 | 94 | 30 |
Share based awards | 160 | 59 | 27 |
Total | 244 | 153 | 57 |
Amounts owing by (to) as of related parties and shareholders | |||
Directors [member] | |||
IfrsStatementLineItems [Line Items] | |||
Directors Fees | 28 | 31 | 31 |
Consulting Fees / Salaries | |||
Share based awards | 64 | 11 | 10 |
Total | 92 | 42 | 41 |
Amounts owing by (to) as of related parties and shareholders |
RELATED PARTIES AND SHAREHOLD_3
RELATED PARTIES AND SHAREHOLDERS (Details Narrative) ₪ in Thousands, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2022 USD ($) | Dec. 31, 2022 ILS (₪) | Dec. 31, 2021 USD ($) | Dec. 31, 2020 USD ($) | |
IfrsStatementLineItems [Line Items] | ||||
Consulting fees | $ 2,233 | $ 3,417 | $ 1,449 | |
Bonus amount | 260 | $ 500 | ||
CEO [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Consulting fees | ₪ | ₪ 250,000 | |||
Compensation commitee [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Consulting fees | $ 71 |
SCHEDULE OF FINANCIAL ASSET WIT
SCHEDULE OF FINANCIAL ASSET WITH CASH AND TRADE ACCOUNTS RECEIVABLE (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Cash and Cash Equivalents | $ 2,616 | $ 8,470 | $ 5,397 | $ 362 |
Deposits | 8 | 60 | ||
Trade receivables | 1,373 | 857 | ||
Other Accounts Receivable | 2,570 | 434 | ||
Total | $ 6,567 | $ 9,821 |
SCHEDULE OF LIQUIDITY RISKS (De
SCHEDULE OF LIQUIDITY RISKS (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Trade payables - Carrying amount | $ 2,224 | |
Trade payables - Within 1 year | 2,224 | |
Trade payables - Over 1 year | ||
Other accounts payable - Carrying amount | 956 | $ 1,099 |
Other accounts payable - Within 1 year | 956 | |
Other accounts payable - Over 1 year | ||
Loans - Carrying amounts | 1,744 | |
Short term loan and current portion of long-term loans (note 11) | 1,403 | 158 |
Long term loans (note 15) | 341 | 483 |
Lease liability - Carrying amount | 886 | 277 |
Lease liability - Within 1 year | 281 | 126 |
Lease liability - Over 1 year | $ 605 | $ 151 |
FINANCIAL INSTRUMENTS AND RIS_3
FINANCIAL INSTRUMENTS AND RISK MANAGEMENT (Details Narrative) $ in Thousands | 12 Months Ended |
Dec. 31, 2022 USD ($) | |
Variable market risk description | As of December 31, 2022, if the Company’s functional currency (ILS) had strengthened/ weakened by 5% against the USD, with all other variables held constant, the loss for the year would decrease /increase by approximately $97. |
Increase decrease in income loss | $ 97 |
Borrowings rate, description | It is currently Company policy that between 50% and 75% of Company borrowings are fixed rate borrowings. |
Maximum reasonable expectation in interest rate | $ 100 |
SCHEDULE OF OPERATING SEGMENTS
SCHEDULE OF OPERATING SEGMENTS (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | ||
IfrsStatementLineItems [Line Items] | ||||
Revenues | $ 9,351 | [1],[2] | $ 2,685 | $ 1,068 |
Segment operational loss (gain) | 16,702 | [1],[2] | 9,162 | 2,676 |
Loss on revaluation of warrant liability | 254 | [1],[2] | 30,895 | 3,228 |
Finance expense, net | 1,391 | [1],[2] | 91 | 32 |
Tax expenses | [1],[2] | 142 | 17 | |
Loss | 18,347 | [1],[2] | 40,290 | 5,953 |
Segment assets | 12,694 | 14,131 | ||
Segment liabilities | 9,805 | 3,224 | ||
External [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Revenues | 9,351 | [1],[2] | 2,685 | 1,068 |
Precision metal parts [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Revenues | 3,958 | |||
Segment operational loss (gain) | 761 | |||
Segment assets | 2,741 | |||
Segment liabilities | 3,575 | |||
Precision metal parts [member] | External [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Revenues | 3,958 | |||
Advanced engineering [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Revenues | 1,705 | 1,935 | 1,068 | |
Segment operational loss (gain) | (60) | 1,034 | 2,510 | |
Segment assets | 1,162 | 1,707 | ||
Segment liabilities | 1,043 | 1,786 | ||
Advanced engineering [member] | External [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Revenues | 1,705 | 1,935 | 1,068 | |
Smart carts [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Revenues | 3,688 | [3] | 750 | |
Segment operational loss (gain) | 16,001 | [3] | 8,128 | 166 |
Segment assets | 8,791 | 12,424 | ||
Segment liabilities | 5,187 | 1,438 | ||
Smart carts [member] | External [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Revenues | 3,688 | [3] | 750 | |
Adjustment and elimination [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Segment assets | ||||
Segment liabilities | ||||
[1]All non-current assets are located in the state of Israel.[2]All revenues are generated in the state of Israel.[3]All revenues from the smart cart segment are generated from one customer, which is the main customer of the Company, and accounts for 40 10 |
SCHEDULE OF OPERATING SEGMENT_2
SCHEDULE OF OPERATING SEGMENTS (Details) (Parenthetical) | 12 Months Ended |
Dec. 31, 2022 | |
Precision metal parts [member] | |
IfrsStatementLineItems [Line Items] | |
Percentage of revenue | 40% |
Advanced engineering [member] | |
IfrsStatementLineItems [Line Items] | |
Percentage of revenue | 10% |
OPERATING SEGMENTS (Details Nar
OPERATING SEGMENTS (Details Narrative) | 12 Months Ended |
Dec. 31, 2022 Segments | |
Number of operating segment | 3 |
SUBSEQUENT EVENTS (Details Narr
SUBSEQUENT EVENTS (Details Narrative) $ / shares in Units, $ / shares in Units, $ in Thousands, $ in Thousands | 2 Months Ended | 12 Months Ended | |||||
Mar. 13, 2023 USD ($) $ / shares shares | Jan. 04, 2023 $ / shares shares | Aug. 30, 2022 USD ($) | Dec. 31, 2022 USD ($) shares | Dec. 31, 2021 USD ($) shares | Dec. 31, 2020 USD ($) | Mar. 13, 2023 CAD ($) $ / shares shares | |
IfrsStatementLineItems [Line Items] | |||||||
Number of shares issued | 30,945,322 | 26,326,488 | |||||
Proceeds from exercise warrants | $ | $ 98 | $ 1,379 | $ 3,386 | $ 98 | |||
Nonadjusting event [member] | |||||||
IfrsStatementLineItems [Line Items] | |||||||
Number of shares issued | 1,783,561 | 1,783,561 | |||||
Warrant exercise price per share | (per share) | $ 1.46 | $ 1.95 | |||||
Proceeds from exercise warrants | $ | $ 2,604,000 | ||||||
Nonadjusting event [member] | March 2023 Private Placement Warrants [Member] | |||||||
IfrsStatementLineItems [Line Items] | |||||||
Issuance of additional common shares | 891,778 | ||||||
Finder fee | $ 208 | $ 290,000 | |||||
Private placement of warrant shares issued | 142,685 | 142,685 | |||||
Nonadjusting event [member] | Warrant [member] | |||||||
IfrsStatementLineItems [Line Items] | |||||||
Number of shares issued | 891,778 | 891,778 | |||||
Warrant exercise price per share | (per share) | $ 1.75 | $ 2.35 | |||||
Nonadjusting event [member] | Directors officier and advisers [member] | |||||||
IfrsStatementLineItems [Line Items] | |||||||
Number of shares granted | 816,500 | ||||||
Exercise price per share | $ / shares | $ 1.65 | ||||||
Number of shares vested | 800,000 | ||||||
Exercisable term | 10 years | ||||||
Nonadjusting event [member] | RSU's [member] | |||||||
IfrsStatementLineItems [Line Items] | |||||||
Convert into common shares | 1,027,000 | ||||||
Nonadjusting event [member] | RSU's [member] | Directors officier and advisers [member] | |||||||
IfrsStatementLineItems [Line Items] | |||||||
Number of shares granted | 1,027,000 | ||||||
Nonadjusting event [member] | RSU's [member] | Executives and directors [member] | |||||||
IfrsStatementLineItems [Line Items] | |||||||
Number of shares granted | 250,000 |